Anybody ever sold mineral rights ? I own some mineral rights and I got a letter from a company that wants to buy them. I've never dealt with this before. How do I determine how much they are worth ? There is one pumping well there now. Don't get money much from it. Anybody got some advice ?

Call an O&G lawyer.

I can give you the name of a good one that won't break the bank out of mansfield if you're interested

Don't sell. I get those letters on a weekly basis.

Just me, unless you're seriously hard up for money I wouldn't even consider it.

Every time I've been approached the 'buyer' already had a number in mind, or included a price range in the letter.
With the recent hit to the economy and O&G as low as it is right now they're probably sniffing around to find low ball bargain buys.

^

When we sold our Elliasville place buyer wanted half of the royalties and the Title co. worked all that out I believe.

Those letters are kind of like the letters from car lots that say your vehicle is special and in high demand and we'll pay you "top dollar" for it.

Cars or oil, they're in business to make money. Not make you money.

They are bottom feeding. They're looking for people that don't know the value of what they have or that need money. They will typically offer you 3 times your monthly revenue hoping you will bite. Royalties, depending on where they are located, trade for more like 50 to 100 times monthly revenue. Just as MM states above it's like the car dealer letters you get.

You need to ask yourself- is the money being offered worth giving someone else primary control over your property?
The owner of mineral rights has the right to use the surface of your property as is reasonably necessary to extract the minerals. That means developing roads, holding tanks, well pumps, and anything necessary to access and remove the minerals.

We do too. I'm not about to sell. We did a 3 year lease with EOG, with another 3 year option. This was probably 15 years ago when the Barnett shale was rocking. Bonus money paid for our land. Still have 100 percent minerals. That was a fluke, but bottom line, never sell.

We get the same letters, the dollar figure gets higher every. Different company, but they seem to know what the other offer was???

People sending letters buying MRs are in the know. I figure if they want them they must be worth or about to be worth something. $30/month forEVER! Beats a few one time bucks. NEVER sell. I worked with a PUKE that would send checks/letters to old people in the hope that they would cash it thus selling their MRs to him. Told him he was (insert any severe negative description) and never spoke to him again.

Where are the minerals located?

You buying, Choc? You'll have to outbid me

If you do decide to sell, look into just selling the production on the operating well(s) only.
That leaves you with mineral rights to remaining property in case exploration picks back up.

Absolutely DO NOT sell them right now. It is a horrible time to sell.

Every situation is different on if/when a person should buy or sell - but right now - 1,000,000% is NOT the time to even consider selling.

Right now you have a lot of people sending letters out based on the tax rolls - it's easy and relatively cheap - they're low ball offers.

x3

Not at this time...well, maybe.

I would never sell minerals. Leasing is another story.

J. Paul Getty said it best...The meek shall inherit the earth, but not the mineral rights.

I would try to buy the outstanding mineral rights on my property before selling mine.

Just my .02,
LeonCarr

Very nice!!

I'm pretty sure it is a SCAM. The guy called my sister and she could not talk at that time. She asked for his number so she could call him back. He hung up and hasn't called back. Thanks for all the info.

What was the company name on the letter? A lot of those guys are fly-by-night types that run high pressure deals much like a used car salesman.