# Arkansas Oil & Gas Commission denies royalty rate for Lithium
**URL:** https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554
**Category:** Arkansas Mineral Rights
**Created:** [December 3, 2024, 3:24pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554 "2024-12-03T15:24:45Z")
**Posts on this page:** 14
**Page:** 1
### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [December 3, 2024, 3:24pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/1 "2024-12-03T15:24:45Z")
For those of you watching the Lithium issue in Arkansas.
> **[State Oil and Gas Commission unanimously denies royalty rate application for...](https://arktimes.com/arkansas-blog/2024/11/05/ark-oil-and-gas-commission-unanimously-denies-royalty-rate-application-for-lithium-extraction)**
>
> The lithium companies will have to create a new royalty rate proposal, another delay for the commercial extraction of the mineral in south Arkansas.
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### Author:  [@Jimmy](https://www.mineralrightsforum.com/u/Jimmy)
#### Post date: [December 4, 2024, 2:56am UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/2 "2024-12-04T02:56:39Z")
Fantastic thanks for sharing! Hopefully these companies will get it worked out soon! Have a great Christmas!
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### Author:  [@Mineral\_Man](https://www.mineralrightsforum.com/u/Mineral_Man)
#### Post date: [December 4, 2024, 3:27pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/3 "2024-12-04T15:27:15Z")
Thanks for sharing! Is there an opportunity to buy mineral rights there even with the lithium royalties being so low?
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### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [December 4, 2024, 3:35pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/4 "2024-12-04T15:35:05Z")
The whole Smackover trend is interesting for its regular oil and gas rights and now its lithium. Keep in mind that lithium from saline aquifers usually belongs to the surface owner (in most states) because they own the pore space. Lithium extracted as part of the oil and gas stream may belong to the operator since the water is considered “waste”. In some states, mineral owners have to specifically put lithium (and other minerals) by name in their oil and gas lease before drilling commences.
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### Author:  [@James\_Garner1](https://www.mineralrightsforum.com/u/James_Garner1)
#### Post date: [December 4, 2024, 6:48pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/5 "2024-12-04T18:48:03Z")
@M_Barnes It would be interesting to have some other professional chime in on Lithium since this is such a new recognized value. Including lithium in the OGL will be best practice. I would think looking to other States that had unconsidered mineral production, such as sulphur, may provide some guidance.
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### Author:  [@M\_Barnes](https://www.mineralrightsforum.com/u/M_Barnes)
#### Post date: [December 4, 2024, 7:37pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/6 "2024-12-04T19:37:43Z")
Hope more folks do chime in. I work mostly in OK, where they are talking lithium, bromide, sulphur, hydrogen, helium and more. There was a great attorney speaker at the National Association of Royalty Owners US meeting in October. He gave a quick run through of various states and what their basic laws were pertaining to pore space and who owned it.
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### Author:  [@geo\_leo](https://www.mineralrightsforum.com/u/geo_leo)
#### Post date: [December 10, 2024, 11:18am UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/7 "2024-12-10T11:18:22Z")
Thanks for the lithium update. My family lives in El Dorado. It’s important to all landowners in the area to stay updated on this issue.
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### Author:  [@Kitchen](https://www.mineralrightsforum.com/u/Kitchen)
#### Post date: [December 11, 2024, 3:55pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/8 "2024-12-11T15:55:40Z")
One of the companies who was a party to this application in Arkansas stated his company is actively exploring in Northeast Texas and has seen very good results there - so this is a much larger topic than Arkansas alone.
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### Author:  [@David\_Meinert](https://www.mineralrightsforum.com/u/David_Meinert)
#### Post date: [January 11, 2025, 11:28am UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/9 "2025-01-11T11:28:04Z")
In Arkansas, brine ownership (which is where the Lithium is extracted from) is generally governed by the Strohacker doctrine - which states “that a conveyance or reservation of ‘minerals’ only includes those minerals known to exist in the mind of the public at the time and locality of the conveyance”. So if Lithium was not considered a valuable mineral at the time of severance, then the surface owner probably owns the rights.
The point I’m making here is a reaction to your question about “buy mineral rights”. Based on my understanding, you’d have to actually buy the land / surface rights to benefit.
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### Author:  [@James\_Garner1](https://www.mineralrightsforum.com/u/James_Garner1)
#### Post date: [January 11, 2025, 10:21pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/10 "2025-01-11T22:21:28Z")
Thanks for the contribution to this discussion.
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### Author:  [@Jimmy](https://www.mineralrightsforum.com/u/Jimmy)
#### Post date: [January 12, 2025, 6:32pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/11 "2025-01-12T18:32:55Z")
Still no agreement on the amount of pay for brine! Hopefully Arkansas will get it done soon! Got location stated on my areas! Just don’t know what the commission is going to do yet!
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### Author:  [@Jimmy](https://www.mineralrightsforum.com/u/Jimmy)
#### Post date: [January 19, 2025, 3:09am UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/12 "2025-01-19T03:09:57Z")
> **[ExxonMobil Drilling First Lithium Well in Arkansas, Aims to Be a Leading...](https://investor.exxonmobil.com/news-events/press-releases/detail/1152/exxonmobil-drilling-first-lithium-well-in-arkansas-aims-to)**
>
> Advanced production approach has potential to unlock vast supplies of lithium in North America
> Domestic sourcing will contribute to energy…...
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### Author:  [@Jimmy](https://www.mineralrightsforum.com/u/Jimmy)
#### Post date: [February 25, 2025, 1:29pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/13 "2025-02-25T13:29:59Z")
> **[SWA Lithium Drills New Smackover Well and Conducts Extensive Reservoir...](https://www.standardlithium.com/investors/news-events/press-releases/detail/182/swa-lithium-drills-new-smackover-well-and-conducts)**
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### Author:  [@system](https://www.mineralrightsforum.com/u/system)
#### Post date: [March 3, 2025, 3:25pm UTC](https://www.mineralrightsforum.com/t/arkansas-oil-gas-commission-denies-royalty-rate-for-lithium/78554/14 "2025-03-03T15:25:46Z")
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