You are here:

Oil/Gas/Purchasing Oil/Mineral Rights

Advertisement


Question
I have been given the opportunity to purchase oil/mineral rights in Jackson County Oklahoma section 23, township 2-North and Range 23 West.  The appraisal value I was quoted by the seller was $650 an acre.  Do you think this is reasonable given the chances of a well being found?  It appears most of the wells being drilled are south of this area.  Do you know of any purchases/leases in this area or wells/pipes being planned?

Thank you for your time.

Answer
You are correct sir, that most of the current activity is to the south of you by several miles. $650/acre is probably about right, but you could check the "tax stamps" on mineral deeds recently filed in the county clerk's office to see what others (if any) have (supposedly) paid for mineral rights in your area.

I do not know of any wells being planned in this immediate area. The Oklahoma Corporation Commission is the oil and gas regulatory body for the state of Oklahoma, and on their website you can find a wealth of information about what's going on in the area where your mineral rights are located. You can search their oil and gas database from THIS page.

Hope this helps you out.
Frederick M. "Mick" Scott CMM, RPL
www.mineralhub.com
The Mineral Hub  

Oil/Gas

All Answers


Answers by Expert:


Ask Experts

Volunteer


Frederick M. Scott

Expertise

Oil and gas leasing, lease negotiations, how to best deal with the oil and gas companies or their representatives, buying/selling mineral rights, forced-pooling, correlative rights, deeds and conveyances, and "post-production" costs. I am most experienced with Oklahoma properties and laws, but am able to answer questions concerning other oil and gas producing states in many cases.

Experience

I am a Certified Professional Mineral Manager (CMM) certified by the National Association of Royalty Owners (NARO) in Tulsa, OK. I am also a Registered Professional Landman (RPL) with the American Association of Professional Landmen (AAPL). I have managed my family's oil and gas properties in Oklahoma for over 10 years and have dealt with many landmen, title analysts, attorneys and other oil and gas professionals in the process. I have written several articles which have appeared in various oil and gas industry magazines and newsletters. I have negotiated and drafted leases, prepared deeds, affidavits, and other legal instruments relating to my own minerals, as well as performed title, legal research, and curative work for same. I have acquired a good deal of knowledge on the subjects of oil and gas law, mineral appraisal, and landwork over the past ten years, and also worked as a professional landman and lease buyer for a time. I've seen the business from "both sides" and therefore feel confident I can help out most of the folks who ask questions in this forum.

Organizations
National Association of Royalty Owners (NARO); American Association of Professional Landmen (AAPL)

Publications
National Association of Royalty Owners "Action Report" (ROAR); NADOA Magazine, The Mineral Hub, Landman Magazine, and several royalty owner association group's newsletters.

Education/Credentials
Certified Mineral Manager (CMM), Registered Professional Landman (RPL)

©2016 About.com. All rights reserved.