Mineral leasing (Minot, Williston, Noonan: mineral rights, attorneys, land)

[lhrieger]

I have a share in mineral rights in Williston, left to me by an uncle. We just received a lease agreement from Brigham Land Management LLC. They are offering 175.00 per acre paid up 5 year lease. We feel this is not sufficent. Also we know nothing about Brigham Land Management. They are being represented by a landman our of Minot. Any thoughts, ideas or suggestions?

[chris_ut]

Best to ask people in the area what kind of offers they were able to negotiate. Bonus money can vary quite a bit from area to area. Ive seen it go from $80/acre, to $1000/acre to $3000 acre within 3 adjacent counties here in Texas.

[aekisu]

May 2007 in Dunn County
$100/acre in exchange for a 4 year lease that provides 1/6th of any profits.

Since Dunn and Mountrail have hit if big, I don't know what people are getting for leases now.

[cjaycom]

Would you mind sharing what you settled on if you ended up signing a lease? I and my siblings have a few mineral acres each west of Williston. Our lease will be up soon and we are being offered a five year extension at $200.00 an acre with a 15% royalty. I heard of someone supposedly, near Noonan I think, getting $350.00 an acre for a three year lease with a 20% royalty. They definitely have the upper hand, it's hard to know what the true value is in any specific area but I think were going to try for a higher royalty and a shorter term.

[lhrieger]

Thank you for your replys. I decided to go with the 175.00 per acre on a 5 year lease and 1/6 royalty. Two attorneys confirmed it was a fair offer. One attorney said Brigham Land Managment is a reputable company. I can't worry about it anymore. Anything I get is more than I ever expected as I did not realize we held the mineral rights till this all came up.