Are you looking for a way to sell mineral rights? If you are interested in selling mineral rights in Texas, or in the surrounding states, we may have a solution for you. Broadmoor Land & Minerals purchases mineral rights in multiple counties and states all around the country.
When making a purchase offer, we consider a number of factors to determine the appropriate value to assign to the interest. The most important considerations to take into account are whether or not the interest is a producing or a nonproducing interest and whether or not the mineral rights are leased or unleased.
Producing mineral rights are those which are included in a drilling unit where an oil or gas well has been drilled. If you own producing mineral rights, then you are receiving royalty payments from the well or wells in your drilling unit. If you are selling a producing mineral interest then you are really selling oil and gas royalties that are due to the owner from the production of oil and natural gas.
When you sell an oil and gas royalty on a “producing interest,” the purchase price is typically calculated by finding the present value of the remaining cash flows that are expected adjusted for oil and gas price trends. However, when you sell mineral rights that are non-producing, the purchase prices is typically quoted as a dollar amount per net mineral acre. This amount can vary based on the amount of leasing and drilling activity in the area, the production levels of nearby successful wells, as well as the prices of oil and gas.
When an oil and gas company signs a lease with a mineral owner, they are reserving the right to drill a well during the term of the lease. If a property is not leased, we must consider the surrounding leasing activity and drilling activity. But if the interest is leased, then the terms of the lease will play a role in determining a value. We must consider the royalty rate given in the lease contract as well as the remaining term on the lease and any special clauses that may be included. The more favorable the lease terms are, then the more valuable the leased mineral rights will be.
If you believe your mineral interest is leased but do not have a copy of the lease, you can normally request a copy from the county in which the minerals are located. For instance, an Oklahoma family selling mineral rights in Texas could request a copy of their Oil and Gas Lease from the County Clerk’s office in the county in Texas where the minerals are located.
If you are interested in learning more about selling your mineral rights, simply submit the form below. Your information will be sent directly to one of our team members who will contact you within 24 hours.
Or feel free to contact us directly by phone or email. We are here and ready to help!