With Kansas located just south of the Bakken, there are many oil and mineral rights owners in the state. The value of mineral rights in Kansas is based on a number of factors, including the location, timing, oil prices, number of buyers in the market, with the largest factor being the stage of production your property is currently in. In Kansas, these royalties will be in one of three basic stages, and each stage will have a different bearing on how much your rights are worth. These stages are:
Non-producing/Non-leased
If you own oil and mineral rights that don’t provide a monthly royalty check and you haven’t signed a lease over the last 5 years, the rights you own are non-producing/non-leased mineral rights. Oil and mineral rights that fall under this stage have the lowest value. Typically, this type of property will bring you anywhere from $0 to a few hundred dollars per acre in Kansas.
Leased
If your property is currently leased, it means an operator is interested in drilling and that the mineral rights value is higher. This means that buyers would be more interested in the oil and mineral royalties. Traditionally, you can anticipate the oil and mineral rights value on a leased property in Kansas to fall into 2-3x the lease bonus amount.
Producing Mineral and Oil Rights
If you currently receive an oil/mineral royalty check each month, this means that you own producing mineral rights. Typically, the value of Kansas oil and gas royalties is notably higher than in other states.
Selling Your Mineral Rights in Kansas
Selling your oil and mineral rights in Kansas does not have to be a difficult process, but it can be a mistake to attempt on your own. Many people choose to sell to earn needed money quickly, to build on their retirement funds, and even to alleviate the stress of owning and managing their rights and royalties. If you’re thinking about selling your mineral rights in Kansas, CP Royalties will use our expertise to guide you through the process; making it as painless as possible and closing in as little as 15-30 days.