Saturday, 26 March 2016

How to Purchase Oil and Gas Royalties

Oil and gas royalties are a delightful investment for small and medium investors. Partially because the 12% - 30% profits that can be made, and partially because small one man investment shops can get into the business if they have the awareness.


Here is the outline regarding how oil and gas royalties can be purchased. For ease, we must take on some guidelines as follows:

1. Consult  a royalty buyers specific legal guidance from the oil and gas law firm.
2. You have established a legal entity to buy them with a corporation, firm, or under your personal name
3. You have acquired money or have a fighting chest to purchase royalties.

Anyone who possesses oil and gas royalties means they possess the mineral rights. There are occasional instances where that is not factual, but you will often see 'oil royalties' and 'mineral rights' as substitutable phrases.

Buying minerals take place in clear stages:

Stage 1 -- Find potential landlord of oil and gas royalties sellers
Finding potential royalty sellers is not easy since in buying royalty, locating potential mineral landlords is the a tough task. To find leads, couple of places can be useful:
1. Division Orders
2. Data Vendor with a royalty landlord database

Stage 2 -- Ask sellers with a proposal to buy oil and gas royalties
With the data you have from division orders or from Blackbeard Data, you require the following:
-        Landlord Name and Address,
-        Lease name,
-        Percentage of royalty,
-        Value of royalty
This is ample data to send offers.

Stage 3 -- Attend incoming inquiry calls from oil and gas royalties sellers
The frequency of responses would be like 3 out of 1,000 letters you sent. Those are just calls, not closings. How well you close will determine if you can buy minerals from 2 out of those three or 1 out of 3. To greatly enhance your chances of closing, you need to attend the calls whenever come. Ensure they can reach a representative who can answer their queries.
One of the first things you should inquire about cautiously is if they are shopping the royalty to anyone else. Let them open their mouth first.

Stage 4 -- Rapidly perform due diligence on selling oil and gas royalties who think they wish to sell
Confirm they actually possess the royalty they wish to sell you. That may be as cool as having them send you the preceding 4 months of pay remnants for the royalty, or for lavish acquisitions, a trip to the courthouse for investigation. Whatever you do, do it quick.

Stage 5 -- Release mineral actions and paperwork to those sellers who look like they want to sell oil and gas royalties. Follow-up with these people instantly.


Once you are assured they really possess a royalty you want, call them up with the proposal and then FedEx the paperwork once they agree. After 24 hours call to 'confirm they received it'.
Stage 6 -- After receiving actions and compensating the oil and gas royalties seller, file the deed with the exact district court.

Your legal board will give you advice on what documents they need sign, as soon as they return that to you, then the seller should be funded. Next is to file the deed with the courthouse.Visit to read more www.uniroyalties.com/oil-gas-royalties

UNI Royalties, Ltd.
P.O. Box 1959
Parker CO 80134
Toll Free: 1-888-916-0220
Local Phone: 1-720-663-1187
e-mail: sellroyalties@gmail.com




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