Buy Mineral Rights in Montague County Texas

Starting Bid: $185,500

• State : Texas
• County : montague
• Legal Location : Multiple - Please see attached files.
• Net Acres : 133.41
• Active Lease : Yes
• Royalty Rate : 12.5%
• Producing : yes
• Average Income : $2,450/Month

Comments:

Update: 6/2/2023

Seller has decided not to sell.

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Update: 5/16/2023

Sale Pending

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This is an excellent opportunity to buy diversified acreage in Montague County operated by EOG.

This ownership is currently held in an LLC.  There is a single owner member who has signature authority on the sale so it will not be a complicated transfer.

There are over 35 producing wells spread out among many different units.  The acreage is also spread out between the units with nice chunks of acreage in different locations providing further diversification.

The production is predominately natural gas liquids and natural gas, with a little bit of oil production.  Looking at December 2022 to April 2023, the income declined along with the drop in natural gas prices.  We took a very conservative approach on the Revenue Summary and only looked at the last 3 months to come up with $2,450/month in royalty income.  This is assuming a nearly worst case scenario for long term natural gas prices.  In December 2022, when natural gas prices were $5, this was producing almost $5,000/month.

For your convenience, we included a download of all files from Texas File related to this LLC acquiring this ownership via deed’s and the available lease agreements / memo’s for lease that were available.  This is available as zip file and the images above show the files available.

For the lease royalty rates, we are seeing both 3/16th’s and 1/5th lease rates.   On the ownership estimate we assumed 12.5% royalty rates to provide an estimated number of net royalty acres owned.

For this listing, all offers should be based on the NDI’s listed on the check stubs.  We have provided the ownership estimate as an estimate only.  Adjustments will only be allowed in the event EOG is paying incorrectly and less NDI is owned than indicated on the check stubs.  Only the NDI proven in title would convey, so if you are showing less NDI than what they are being paid for by EOG, the seller would keep the NDI not proven in title.

To view/download the listing files, please visit the link below:

Download Files

We will begin accepting offers on Thursday, May 4th.

All buyers are required to either do a 14 day close, make a $5,000 deposit, or sign our qualified buyer agreement once a deal has been verbally agreed upon.

The mineral owner has exclusively listed with Texas Royalty Brokers.  Please do not contact the mineral owner directly.  To make a bid or ask questions about this listing, please contact Texas Royalty Brokers using the contact form below.  Our team will quickly be in touch.

We have other mineral rights for sale.