Procurement and Sale of Mineral Rights for Amateurs

The surface of the earth has many natural reserves which many people are now entitled to. Fossil fuels such as cooper, gold, coal, silver, rocks and stones, oil and gas and even non-metallic resources can be sold to individuals like us. Mineral rights have now become a market in which an entrepreneur can venture for the sake of profit maximization goals. After the purchase of these mineral rights you can even sell them to companies, which are willing to convert these resources into currency. This is a modern form of investment and might prove to be risky for people you do not understand it. However, a person which clear cut vision and a crystal understanding as to how this market works may be at advantage as this market provides great opportunities.

For those amateurs who want to venture into this business line despite the cons, there are two simple steps to it. They are:

Procurement of Mineral Rights:

When a company buys mineral rights, a very typical sort of settlement is involved. The landowner still has the possession of the land but the subsequent profit derived through the production and harvest of its resources goes to the company. As you can guess that this settlement would prove be more beneficial for the latter, as they would be most involved in the process of resource generation and its sale. Also, the fact that they do not wholly purchase the property, all the while gaining the benefits from that property plays an important role. It is stated in the legal rights that they acquire possession of the minerals produced while not of the actual land.

 Sale of Mineral Rights

Most royalty owners tend to sell their rights for the sole purpose of liquidating their assets. They usually choose to sell them to big mining companies to sell their mineral rights royalties to. The most obvious fear for the sale is that the owners feel the need to avoid possible foreclosure and taxation mishaps. However, there are also mineral royalty owners which sell their rights to steer clear of the future cost problems. These cost problems usually arise when they are transferring the tenure come about. This makes to the owner paying huge amounts in royalty interest, which the owner might think to be unreasonable.

For more information visit our website:
http://www.uniroyalties.com/selling_royalties.php

Mineral Rights Royalties – How to Sell Them When You Need Money

People are often confused about selling their mineral rights royalties, which includes oil and gas minerals; however, the process is rather simple than how you have made up your mind.  If you presently receiving a royalty check regularly, and then you suddenly choose to sell your mineral royalties, you can easily expect to receive an attractive offer for 20-75 months’ worth of checks.

Is the question, “If I do not receive a check, can I still sell my mineral rights royalties?” circulating your mind currently? The answer is ‘absolutely’. However, it all depends on the location of the minerals and any sort of projected drilling of the land, and you can expect to receive around thousands of dollars for per acre of land. Many petroleum management companies  will also offer a free evaluation, which will allow you to receive multiple offers and handpick the best one based on your perception and decision making abilities.

When you sell the mineral rights royalties, keep in mind that you are not selling your ownership of land, but only the minerals below. Moreover, you can even sell a portion of the minerals you have underneath your land. For example, you can simply sell 75% of the minerals you own and maintain a 25% interest in any future drillings (if you are lucky and oil is found.)

Remember! Your minerals will decrease in value as time passes.

Things can go in two directions if you choose to stay immobile for the time and hold on to the minerals, and both directions can be a cause of concern for the mineral owners. It is possible that your property will be drilled and you will start receiving royalty checks, eventually the checks will cease to arrive at your door, or most likely, they will decrease in value on a month-by-month basis.

Secondly, let us assume that you have received an offer to sell your land for $500,000, and you think that if they are offering $500,000, the value might be more. This is a mistake. After you have refused the oil management firms, you find out that they have bought your neighbor’s land, started drilling and have concluded that they have highly estimated the amount of minerals in that area. All this process will render your property practically worthless.

Firms that purchase gas and oil royalties and mineral rights are involved in a high-risk game. They may earn back their investments in a few years, after 20 years or this might never happen. These petroleum management firms are ultimately betting on increased mineral production, which is infrequent.

Lastly, one more thing that you need to consider when selling mineral rights royalties is the possible problems with maintenance. You will be worrying about varied income, paying property taxes, and dealing with various firms on an on-going basis.

Uni Royalties Limited is one of the leading petroleum companies that helps sell your mineral rights royalties across the United States. They carry out speedy evaluations for oil and gas leases to make sure that you get top bucks for your mineral interests. For more information and a range of petroleum investment solutions, visit www.uniroyalties.com. Moreover, you can call us on our toll free number, 1 888 916 0220.