RyanAuthor
2 years ago
Help with Martin County Minerals Data
Block: N/A | Survey: N/A | Abstract: N/A
Any help would be appreciated!!! I'm consulting (really just helping pro bono) a friend try to evaluate and understand some family minerals in Martin County, TX (I'm waiting for location specifics). I'm familiar with how to evaluate the minerals, BUT don't have much working knowledge or production data for the Permian. They've received some offers to buy their minerals, but I/they don't have a good feel if those are reasonable offers or not. Does anyone have some general guidelines/tables or something with a little more data behind it other than just a $/acre?
Transaction: Received an Offer to Sell
Jeff
2 years ago
Hi Ryan - at the end of the day, something is worth what someone else is willing to pay for it at that time, so you want to get a rough idea of any cashflow they have coming in and do a DCF of that + any potential upside (the more realistic the better - DUCs > Permits > Nothing but space to drill).
Getting multiple offers is one of the best ways to maximize the value, but that's a good county, so depending on where they own and their situation, holding onto it might not be bad. LMK if they want to put it in front of our premium buyer network - the can get multiple offers, with no obligation to sell.