Buying minerals in Denton County, TX - is the title clean?

General Mineral Rights Discussion
1

Hello, I am looking to purchase the mineral rights to 7.255 acres in Argyle, TX. The minerals are currently under lease to XTO with a producing gas well near by. According to XTO the people I am buying the minerals from own 100% of the minerals.

Should I be concerned that there are two deeds from years ago with the following verbage:

April 26, 1924,

Grantor excepts and reserves from this conveyance an undivided 1/2 of the mines and minerals in and under all of the above described land being 1/16 of the royalties.

November 26, 1926,

Grantor excepts and reserves from this conveyance an undivided 1/2 of the mines and minerals in and under all of the above described land being 1/16 of the royalties.

See attached cursory ownership report for full details.

Thanks for any input!

2

Yes.

1/16 of the royalties below to another. If YOUR lease provides for 1/4 royalties (4/16), then your net is 3/16. You eat the NPRI to the extent of the royalty provided in the lease. After that the working interest eats the excess NPRI.

It seems pretty clear that the second reservation was to warrant the first reservation, so it is not in addition to the first reservation. When you hear of the Duhig Rule, this is it in action.