Want to know how much are your mineral rights worth?
We provides valuations of mineral rights.
Maximum Value Report
In addition to establishing the fair market value of your mineral estate, our experts can determine the most you could potentially get if you sell your mineral rights.
This information can provide a useful starting point during the negotiation of selling your mineral rights.
In addition to establishing the fair market value and maximum value of your mineral estate, our experts can determine the minimum value you should sell your mineral rights for.
A min-value report can be used to establish a minimum asking price for listing or auctioning your mineral rights.
Minimum Value Report
Some mineral owners prefer to have a price range for the value of their mineral rights, our experts can prepare a report that provides a range of reasonable value for mineral rights.
A range of values report is particularly useful if there is a lot of uncertainty surrounding the value of your mineral rights.
Range of Values Report
How do we determine the value of your mineral rights?
Our team of geologists and engineers forecast future hydrocarbon production on your properties and the commodity prices for oil, gas, condensate, and natural gas liquids. This takes into account wells that are likely to be drilled in the future. Production and price data is entered into our proprietary economic modeling software that calculates the net present value of future royalty revenue. The result is a final dollar per acre opinion of value for your mineral rights. In the appraisal world, this is referred to as the “income approach”. We also consider comparable sales of mineral rights near your property, however, when valuing mineral rights this approach is often not as accurate as the income approach.
Many mineral owners regularly receive offers to sell their mineral rights. But most mineral owners struggle to determine the value of their mineral rights before accepting an offer. Although there are rules of thumb you can follow, or a free online mineral rights value calculator, these methods often give you an inaccurate and sometimes low estimate of the value of your mineral rights. If you are planning on selling your mineral rights, you should hire an independent, third party professional to establish the actual price per acre of your mineral rights.
A fair market value report provides mineral owners with the information necessary to ensure they receive a reasonable offer for their mineral rights. Petroleum Evaluations Group conducts the necessary due diligence to ensure our clients know the fair market value of their mineral rights before accepting an offer.
An independent fair market value appraisal is a better alternative to simply collecting offers and selecting the highest one. Many times, the highest offer a mineral owner receives is actually below the market value of their mineral rights.