Different states in the US have introduced laws regarding mineral rights. Laws in Texas go back to 1869 when it was still under two flags, those of Spain and Mexico. The mineral rights could be severed from the surface rights and either transferred or sold separately. Laws in New York date back to Nov 1865 when oil was struck in Cattaraugus County.
Generally, mineral rights have to be clearly owned irrespective of the surface property. The owner of mineral rights can sell, lease or transfer these rights to another individual or company. Mineral rights agreements have to be drawn up accordingly to register the transaction. Such an agreement could be for a lease between the owner, the lessor and the producer, the lessee. The lease has a definite first term of operation and quantifies the bonus amount and the royalty to be paid to the lessor.
Generally, mineral rights have to be clearly owned irrespective of the surface property. The owner of mineral rights can sell, lease or transfer these rights to another individual or company. Mineral rights agreements have to be drawn up accordingly to register the transaction. Such an agreement could be for a lease between the owner, the lessor and the producer, the lessee. The lease has a definite first term of operation and quantifies the bonus amount and the royalty to be paid to the lessor.
No comments:
Post a Comment