Instead, of selling your minerals couldn't you assign your lease (or a portion thereof) keeping your minerals?
kaye
Not sure, but if you assign your lease it would be held until production ceased. If that is true, it could be well after you are gone from this earth. I would not buy a limited assignment.
According to where the minerals are located may make them marketable as a time limit assignment?
On posts such as this you need to give a legal description.
There are royalty deeds where you could deed the royalty from the lease to someone else, but you would retain the mineral rights.
Kaye-
State? If you are wanting to let someone else have the royalty income stream, you can do a term mineral deed that expires after a certain time or certain events happen.
In Texas, when you sign a lease, you are technically assigning your mineral rights to the lessee for as long as the lease lasts. It is not a standard lessor/lessee relationship.
Tom, I'm just asking in general if this is something that is common. Thanks!
Thanks Kitchen!
Kitchen said:
There are royalty deeds where you could deed the royalty from the lease to someone else, but you would retain the mineral rights.
Wade, so a Term Mineral Deed is like a Life Estate?
I think I've read something in the Oklahoma statutes about Life Estates.
Thanks!
Wade Caldwell said:
Kaye-
State? If you are wanting to let someone else have the royalty income stream, you can do a term mineral deed that expires after a certain time or certain events happen.
In Texas, when you sign a lease, you are technically assigning your mineral rights to the lessee for as long as the lease lasts. It is not a standard lessor/lessee relationship.
Kaye, Similar to a life estate. Not sure about Oklahoma law on this.
Dear Kaye,
You brought a very good question to the forum concerning term transactions. Term transactions have not really been discussed on this board.
If you like, or think that enough others will like, I will blog on the subject in the blog area on MRF and let you know when it goes live.
Kaye, The difference is a term deed can be for a fixed number of years instead of depending on how long a person lives like a life estate.
Wade & Buddy, Thanks for the information and yes Buddy, I think other's may like to know a little more on this subject. I know I would!
Mr. Cotton I would very much appreciate reading your views relating to this issue. I think my questions would be along the lines of, could you do this with a well or wells that have been permitted but not drilled?
I am always asking the wrong question…but I know what I mean. LOL
Mr. Cotten,
I apologize for misspellng your name. After reading my post the real question is, I think, can you do this for well 1H going to person A and then have well 2H go to person B?
Sorry for my old mind working so crazy