Last Updated on Texas is a state that is rich in resources like natural oil and gas and some other minerals. Due to this reason, there are different factors that act on property ownership in Texas including oil, gas, and mineral rights.
How to find mineral rights ownership in Texas? In this article, we will be looking at the ways you can accomplish that.
Texas Mineral Rights Overview
Someone that owns the mineral rights in Texas has the rights to mineral deposits existing beneath the surface of a parcel of property, while the surface rights include everything above the ground.
Generally, these mineral rights belong to the surface estate owner, but the rights can be transferred through a lease or sale to a second party.
Who Owns The Mineral Rights On Your Property?
Typically, mineral rights are given when you sell a property unless it is not specified and included in the property’s chain of title, which is a document that keeps a clear record of the history of the property’s transfers.
It could be a daunting task to figure out Texas mineral rights in some cases in regard to land ownership. It would be beneficial for mineral owners to hire a legal professional with lots of experience.
Mineral rights ownership can be established in the following ways:
Deed
A deed is used in transferring the ownership of mineral rights from one party to the other.
Lease
A lease is used to give someone or a company free access to explore and carry out a project on your property in exchange for payment.
Severance
Surface rights and mineral rights do not always have to be owned together. For example, they can be severed and owned by two different parties.
Adverse Possession
Mineral rights can be gotten through adverse possession in some cases. What this represents is that a party can claim ownership of the property if they have been using it continuously and openly for a specific timeframe.
Surface Use Agreement
The surface rights holder can enter a surface use agreement with the mineral rights owner to determine how the land can be utilized for the exploration and extraction of minerals.
Royalties
Royalty deeds offer the holders the ability and rights to examine and explore a property and also carry out drilling activity. They also give the owner the right to collect and receive a royal if an organization extracts the minerals.
What this system implies is that royalty deed holders get financial benefits from royalties while mineral rights holders carry out all of the work. Royalties can come from a gas lease, oil production, or other gas activity.
Mineral Estate
The mineral rights are also known as mineral estate in Texas and are taken as a standalone legal entity from the surface rights. For instance, the mineral estate and be leased, bought, or sold.
Texas Railroad Commission
The Texas Railroad Commission is tasked with the regulation of the oil and gas industry. They enforce safety regulations and issue permits for drilling and other activities on a land or property.
Hydraulic Fracturing
This is a method used to extract oil and gas in Texas and it helps to boost the economy and lessen reliance on foreign oil.
How To Search For Oil And Gas Mineral Rights Records in Texas?
Mineral rights owners definitely have a lot to gain. In addition to looking for who pays the property taxes and who also owns the land, there are other things to examine.
So, if you are looking to search for mineral rights in Texas, these are some of the methods you can use:
- Contact A Title Company: You could look for a title company that focuses on the research of property ownership and reach out to them. They can help you search public records and give you a report on the ownership of mineral rights on a particular area of land.
- Hire A Landman: Property owners can hire a landman for a more extensive search of mineral rights in the state. They specialize in researching mineral rights and land ownership.
- Get In Touch With The Texas Railroad Commission: You can contact the Texas Railroad Commission to see if they have any helpful information for your search as they regulate the oil and gas industry in the state.
- Consult With A Mineral Rights Attorney: If finding information about mineral rights in Texas is challenging, then you can get in touch with a mineral rights attorney. They are well-familiarized with the law and can help you out.
- Search Public Records: Searching these records will provide you with enough information about mineral rights in Texas.
- Check the Property Deed: As a landowner in Texas, you can conduct an inspection of the property deed to know if it includes mineral conveyances or reservations. A mineral conveyance indicates that the mineral rights were transferred to you as part of a sale. On the other hand, a mineral reservation signifies that the former owner still owns the mineral rights even after selling the property.
- Check The County Clerk’s Office: You need to head over to the county clerk’s office in the county where the minerals are located at. The office contains data, documents, and records of leases and deeds that have been filed for mineral rights.
Researching Unclaimed Oil And Gas Royalties In Texas
There is always a lot of money from oil and gas royalties that get unclaimed every year. Texas, along with other states has funds to pool these assets.
Most times, these funds are accumulated because the state does not know the next of kin of a given property when the current owner dies.
These resources on the properties will continue yielding royalty checks and the funds are retained waiting for the property owner to be determined.
If you feel like you may have unclaimed royalties, you can begin your search process by locating a title professional who can help you to research the mineral rights on the land.
A Title Search Of Mineral Rights Ownership In Texas
It is not only people with properties that make research about mineral rights. Companies with an interest in the resources available on the land will also need to make inquiries about who owns the mineral rights.
This is because approval from the rightful owners is needed by these companies. The company should also be aware of the person to include when making payment of any royal interest that is gotten from the resources.
So due to the importance of these rights for exploration and production, a company would utilize internal and external resources to confirm the ownership of the mineral rights.
Researching Inherited Mineral rights In Texas
When land is left as part of the inheritance by a relative, the recipient is left to make various decisions. If there are minerals on the property, then it would pay off to make the right decision.
It is highly essential to understand the rights that were owned by the relative and claim them as part of the inheritance.
You can contact a title research professional to provide clarity on any mineral rights and surface rights. They will also help you in staking claim to any royalty payment for minerals that are extracted from the land.
How Much Does A Texas Mineral Search Cost?
Understanding and identifying whether you own the mineral rights on your property can be quite important. However, it is a bit expensive to get online records search company or service to do the work for you.
With the use of mineral management software, hundreds of county records are digitized and made available. These records from the different counties are always up to date.
So, depending on the results of the research, you might spend around $200 to $5000 per 640 acres. You can also use this opportunity to check your royalty payments.
Conclusion
For property owners in Texas, it can be quite lucrative to own the mineral rights on your land. But, it is important to keep in mind that it can be a time-consuming and difficult process to access whether you have the rights.
However, it is worth it to do all the work and research to establish whether you have mineral rights on your property.
Leave a Reply