Where to start? I own 1.67 acres of mineral rights in Madison Township Guernsey County, my sister owns 1,67 and also as of now the state of Ohio owns 1.67acres which was my sisters prior to bankrupcy which they are going to sell to who knows who.All part of one parcel of land we got when my dad passed. Total 5.010 acres was offered a lease by Shell for 5,000 acre but they didnt pay in time alotted and then recently an offer from Carrizo for 5500 an acre to lease, Problem is i am sure we all have to be in agreement on a lease and dont even know who the third party will be on the other third of the parcel, and i am in no position to buy the other third and my sister is not either. I am really thinking about selling my interest becuase i dont want to deal with all the bull from so many owners and i really could use money now not 10yrs from now, will it be hard to sell with all this going on and what kind of money we talking if i would sell?
Faith, you could definitely work to lease your interest in the parcel without the other parties because you own an undivided interest. Unfortunately, there are very few operators who will pay on the lease you sign right now because its a little over an acre of net mineral interest in a parcel. Because of the large amount of acreage it takes to drill a well an acre is virtually useless.Their might be a chance to sign a lease after a test well is drilled nearby and produces good numbers. But, right now if your looking for quick cash your best opportunity would be selling it in fee. Because the chances are that there would be no sizable royalty check coming from an acre of mineral interest anytime in the near future and the chances are slim that anyone would pay on a lease signed for that amount of acreage. Every situation is definitly different but that is just IMO
As far as the kind of money you are talking. My opinion would be you could expect 3-5K for your acreage but I could be wrong. Minerals are valuable in your area the only problem is you need over 1,000 acres for some of the units they are creating here.
Thanks Sticky, very informative and the Antrim well is not too far from our property not too sure what its doing havent been on here in a while.What does selling it in fee mean? And Jeffery i did some homework after Carizzo sent the offer and thats why i threw it away LOL We were part of the original coalition that signed a nice lease with Shell but alot of people never got paid.