The single most important part of the process in making sure Noble gives you a fair offer based on a sound engineering foundation, is to provide good data. We hear from landowners all the time that they received a bid for their royalties in the mail, and ask why it could take Noble 2 to 3 weeks for a bid, when others gave a bid in 2 days.
If determining the value of your property was that easy, everyone would be doing it. The fact is it takes a team of reservoir engineers to review the past performance in order to determine your current value. It’s a science that simply cannot be done over night or without seeing your property at all. Think about it, would you sell your house based on what someone thinks it is worth, without even looking at it. Of course not, this is why Noble’s disciplined approach in evaluating your property has made Noble the industry leader. We work with you to maximize the potential of your property. This is just a snapshot of the process Noble performs to develop a bid.
- Review (6) months check stubs and build a database with all producing properties
- Research for all permitted wells on the leases. We will build in PROBABLES and POSSIBLES when data supports it (continuous drilling clause, maps and drilling schedules from operator)
- We run a decline curve on each well to determine monthly production going forward
- Apply the current NYMEX strip to determine monthly cash flow going forward
- We show you the decline curves, show the expected future cash flows, and provide comps from other sources (auctions, similar properties we have bought) to show you how we add value where others don’t.
Let us get started. The next step in the process is to request a Free no-obligation bid.