How Much Are Your Mineral Rights Worth?

If you own oil and gas mineral rights in Oklahoma, you may be wondering what they're worth. The answer depends on several factors—and values can range from a few hundred dollars per acre to over $10,000 per acre in premium locations.

Here's how mineral buyers like Berlin Royalties evaluate mineral rights.

Factors That Determine Mineral Rights Value

Production status. Producing minerals (currently generating royalty income) are typically worth more than non-producing minerals because they offer immediate, measurable returns.

Location. Minerals in active drilling areas like the SCOOP, STACK, and Cherokee command premium prices. Minerals in areas with little operator interest are worth less.

Current cash flow. For producing minerals, buyers look at your recent royalty payments. Higher cash flow means higher value.

Decline rate. All wells decline over time. Buyers model future production to estimate the total value of remaining reserves.

Commodity prices. When oil and gas prices are high, mineral values increase. When prices fall, values decrease.

Royalty rate. A 1/4 (25%) royalty is worth more than a 1/8 (12.5%) royalty on the same acreage.

Net mineral acres. Your ownership amount, accounting for fractional interests.

Title quality. Clean, marketable title increases value. Title defects may reduce offers or require resolution before closing.

Common Valuation Methods

Cash flow multiple (for producing minerals). Many buyers offer 3x to 6x your annual royalty income. If you receive $10,000 per year, expect offers in the $30,000-$60,000 range depending on other factors.

Lease bonus multiple (for non-producing minerals). A common rule is 2x to 3x the current lease bonus in your area. If operators are paying $500/acre to lease, expect mineral sale prices around $1,000-$1,500/acre.

Price per net mineral acre. This varies enormously by location:

• Inactive areas: $50-$500/acre

• Moderate activity: $500-$2,000/acre

• Active drilling (SCOOP/STACK): $2,000-$10,000+/acre

The Best Way to Know Your Value

Online calculators and rules of thumb give you a starting point, but the most accurate way to know what your minerals are worth is to get offers from actual buyers.

Berlin Royalties provides free, no-obligation offers on Oklahoma mineral rights. We'll tell you exactly what we'd pay and explain how we arrived at that number.