Gas mineral oil rights in Texas

Gas mineral and oil rights are perhaps the most precious assets for any Texas land owner. It is therefore vital to correctly negotiate the best oil and gas lease agreements possible so that the value of these assets will be optimized. In order to do this, it is important to consider all the possible uses of the land. Uses that the land can be put to, both immediately and in the distant future.

In the state of Texas, oil and gas are considered as minerals. Nearly two-thirds of the 254 counties in Texas are known to produce oil or gas.

Land owners in Texas may not be very clear about whether they own the mineral rights for the gas mineral and oil found in the earth below their land. County records will be able to show the status of the ownership on the mineral rights found under the land.

For gas mineral oil rights in Texas it is essential to note that in the state of Texas, the mineral estate is a separate interest in land that can be severed from the surface estate. This severance generally occurs in either of the following ways:

• The Texas landowner sells the gas mineral oil rights and retains the surface rights of the land for himself.
• The Texas landowner sells the rights to the surface of the land and retains the gas mineral and oil right for himself.

If the seller does not retain the mineral rights for himself while selling the surface of the land, the mineral interest that the grantor owned at the time of sale is automatically transferred to the buyer.

Before an oil company conducts an exploratory evaluation on your land to test whether it has potential as a prospective drill site, it has to obtain the permission of the mineral owner. In case the land is under lease, the consent of the mineral lessee's is required. To avoid any conflicts, the company can contact the surface owners and surface tenants. However, the Texas law does not make it compulsory to obtain their permission.

Oil and gas are usually found together. Oil is found compressed and trapped within the millions of the tiny pores found inside rocks that are porous. Natural gas is trapped within the pores or with the oil itself.

The following are two main ways that you can benefit from if you have oil or gas mineral reserves under your Texas property.

• A payout of a cash bonus that is generally paid at the time of the initial signing of the oil or gas lease.


• Via a royalty. A royalty arrangement of this kind generally gives the lessor of the Texas land approximately one-eighth of the oil or gas mineral found beneath the Texas property.

Oil and gas reserves are limited and finite, and every oil and gas well will some day be exhausted, plugged and abandoned. So, even though your royalty income may increase in the short term due to rises in oil and gas prices or production enhancement projects, the royalty checks they derive will decline over the long term and eventually stop coming.

Why American Land & Minerals for Gas mineral oil rights in Texas:
We at American Land & Minerals specialize in the acquisition of mineral rights, royalty and overriding royalty interests in Texas and throughout the United States. We can offer generous lump-sum payouts that will enable you to use the proceeds in whatever manner you like and simultaneously free you of the hassles related to uncertain and fast declining royalty checks.