White Star Energy purchases oil and gas royalty and mineral rights from individuals, estates, trusts, non-profit organizations, corporations, and universities. Having inherited, most sellers are not active in the oil and gas business, and cannot justify professional management. We prepare the assignments and deeds, and will conduct additional probate of an estate when necessary. Over the past 22 years we have discovered many reasons why our clients want to sell their interest, some of which include:
· Other investment opportunities – An unforeseen opportunity, new business venture, further diversification of an investment portfolio or a down payment on a new house may create the need for immediate cash.
· Estate planning – In some cases, it is better to sell property now rather than have it become part of your taxable estate and create unnecessary burdens to heirs when there is a need for disposition.
· Estate settlement and trust distribution – Mineral and royalty interests that are part of an estate or trust are much easier to divide among heirs and beneficiaries as cash rather than percentage decimal interests in various properties.
· Depleting asset – Because oil and gas wells are depleting assets, production declines over time and at some point ceases to provide income.
· Tired of paperwork – Keeping up with division orders, company changes, production statements, tax receipts, and 1099's to submit to your accountant or to include in your own tax returns takes a great deal of time.
· Increasing tax burden – Property taxes are always increasing as they are assessed on appraisal district projected values and not on the actual income produced. Besides federal and state income taxes, the properties are also burdened with severance taxes ranging from 4-7.5% in Texas and even higher in other states.
