After both a Buyer and Seller have reviewed and agreed to an offer to either sell or lease their mineral interest, a transaction will be created. This Help Page will walk you through the steps necessary to close a mineral sale or lease in RRH.
PHASE 1: The Purchase and Sale Agreement
Step 1. Once both parties have agreed to and accepted an offer a transaction will be created. In order to view the workflow steps and actions required to advance your transaction, you must click on and select the transaction from the transactions tab.
Step 2. As a Buyer, you will be asked to upload a PSA for the Seller, as a Seller.
Step 3. As a Seller, you will be notified when the Buyer has uploaded a PSA for you to review and execute. If acceptable you can sign, scan, and upload the executed agreement within the transaction portal or upload your redlined copy for the Buyers review and approval. Should you have questions you can send those directly to the Buyer through the chat feature within each transaction.
PHASE 2: Due Diligence
Step 4. Once the PSA is executed the transaction will move to its next stage, which is due diligence. During this period the Buyer will be running title and reviewing the history of the listing in order to determine if title is marketable and if any curative measures are necessary prior to closing.
PHASE 3: Closing
Step 5. Once the Buyer has completed title they have multiple options on how to proceed depending on the results of their title review. Buyers can issue defect notices for curative measures that need to be resolved prior to closing. Buyers can amend offers if they find less acreage or that the facts surrounding the condition of the listing are materially different than represented. (ie: lower royalty, existing life estate, is only a non-participating royalty interest, etc).
Step 6. Once the Buyer issues a notice of closing and determines any issues have been resolved and title is clear to close, the transaction will move to the closing phase.
Step 7. The next step is for the Seller to upload their payment information for the bank. So that payment can be promptly issued at the time of closing. Sellers may choose to receive a wire transfer or check.
Step 8. Once the Sellers payment information has been sent to the bank, the Buyer will upload the closing documents for the Seller to review, print, and execute in front of a notary. Once executed, the Seller will upload the fully executed documents to the transaction for the Buyer to review and verify all documents were executed properly before the Seller mails them to the Bank for closing.
Step 9. Once the Seller has executed the closing documents they the Seller will mail the original executed documents to escrow at the Bank address listed in the transaction.
Step 10. Once the Seller has executed the closing documents they the Seller will mail the original executed documents to escrow at the Bank address listed in the transaction.
Step 11. After the Seller has shipped the closing documents to the Bank/Escrow the Buyer will complete the clear to close task, and send their funds to the Bank/Escrow.
Step 12. After the Seller has shipped the closing documents to the Bank/Escrow and the Buyer has sent their funds to the Bank/Escrow, the bank will complete the final 3 steps as the transaction is closed and completed.
CLOSED TRANSACTION: Once the Bank confirms both the original documents from the Seller and the correct funds from the Buyer have been received, the Bank will overnight the original documents to the Buyer and wire funds to the Seller.
TRANSACTION VIEW: Once the transaction has been closed, both Buyer and Seller can find the transaction on the transactions page under the "closed" transaction tab. Should either party want to view or download a summary of the transaction simply select the "summary" button on a closed transaction.
Process Complete: - you have now completed a transaction.