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Royalty Clerk

Terrell County, Texas

Terrell County lease offers: what the record shows

The median new lease in Terrell County sold $90,000 of oil and gas in its first 36 months. At a 1/4 royalty that was about $20 an acre. 1 drilling permits in 24 months, from 1 company. 6 State leases on record, the latest in February 2026.
Check my offerDrilling near my tract

A middle lease, not a forecast.

Your offer

Is this Terrell County offer in line?

Three numbers from the letter. Each one is set against a public figure for this county, and the figure is named.

Paid once, when you sign.

Your share of what is sold.

Time the company has to drill.

The "+2" of a 3+2.

No account. Nothing you type is kept.

Your land

Is anyone drilling near your Terrell County tract?

707 wells and 1 drilling location permitted in the last 24 months. An offer usually arrives because a well is planned close by. Find yours.

In the legal description, written like "A-386" or "Abstract 386".

Map of Terrell County, Texas, with 707 oil and gas wells and 1 recent drilling locations as dots.
  • Drilling locations1Permits issued in the last two years
  • Producing wells526On a lease reporting production now
  • Not producing156Shut in, inactive or no lease on record
  • Plugged25The state's wellbore record says plugged

Sources: Railroad Commission of Texas well layers and permit files, US Census Bureau county outline, base map from USGS The National Map. A dot is a surface location; a horizontal well runs a mile or more from it.

See the whole Texas well map

In dollars

What each royalty paid in Terrell County

The median new lease here sold $90,000 of oil and gas in its first 36 months (11 leases). This is what one acre earned from that, at each royalty a company might offer.

One acre, in a 1,280-acre unit

  • 1/8$10
  • 3/16$10
  • 1/5$10
  • 1/4$20

Going from 3/16 to 1/4 was worth about $0 an acre in the first 36 months. A higher bonus is paid once. A higher royalty is paid on every barrel for the life of the wells.

The acres you own, as the offer counts them.

Starts at 1,280 acres, two sections. Change it if the offer names a unit.

What one acre earned, by months since first production
Royalty12 months24 months36 months
1/8$0$0$10
3/16$0$0$10
1/5$0$0$10
1/4$0$10$20
Median lease sold$15,000 (14 leases)$29,000 (13 leases)$90,000 (11 leases)

An estimate from Railroad Commission production at monthly benchmark prices, before severance tax and any costs a lease lets the company take off, and not discounted. A state lease record can hold more than one well. It is what a middle new lease did in the past, not a forecast for your land, and a bonus is certain while a well is not.

The other side of the table

Who is drilling in Terrell County

An offer most often traces back to one of the companies taking drilling permits nearby, even when a broker's name is on the letter.

1 drilling permit in 24 months, taken by 1 company. Urban Oil & Gas Group, LLC holds 100% of them.

  1. Urban Oil & Gas Group, LLC1

Permits the Railroad Commission issued in the last 24 months, cancelled ones left out. The name on a permit is the operator; the offer in your hand may come from a broker working for one of them.

Who sent yours?

Type the company on the offer. We check it against the state's list of registered operators and its permits in Terrell County.

All of Terrell County: leases, operators and production

The record

What the State's leases in Terrell County paid

The General Land Office leases State land in public. It is the only bonus on the public record, so it is a reference for a private offer and not its price.

  • State Relinquishment Act leases, the State's half of the bonus

    Aug 2023 to Feb 2026, State land

    Leases
    6
    Median
    $240
    Bonus per acre, middle half
    $50 to $400
    Royalty
    25%

Figures are for Terrell County. State figures come from the General Land Office's past bid sales. Shared offers are moderated and shown only as a range of at least three offers from at least three people. The State leases State land, so its prices are a reference, not what a private owner will be offered.

Each State lease, newest first

  • $500 an acreFeb 2026

    Relinquishment Act · 355 acres · 1/4 royalty · 5 yr

    AmeriPermian Holdings, LLC

  • $40 an acreAug 2025

    Relinquishment Act · 498 acres · 1/5 royalty · 3 yr

    Longfellow Energy Lp

  • $40 an acreApr 2025

    Relinquishment Act · 468 acres · 1/5 royalty · 3 yr

    Longfellow Energy Lp

  • $400 an acreApr 2025

    Relinquishment Act · 449 acres · 1/4 royalty · 5 yr

    AmeriPermian Holdings, LLC

  • $400 an acreApr 2025

    Relinquishment Act · 222 acres · 1/4 royalty · 5 yr

    AmeriPermian Holdings, LLC

  • $80 an acreAug 2023

    Relinquishment Act · 640 acres · 22.5% royalty · 3 yr

    Longfellow Energy, LP

A Relinquishment Act lease is negotiated by a surface owner as the State's agent, and the two split the bonus and the royalty in half. The land office records the State's half of the bonus, shown here as recorded; the royalty shown is the whole royalty of the lease. A lessee who is a private person is not named.

