Determine Mineral Rights Ownership

Determine Mineral Rights Ownership

If you have ever inherited property, you may be trying to determine mineral rights ownership.   If you own the mineral rights, your property could be worth significantly more than if mineral rights are no longer attached to the property.  We frequently get questions from mineral owners about whether they own the mineral rights for their property.   This post will tell you some of the tricks to determining ownership without spending any money to run title!

How to Determine Mineral Rights Ownership

The primary document that will determine mineral rights ownership is the deed.  The deed should contain language that specifies whether mineral rights are still attached to the property, or whether mineral rights have been severed in the past and are no longer part of the property.   If you have a copy of your deed available, you will need to scan the deed and find language that talks about mineral rights to help you determine mineral rights ownership.

If you are unsure after reviewing the deed whether you own any mineral rights, you have a few options:

Mineral Rights Title:  This is the most expensive option, and we do not recommend it unless you have a large amount of acreage and/or you are in an area that is very active in oil and gas.  Running title can cost thousands of dollars, so unless you have evidence to support that you own the mineral rights, we don’t recommend spending the money.

Previous Lease: If you or your family has leased the property in the past, that’s a good indication that you own the mineral rights associated with the property.   A previous lease means that the entity who lease the property ran title at the time of the lease and determined you owned the mineral rights.  While this method is not 100% accurate, if you have been leased in the past there is a 99% chance you are the true owner of the mineral rights.

Offers to Lease Mineral Rights: If you receive an offer from an operator to lease mineral rights, there is a very good chance you are the true owner.  Operators spend a significant amount of time and money locating the true owners of mineral rights.  If you’ve been contacted by one, the chances are high you own mineral rights.

Offers to Buy Mineral Rights: If you get an offer to purchase your mineral rights, there is a very good chance you own the mineral rights.  The individuals or company who send the letters may not be 100% sure you own them, but there is still a very high chance you do since you are on the record with the state (how they located you).

What to do if you own mineral rights?

Based on the above information, if you own mineral rights the best thing to do is determine how you can get the most value from your mineral rights.  Chances are, leasing mineral rights and waiting for oil and gas production is the best option.  If you owner mineral rights, we recommend that you list your property online where multiple operators can place a bid to lease your mineral rights.  A company like US Mineral Exchange will allow you to quickly get your property online and see what offers you can get to lease mineral rights.

Questions about Mineral Rights Ownership?

If you have questions about your mineral rights ownership, fill out the form below.  We can talk with you about your situation and help you determine the right course of action.

Mineral Owner Inquiry Form

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