I got an offer to lease my 160 acres in Woodward at $300 an acre. On the Mineral Registry they state that Woodward can be $1,250 for top dollar and $800 average. I was asking anyone to see if they ever renegotiate their leases and if I am getting lowballed?
Thanks Scott
Scott,
Are you saying they offer you $3,000 per acre for a bonus x 160 acres? That sounds more like they are purchasing your minerals for that price. I haven’t heard of anyone in Woodward County getting that much for a lease. What part of the county are you talking about?
Virginia,
I am sorry, I meant $300 an acre for a lease. I edited the original post. I would be very happy if it was $3,000 for a lease!! This property is Section 7, Township 22N, Range 17W. Any insight you have would be appreciated. Thanks!
Scott,
Thank you for the information. I think $300 is a little low, but a person has to remember that leases aren’t bringing as much now as they did a couple years ago since oil/gas prices are lower. I would try to get at least $50 to $100 more. They usually offer a low bid hoping you will take it. Also, are they offering 3/16 or more?
I don’t know if they are doing any drilling in that part of the county as that is the far east side, but if oil prices go up, there will be more drilling. Do you know if any of your neighbors lease lately? See what they got and check a couple miles down the road. Also, are you a member of NARO? You can call them and they can give you some idea what lease prices are going for in the county and that may help.
Virginia,
Thanks for the info. Yes, they are offering 3/16. It is through R.K. Pinson LLC. Do you know anything about them? Just want to make sure it is legit. Also, I have no idea who my neighbors are and if they have leasing at all. I do know that a few people have called me in the last week to buy my rights in that county. I am guessing something is going on. I am not a member of NARO, just the Oklahoma Mineral Owner Registry is where I found the $800 average from.
Thanks!!
Scott,
R K Pinson is a good land company in Edmond, they get leases for larger companies. My husband leased to them a couple years ago and then it was transferred to Sanguine Gas Expl. You may want to ask who they are leasing for. Some companies it’s best not to lease to.
I don’t live in OK, so I can’t help you figure out who your neighbors are, but you can purchase a map at the courthouse, it gives the name of people who own the land, but it may be surface only. If you call them, they usually can tell you who owns the minerals. I have called my husband’s neighbor mineral owners to find out what is going on in the county. I know they have lots of land men working the courthouse, so I think we may see drilling in the area pick up. Did the OK Mineral Owner Registry give updated prices? You need to look at the date the bonuses were paid. I know the area near Woods County is higher than the south side.
Virginia,
I was able to renegotiate the lease for 600 an acre. I still have interest in 3 other areas, Section 21-26N-19W and 29-24N-18W. How do I go about seeking lease offers for the interest in those sections? Thanks!
Scott,
You can tell your land man that you have other minerals that are for lease. If they are interested, they will check it out. I usually just wait till someone contacts me.
Glad you were able to get a lot more per A.