Median bonus per acre by year, every year on record
YearRelinquishment Act leases, the State's halfState sealed-bid sales
2026$500 (1 lease)None
2025$220 (4 leases)None
2023$80 (1 lease)None

The nearest counties with State leases

Nearest by distance to Terrell County among counties with five or more State leases in five years. Nearby is not the same rock: a county line can sit on a very different part of the basin, so read these as a hint.

Your position

What if I do not sign?

The letter has a deadline. The law does not.

  • Nothing happens on the deadline. An offer is an invitation. The date on it is the company's, not the law's, and a company that wants your acres usually still wants them a month later.

  • If you own all the minerals under the tract, a company needs a lease or another agreement from you to produce the oil and gas under it. A well on a neighbour's land can still drain oil and gas from under yours, which is the real cost of waiting a long time.

  • If you own a share with others, a co-owner, or a company that leased from one, may drill without your consent. It must then account to you for your share of what the well produces, less your share of the reasonable costs of producing and selling it. You owe nothing if the well fails. You are paid from production only after those costs are covered, and no bonus is paid to you.

  • Texas has no broad forced pooling. Unlike Oklahoma or North Dakota, Texas does not let a company add an unwilling owner to a unit as a matter of course. Its compulsory pooling statute, the Mineral Interest Pooling Act, applies only under set conditions and after a fair offer to pool by agreement.

The paper

How to read the offer letter

Five phrases carry most of the money. Here is where they sit and what each one means.
Drawn by us with made-up details. Real letters follow this shape closely.

  1. Net acres, not gross. The bonus is paid on the acres you own, not on the size of the tract. Half the minerals under 80 acres is 40 net acres.

  2. A term plus an option is a longer term. A "3+2" lets the company hold your acres five years. The option is its choice, usually at a price fixed today.

  3. A royalty is only as good as its cost wording. 1/4 with gathering, treating and transport taken off can pay less than 1/5 without. The letter rarely says which.

  4. A draft is not a check. A bank draft gives the company a set number of days to approve your title and pay. If it decides not to, the draft comes back unpaid. Ask for a short window and keep the signed lease until the money clears.

  5. The deadline is theirs. "Valid for 10 days" is how offers are written. Asking questions does not withdraw an offer the company still wants.

Is it a lease, or an offer to buy?

A lease pays a bonus and a royalty, runs for a term, and you still own the minerals. An offer to buy pays one sum for a mineral deed or conveyance, names no royalty and no term, and you own nothing afterwards. If the paper says “purchase”, “convey” or “deed”, it is the second kind.

Check an offer to buy your minerals

The lease

Eight clauses, and why they matter in Terrell County

The offer letter is one page. The lease that follows decides what you are paid for decades.

  • Royalty and costs

    A royalty free of the costs of gathering, treating, compressing and moving the oil and gas.

    Here: The State's own leases in Terrell County most often carry 1/4.

  • Term and option

    Three years and no option, or a full new bonus if the option is used.

    Here: 1 drilling permits were issued here in 24 months. The State allows no option to extend on its Relinquishment Act leases.

  • Pooling

    A limit on the size of the unit your acres can be put in.

  • Release of undrilled land and depths

    Land outside a producing unit, and depths below the deepest producing rock, come back to you when the first term ends.

    Here: 0% of permits here are horizontal: one well can hold a wide tract and a single layer of rock.

  • Flared gas

    Royalty on gas that is flared or used on the lease, not only on gas that is sold.

    Here: Less than 0.1% of the gas reported in Terrell County in the last 12 reported months was vented or flared.

  • Shut-in wells

    A cap on how long a shut-in payment can hold the lease with no production.

  • Surface

    No well pad, road or pipeline on your surface without a separate agreement, if you own the surface.

  • Audit and records

    The right to see the sales records behind your checks.

What owners commonly ask for, as general information. Whether a clause suits your land is a question for a Texas oil and gas lawyer. The lease scan finds these clauses in your own paper and quotes the sentence.

Lease offer review · $49 once

Holding the lease itself? Every clause of this lease explained, with better wording to ask for. Scan it free first and see how many clauses are worth asking to change.

Your reply

Questions to send back to the company

Written with Terrell County's own figures. Copy them into your reply and see what comes back.
  1. Which operator is this lease for, and can the lease be assigned without my consent?
  2. The State's own leases in Terrell County most often carry a 1/4 royalty. Will you match it?
  3. Will the royalty be free of the costs of gathering, treating, compressing and transporting, in those words?
  4. State records show the median new lease here sold $90,000 in its first 36 months, which is about $20 an acre at 1/4 against $10 at 3/16. How does your offer account for that difference?
  5. The Railroad Commission issued 1 drilling permits in Terrell County in 24 months. Why does this lease need a term longer than three years or an option to extend?
  6. Will land outside a producing unit, and depths below the deepest producing formation, be released at the end of the first term?
  7. How is the bonus paid, and if by draft, how many days until it is honoured?

