When you need to determine mineral rights value in West Virginia, it can be difficult to find an exact value. The reason is that mineral rights value is not recorded publicly so there is no way to find the value for your property. The reason is that oil and gas companies wish to keep this information private. They may pay one mineral owner a much higher sum of money than others and they don’t want everyone to find out how much was paid. This keeps prices lower and helps the oil and gas companies save significant money when paying for mineral rights.
To truly determine the value of your mineral rights, you need to look at the factors that affect the value. Below we have broken out the factors by each type of mineral rights you may own.
Value of Leasing Mineral Rights in West Virginia
If you want to know the value of leasing your mineral rights, there are a number of factors to consider. The geological composition of the area you are in, oil vs gas mix, current oil and gas prices, number of operators competing in the area, and many more factors will all play a role in determining how much someone will pay to lease your mineral rights. You should also reach out to other mineral owners in your area who may be able to give you an idea of how much companies in your area are paying.
To fully understand the value of leasing mineral rights in your area read our in depth article on the value of leasing mineral rights.
Value of Selling Mineral Rights in West Virginia
Once you have considered whether selling mineral rights is the best option for you, it’s important to understand the factors that affect the value of selling mineral rights. Many of the same factors that affect leasing mineral rights also apply to selling mineral rights as well. It’s important to note that by selling your mineral rights you are giving up all future production your mineral rights may have. This means you will no longer be eligible to receive any royalties or income from the mineral rights you own. When selling your mineral rights it’s important to get the highest value possible since you will no longer benefit from your mineral rights.
When selling mineral rights, if your mineral rights have been lased in the past this can have a positive effect on the sale. This shows that there is demand for your mineral rights since someone was willing to lease in the past.In addition, if your mineral rights are currently leased that can also increase the price because it shows there is current demand for your minerals. The terms of your current lease will play a large role in how much someone is willing to pay to purchase the mineral rights. Our in depth article on the value of selling mineral rights will help you better understand all the factors.
Value of Selling Royalties in West Virginia
If you have decided to sell your royalties, you can expect to receive a lump sum cash payment based on the future income your royalties will produce. Determining the value of selling royalties in West Virginia is more simple than when you need to lease or sell mineral rights because the value is determined completely from how much income you are receiving. The amount a buyer is willing to pay is mainly based on the average amount you have been receiving in royalty checks over the past 6 months. The other primary factor is the current price of oil and gas which directly changes how much your royalties are worth. Our in depth article on the value of royalties will help you better understand all those factors and help you determine a range for the value of your royalties.
Best Way to Determine Mineral Rights Value in West Virginia
The best way to determine mineral rights value in West Virginia is by getting your property in front of as many buyers as you can. Imagine you are going to sell your house and you only show the house to one buyer, would you expect the highest price? You want as many buyers as possible to see your property so that they can all compete to pay you the highest price. The best way to truly determine mineral rights value is by listing your property online with a company like US Mineral Exchange who will get your property in front of thousands of buyers. By listing your property online it allows buyers from all over the country to view your property which increases the exposure and the prices. Companies like US Mineral Exchange who specialize in helping mineral owners reach a large market by working for your benefit are your best bet to determine the true value of your mineral rights.