Mineral rights question, anyone in the business? (1 Viewer)

[SWJJ]

An energy company has leased all the mineral rights surounding my property, but not the rights to my property. A well is going up, the company has a site selected and is preparing to drill. Once they begin to pull natural gas from the ground, do I recieve the royalties from the portion of land that I own the unleased rights to?

 

[Sabine]

I don't know where you are but in Texas we have the rule of capture which basically means someone can drill on a piece of land and drain the oil and gas beneath another property legally because oil and gas flows. If it flows to their land while drilling, and they bring it to the surface, it's theirs. There are some exceptions, but generally in Texas the remedy is to drill your own well and drain it back or get it first. That's my understanding.

 

[Jonesy77]

An energy company has leased all the mineral rights surounding my property, but not the rights to my property. A well is going up, the company has a site selected and is preparing to drill. Once they begin to pull natural gas from the ground, do I recieve the royalties from the portion of land that I own the unleased rights to?

I think they owe you a royalty for what's pulled out from beneath your land

 

[wbbigtymer]

Alls I gots to say is "There will be blood."

 

[jpcdolphan]

Alls I gots to say is "There will be blood."

It certainly looks like his milkshake is about to get drunk.

 

[gavinj]

I would consult an oil & gas attorney in your area. The fee for an initial consultation is probably pretty reasonable.

 

[SWJJ]

I think they owe you a royalty for what's pulled out from beneath your land

Thats what I understand,

but I was wanting to be certain.

 

[feoinfunroe]

An energy company has leased all the mineral rights surounding my property, but not the rights to my property. A well is going up, the company has a site selected and is preparing to drill. Once they begin to pull natural gas from the ground, do I recieve the royalties from the portion of land that I own the unleased rights to?

Are you sure that you have the mineral rights? That's another consideration.

 

[jpcdolphan]

I would consult an oil & gas attorney in your area. The fee for an initial consultation is probably pretty reasonable.

/end thread.

If some serious, or even semi serious, potential money is at stake I would consult a professional and take their advice. Even if it is different from the consensus of a Saintsreport.com poll.

And I would get that advice before the company starts draining the area dry.

 

[feoinfunroe]

Even if it is different from the consensus of a Saintsreport.com poll.

BLASPHEMY!!!!

 

[SWJJ]

Are you sure that you have the mineral rights? That's another consideration.

of course I am sure.

And if I was not sure, the landman that calls me every other week and sends me a letter in the mail 3 times a week certainly is.

 

[Sabine]

do I recieve the royalties from the portion of land that I own the unleased rights to?

How would you, the energy company or the courts be able to determined what amount of oil/gas, if any, migrated from beneath your property to theirs as a result of drilling?

It's impossible. And that, in part, is why we have the rule of capture.

 

[SWJJ]

How would you, the energy company or the courts be able to determined what amount of oil/gas, if any, migrated from beneath your property to theirs as a result of drilling?

It's impossible. And that, in part, is why we have the rule of capture.

I believe the laws in louisiana are different. I do not believe louisiana has the rule of capture.

 

[DomePatrol1980]

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[Severum]

An energy company has leased all the mineral rights surounding my property, but not the rights to my property. A well is going up, the company has a site selected and is preparing to drill. Once they begin to pull natural gas from the ground, do I recieve the royalties from the portion of land that I own the unleased rights to?

You should receive royalties for your section after drilling costs have been recouped. Go Haynesville Shale has discussion groups for your area and I third the attorney consultation.