Questions to ask, not legal advice.

Two or three offers

Bigger bonus or bigger royalty?

Put the offers side by side. You will see how much more one pays up front, and how much oil and gas the wells must sell before the higher royalty pays you more, next to what new leases in Terrell County sold.

Your land

The same land for every offer. Then fill in each offer below.

County

Terrell County, Texas

Your share of the tract's mineral acres. Half the minerals under 20 acres is 10.

We start at 1,280. Use the size in the offer or a division order if you know it.

OFFERA

Paid once, when you sign.

As the offer writes it: 1/4, 3/16, 25% or 0.25.

How long the lease lasts if nothing is drilled.

BONUS AT SIGNING
$50,000(most up front)$5,000 × 10 net acres
YOUR SHARE OF THE UNIT
0.0014648418.75% royalty × 10 ÷ 1,280 unit acres
TERM
3 years.

OFFERB

Paid once, when you sign.

As the offer writes it: 1/4, 3/16, 25% or 0.25.

How long the lease lasts if nothing is drilled.

BONUS AT SIGNING
$40,000$4,000 × 10 net acres
YOUR SHARE OF THE UNIT
0.00195313(highest royalty)25% royalty × 10 ÷ 1,280 unit acres
TERM
3 years, plus 2 more if the company uses its option ($10,000, left out).

Have a third offer?

Option payments

Left out: we do not assume the company extends the lease. The company decides whether to use an option, so leaving it out is the cautious comparison.

Open on its own page to share it

A worked example. Put in the offers you have.

The break-even

Offer A pays $10,000 more up front, but offer B pays you more once the wells in the unit sell over $20.5 million of oil and gas in all.

That is about 250,000 barrels of oil at $82.08, the average WTI price of the last 12 months (through October 2026).

Offer B catches up at $20.5 million of sales.

Gross sales from the unit’s wells, over their life

Middle half of new leases in Terrell CountyMedianBreak-evenEstimate, not a prediction for your land

THE WORKING

Bonus, offer A$5,000 × 10 net acres
$50,000
Bonus, offer B$4,000 × 10 net acres
$40,000
Bonus difference, B minus AOffer A pays more up front
−$10,000
Your share, offer A
0.00146484
Your share, offer B
0.00195313
Share difference, B minus A
+0.00048828
Break-even gross sales$10,000 ÷ 0.00048828
$20,480,000
Average WTI oil price, last 12 monthsThrough October 2026
$82.08
The break-even in barrels of oilBreak-even ÷ average price
249,513 bbl

What this comparison assumes

  • Both offers cover the same land in the same unit, so the same wells and the same sales.
  • A dollar of royalty in ten years counts the same as a dollar of bonus today.
  • Royalty is figured on gross sales, before severance tax and any costs the lease lets the company take out.
  • Option payments are left out: we do not assume the company extends the lease.
  • The first term is shown but not used. It does not tell us when, or whether, a well is drilled.
  • Your net acres do not move the break-even. The unit’s size does: a unit twice as big doubles it.

Estimate · about the county, not your land

What new leases in Terrell County sold

The gross value of the oil and gas that Railroad Commission leases in Terrell County sold in their first 12, 24 and 36 months of production, for leases that started producing in the last six years. It tells you about leases in the county. It is not a prediction for your land or for when, or whether, a well is drilled on it.

  • The median new lease in Terrell County had sold $90,412 by 36 months, less than the $20.5 million it takes here. That is the longest period in the record, and we do not guess past it.
Gross sales of new leases in Terrell County, by months since first production (estimate). M means million dollars.
Months since first productionMedianMiddle half
12 months14 leases$15,317$5,879 to $0.1M
24 months13 leases$29,193$13,597 to $0.1M
36 months11 leases$90,412$23,277 to $0.2M

M means million dollars. The middle half runs from the lower quarter to the upper quarter: a quarter of the leases sold less, a quarter sold more. Half sold more than the median and half less.

How this estimate is made
  • A Railroad Commission lease stands in for a unit. It is not your unit, and its wells are not your wells.
  • Months count from the first month the lease shows production in the record we hold, which may not be its very first.
  • A lease counts only when every month of the period was reported.
  • Volumes the operator reported moving, priced at each month's WTI oil and Henry Hub gas prices. Some of those volumes are not sales, so this is a gross value, not money anyone received.
  • One Mcf of gas is counted as one MMBtu.
  • Before taxes and costs, with no discounting.
  • Between 12, 24 and 36 months we draw a straight line from one median to the next.
  • The leases counted at 12, 24 and 36 months are not all the same leases.
  • We say nothing about when drilling starts or when a well first produces.

