top of page
WHY SELL/FAQ'S

WHY SELL

REDUCING RISK IN AN UNPREDICTABLE MARKET

Oil and gas prices are extremely volatile and fluctuate daily. Let’s take a look back and examine the oil market from 2012 to now. The price of oil was over $100/barrel and once dropped to as low as $27/barrel, yet now has somewhat bounced back to a price of around $50/barrel (Fig. 1).

 

The amount of your royalty checks is largely determined by the price of oil and gas; thus, by divesting your mineral interest, you conserve capital by removing yourself from this roller-coaster industry.

STIMULATE VALUE

Selling gives you a lump sum by converting your oil and gas rights into cash today and you can make your minerals go to work for you. Instead of waiting years to possibly receive money in the form of irregular royalty checks that are often much lower than what you estimated, ShaleRock Holdings gives you the option of receiving an instant lump sum cash-in-hand payment.

 

This allows you to create a different type of royalty check by investing in more stable markets, paying off debt, financing a retirement plan, or even taking the trip of a lifetime that you never thought was possible! ShaleRock Holdings works to ensure that you get the most of your mineral interest.

SAVINGS DURING TAX SEASON

Oil and gas royalties are treated as regular income and are taxed at your marginal (maximum) tax rate. The royalty income is added to your hard-earned pay checks; therefore, prepare to pay a higher percentage than you pay out of your monthly salary. Diminish tax burdens by utilizing long-term capital gains tax benefits compared to ordinary income rates.

ADVANTAGES OF A 1031 EXCHANGE

A 1031 exchange is a great way to invest tax-free profit into another property. A 1031 exchange permits mineral owners to defer capital gains taxes while enabling significant portfolio growth to largely increase a return on investment.

ESTATE MANAGEMENT AND LIQUIDATION

Safeguard that your loved ones and heirs are in good keeping. Rather than dividing and fighting over royalty interests, it is much easier for an estate to distribute cash assets. By selling your mineral interests now, you will save your family time and probate fees associated with dispensing your mineral assets.

 

ShaleRock Holdings can provide you with immediate liquidity. Please feel free to contact us or visit our Request an Offer tab and one of our acquisition experts will contact you directly.

FAQs

IF I AM CURRENTLY LEASED WITH AN OPERATOR, CAN I STILL SELL MY MINERAL INTEREST?

Most certainly! As a mineral owner, you have the full right and enjoyment to sell your mineral interests at any time. Whether that be just a portion or all of them.

WHAT IS THE PAYMENT TIMEFRAME?

Typically, ShaleRock Holdings can close a transaction from signing and executing a Mineral Deed to funding payment within 10 banking days.

ARE THERE ANY FEES WITH EVALUATING MY MINERAL INTEREST?

Absolutely not! If you are interested in selling your oil and gas rights, ShaleRock Holdings provides an exclusive plan tailored to each mineral owner to fit your individual needs – even if you decide not to sell.  

bottom of page