Value Determination

The absolute best way to determine value would be to engage an oil and gas engineering firm to calculate a market value based on assumptions about future production and product prices.  These firms are mostly located in the cities you would think of as being in oil and gas country. Houston, Dallas, Tulsa, etc.

One could also get an offer or offers from the company operating the lease, from a royalty buyer such as TAS Royalty Company, or from an independent investor or investor group.

Please give me a call if you would like to discuss this further. 

 

Comments

What is the process for selling a royalty interest? What do you need from us and how do we close? Is there an escrow account or what? Thank you!

The easiest way to start is to email, mail, or fax to us copies of the back up statements that came with your last check or two. Some people call this the "check detail." If you have something with a legal description on it, that can be helpful as well, but we can get by without it. Do make sure I have contact information for you, including the mailing address to which your checks are coming. I will put together an offer and more than likely, get back to you with an a number and the document we would need to transfer the interest for you to review. Normally, once we agree to a price, a seller would just sign that conveyance, get it back to us, and we will get you a check, usually the same day. That's it. If you get an appraisal notice or a tax bill in the future, just forward that, or anything else, and we will deal with it.

What is the process once I decide to sell my royalties?