SourceRailroad Commission production reports, priced at the EIA’s monthly WTI and Henry Hub averages; worked out Nov 9, 2026.

Each offer against Terrell County’s lease record

OFFER A

  • The State's half of the bonus on those leases was $50 to $400 an acre, median $240, so the whole bonus on a middle lease was about $480 an acre. Set your $5,000 against the whole figure.From 6 Relinquishment Act leases in Terrell County recorded by the General Land Office, 2023 to 2026 (a surface owner leasing for the State, who keeps half: the figures are the State's half of the bonus as its records show it).
  • The lease's royalty of 3/16 compares with 1/4, the most common one in General Land Office leases for Terrell County.From the most common royalty in General Land Office leases for Terrell County.
  • The lease's first term of 3 years compares with a median of 4 years in Terrell County.From the median first term in General Land Office leases for Terrell County.

OFFER B

  • The State's half of the bonus on those leases was $50 to $400 an acre, median $240, so the whole bonus on a middle lease was about $480 an acre. Set your $4,000 against the whole figure.From 6 Relinquishment Act leases in Terrell County recorded by the General Land Office, 2023 to 2026 (a surface owner leasing for the State, who keeps half: the figures are the State's half of the bonus as its records show it).
  • The lease's royalty of 1/4 is the most common one in General Land Office leases for Terrell County.From the most common royalty in General Land Office leases for Terrell County.
  • The lease's first term of 3 years compares with a median of 4 years in Terrell County.From the median first term in General Land Office leases for Terrell County.

Family land

Is the offer addressed to someone who has died?

Companies find owners in old county records, so an offer often arrives in the name of a parent or grandparent. It means the family's title was never brought up to date. The company will need every heir to sign, and it may be writing to only one of you.

Before anyone signs, find out what the family holds. A name that still draws lease offers in Terrell County often sits on other leases too, some of them already producing with the money held back.

What to do with inherited mineral rightsSee a sample estate report

Owners helping owners

What were you offered in Terrell County?

Private offers are the one figure no public record holds. Yours helps the next owner, and theirs helps you.

0 of 3

No Terrell County offer has been shared yet. We publish the middle figure once three offers from three people are in.

A person reads each one first. No offer is ever shown alone, and we do not ask your name.

Where the land is.

YYYY-MM-DD. Today if empty.

Kept for the reviewer. Never shown with one offer.

Extension and other terms

What happens to it

A person reads it first. It is never shown alone: a county range appears once three offers from three people are in it. We do not ask your name or the property's address.

Related

FAQ

Questions people ask

What do oil and gas leases pay per acre in Terrell County, Texas?

Relinquishment Act leases: 6 leases, median of the State's half of the bonus $240 per acre (middle half $50 to $400), so the whole bonus was about twice that. These are State land leases and shared offers, a reference for a private offer and not a promise of one.

What royalty do Terrell County leases have?

The State's leases in Terrell County most often carry a royalty of 1/4. A private lease sets its own royalty, and the words that figure it matter as much as the fraction.

Is a bigger bonus or a bigger royalty worth more in Terrell County?

It depends on the wells. The median new lease in Terrell County sold $90,000 in its first 36 months (11 leases). In a 1,280-acre unit that is about $20 an acre at 1/4 and $10 at 3/16, before taxes and costs. So the step from 3/16 to 1/4 was worth about $0 an acre in that time, and it keeps paying. A middle lease in the past is not a forecast for any one tract.

Who is drilling in Terrell County?

The Railroad Commission issued 1 drilling permits in Terrell County in the last 24 months. The companies with the most: Urban Oil & Gas Group, LLC (1). A permit is permission to drill, not a well.

What happens if I do not sign the lease?

Nothing happens on the deadline in the letter. If you own all the minerals under the tract, a company needs a lease or another agreement from you to produce them. If you own a share with others, a co-owner or its lessee may drill without you and must account to you for your share of production less your share of the reasonable costs of producing and marketing. Texas has no broad forced pooling. This is general information, not legal advice.

Read the rule and its sources

How do I know if my offer is good?

Set its bonus, royalty and term against the figures on this page, look at the drilling near your own tract, then scan the lease itself for the clauses that decide what you are paid: how costs are treated, what land is released after the first term, and any option to extend.

Scan a lease

Got a lease in front of you?

The scan quotes the sentence of your lease behind every flag.

Scan the leaseWatch this county

Sources

Primary sources, opened on 29 September 2026. Statute text is the current version on statutes.capitol.texas.gov.