Mineral rights when buying property

[MossyRockRanch]

Wish I had 50% and for them to convey my guess is there is no value. Might want to look on the Texas Railroad site for what wells have been drilled around you and on your property over the years. Finding property in Texas with minerals is not the norm ......Good luck

[MossyRockRanch]

Here is the site

https://gis.rrc.texas.gov/GISViewer/

[ecallarman]

We are closing on some land Monday, and I tried very hard to negotiate a portion of the mineral rights- with no success. The best I could do is negotiate to retain surface rights. SMH

[MossyRockRanch]

The best I could do is negotiate to retain surface rights. Nice Work !

[Kossetx]

Help me understand this folks. If someone owns 1% of the mineral rights they can have someone drill on the land over a majority owner? When my place was leased the lessee told me I would have say since I have 70% MR.

[SaintBlaise]

We are closing on some land Monday, and I tried very hard to negotiate a portion of the mineral rights- with no success. The best I could do is negotiate to retain surface rights. SMH

What happens to the mineral rights in your situation if the owner dies, or dies with no heirs? Do you get it?

[35remington]

There's so much bad advice in this thread, I don't even know where to start. So I won't.

Rubber ducky, this is a complicated subject. You'd do better than to rely on bowhunters as advisors on this topic.

[hog_down]

What happens to the mineral rights in your situation if the owner dies, or dies with no heirs? Do you get it?

No, it will go to the other owners family. If he doesn't have any children, then it will go to his siblings.

[Rubberdown]

I will be reaching out to a lawyer to structure deal if it comes to fruition, just wanting to know what i don't know. I always treat free advice as worth as much as I pay for it and double check with an expert.

[TildenHunter]

Getting 50% is as good as you are likely to get. I would highly doubt that anyone would ever drill on your surface without getting you leased. If they do want a lease and you want to give them one, you can........and make it a no surface lease. The chances of them actually having to put a rig on your place is between slim and none.

You have options.....if they are going to put a unit together they are going to need 640 acres +/-. I am assuming you aren't buying a tract that big right there. If they have all the other neighbors leased up, it is likely they would agree to a no surface lease. We don't like doing them......but we will if we want the lease. If you were only talking about a small 10-30 acre tract then it could present an issue for you. The chances of a company putting an actual drill site on a tract they don't have 100% leased are pretty low IMO. They would have to carry you and then typically you would back in as a Working Interest owner and it is just a big headache. Oil Companies want the least amount of resistance and any good landman can generally structure a satisfactory outcome for both parties.

I would not skip out on buying "a near perfect" property because it has 50% Mineral Interest.

[Rubberdown]

no sir. we have been looking in the sub 50 acre stuff. When I say near perfect, its nice pasture land with a really good tank and an old farm house. Nothing special, but it has a little road frontage, no problems, its just good honest land.

[walker1983]

Getting 50% is as good as you are likely to get. I would highly doubt that anyone would ever drill on your surface without getting you leased. If they do want a lease and you want to give them one, you can........and make it a no surface lease. The chances of them actually having to put a rig on your place is between slim and none.

You have options.....if they are going to put a unit together they are going to need 640 acres +/-. I am assuming you aren't buying a tract that big right there. If they have all the other neighbors leased up, it is likely they would agree to a no surface lease. We don't like doing them......but we will if we want the lease. If you were only talking about a small 10-30 acre tract then it could present an issue for you. The chances of a company putting an actual drill site on a tract they don't have 100% leased are pretty low IMO. They would have to carry you and then typically you would back in as a Working Interest owner and it is just a big headache. Oil Companies want the least amount of resistance and any good landman can generally structure a satisfactory outcome for both parties.

I would not skip out on buying "a near perfect" property because it has 50% Mineral Interest.

This is good advice and information.

Also take a look at the TX RRC's website here, and you can see wells, permits, etc surrounding your property. https://gis.rrc.texas.gov/GISViewer/

[Rubberdown]

what is the RRC? Sorry like i said i dont know what i dont know. Holy smokes I knew there were drilling around there but hot dang theres stuff everywhere out there.

[Gary Roberson]

There's so much bad advice in this thread, I don't even know where to start. So I won't.

Rubber ducky, this is a complicated subject. You'd do better than to rely on bowhunters as advisors on this topic.

Amen!!!

[TildenHunter]

what is the RRC? Sorry like i said i dont know what i dont know.

Texas Railroad Commission.....Like I said, if you don't agree to lease your minerals and your neighbor does.....99/100 times they will put the rig on the neighbor and cut you out of the unit. They do not want to drill with less then 100% leased. Not saying they can't but they sure don't like to do so.