I have an elderly friend who is considering selling his minerals. He has about 4 ac. in 3 different sections of south Caddo. Each section has a well that has depleted to point his latest check was $78 on 2 ac. for the year. He has no heirs and is hoping to generate some cash. Isn't there a formula to determine value?
Called my friend again today as I have been doing everyday to get him to find his production and owner number for one parcel. He found his mineral info and said the checks he cashed in July were from some of the mineral buyers and then he said he THOUGHT they were from mineral buyers. IF there were checks from mineral buyers in the "fishing" letters he is getting and if he cashed those checks would there be an implied contract to sell. He is mailing all of his info to me now. I am worried he sold his minerals without realizing what he was doing. I have begged him not to sign anything without taking it to a mutual attorney friend we have but he saw money!!!!!!!
LA RS 179 provides protections for consumers regarding mail solicitations for the sale of mineral rights.
Would the purchaser have recorded the transfer in Caddo Parish?
No way to know without checking however it's really immaterial as long as the seller follows the requirements of 179 to rescind the sale.
The problem is the seller doesn't remember if he signed something. I just talked to him again. No mineral transfers are recorded at Caddo. I checked that. He has received several mineral solicitation letters and wouldn't know where the checks came from. I hate seeing this happen to innocent people
Did you read RS 179?
I did but he has lots of letters soliciting his minerals and doesn't remember which letters had checks. If it is from the 2 newest letters dated July 25 then he would be in the 60 day window. If not, from reading RS 179 it seems to me he sold his minerals. He "thinks" he sent paperwork back to them but doesn't remember.
This is a warning to people who have elderly parents. Be aware of their mail. I talked to another person I know today who has 5 ac. in Keithville. She sold her minerals in 2012. Didn't even know the ramifications. Said mineral buyers told her she would get them back in a few years!!!!!!!!!
This site is great but a lot of people don't use a computer or even if they did they wouldn't understand their mineral rights. Unethical people can end up snatching up their minerals for pennies on the dollar.
His bank may be able to provide images of any deposited checks he sent in so he can see the date signed and processed.
No - If the $78 is the product of a single well in a unit with potential for 4 to 7 more wells (or more zones) then it is not representative of the "value" (the old saw being 3x annual income is the value.)
Undeveloped acreage, undeveloped units are worth more. Advertise it with one of the site advertisers and see if anyone will make a more reasoned offer... Certainly $240~ isn't likely to be the value of 4 acres ($60 an acre)... So I would try to find some area sales with a per acre value set on it.
$78 is the year to date income in one area. As of now there are no other applications to drill in this section or any section near it.
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