How to Lease Mineral Rights in the Marcellus Shale

How to Lease Mineral Rights in the Marcellus Shale

Knowing how to lease mineral rights in the Marcellus Shale can be a complicated task. There are a number of ways you can lease mineral rights and we will describe each of those to you.  In addition, we will provide you with our suggested way to lease mineral rights in the Marcellus Shale so that you get the maximum value for your property.  Let’s dive right in!

We Buy Minerals Websites

There are literally hundreds of websites that offer to buy or lease your mineral rights. They all work the same way, enter a few details about your property and get a no risk quote.  These websites are appealing because they require basic information and make the process seem easy. The problem with these websites is that you’re dealing with a single buyer. In the worst case scenario, and this happens frequently, you are dealing with a middleman who is marking up your minerals and is the buyer.  Regardless of how their website works, you are leaving money on the table with these websites.  Working with a single buyer will NEVER provide you the most value for your mineral rights.  Think about it this way, if you were selling your house would you want multiple people to stop by and take a look at it or just one?

Land Brokers

There are a few land brokers here and there who provide land brokering services for your mineral rights.  These brokers can be a good source if you find the right one, but more often than not their buyer network is extremely limited.  This happens because these brokers do not have a national reach and are working with a handful of local people they know.  While land brokers are typically a better option than we buy mineral type websites, they can rarely provide the marketing exposure that your property needs.

Company Landman

A company landman is an individual who is either contracted by an Oil & Gas company or they are working for an Oil & Gas company.  Their entire job is to locate landowners in areas where their company wants to lease, and then negotiate the lowest possible price they can lease the minerals for.  As a landman, their job is to protect the interests of the Oil & Gas company they work for by securing leases for low prices.  A company landman could provide you with an opportunity to lease your property for a good price, but you will always need to be ready to negotiate.

Mineral Listing Websites

There are a few mineral listing website available online.  Mineral listing websites are a great way to gain some exposure for your property because they can reach a huge number of buyers.  However, we have researched all mineral listing websites and there are a few things you should watch for when picking one.

1. Ensure they are not buying the minerals – Some mineral listing websites are simply buyers who appear to offer a listing service but they are simply generating leads for their business.

2. Check out the fees – Some websites claim to be “Free” or charge a fee that varies by deal.  As the saying goes, you get what you pay for.  Free websites will either not be actively marketing your property or will marking your minerals up behind the scenes costing you money.  Websites that charge a variable fee are not being up front about what their service will actually cost.  Make sure anyone you do business with tells you the cost for their service up front so there are no surprises.

3.  Active Marketing – Many listing websites, especially the free ones, do not have any form of active marketing. This means that once your minerals are listed online, they simply sit there on the website with no work being done to ensure that buyers actually see the property.   When you list your minerals online, find out what that website is doing to market your property and ensure you’re getting top dollar.

Our Recommendation

We recommend that any mineral owner who wishes to lease mineral rights in the Marcellus Shale work with www.USMineralExchange.com.  US Mineral Exchange works with mineral buyers from all over the country on a daily basis.  They are experts at working with mineral owners to ensure they get the highest value possible for their mineral rights.  We recommend US Mineral Exchange because they make the process easy for mineral owners by helping them through the process from start to finish.

Mineral Owner Inquiry Form Do you have questions about your mineral rights?  We can help! Simply fill out the form below with your questions and we will contact you.

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