Dave:
Thanks for your reply and yes I should have done a better job of spelling out what I was told; but, I just wanted to leave the question open and see what your answer would be. The Executive Rights issue has been the furthest thing from my mind since I thought I totally understood it, then a landman came a courting trying to lease some of my property and we got to talking about one of the people in a group of landowners (neighbors) that I am working with. They actually have the scenario I quoted above. 50%/50% and Executive Rights, nothing else related to minerals in the deed. My understanding was that the new owner with Executive Rights would negotiate the lease; but, each would get their share of the bonus as well as the royalties. When discussing this with the landman, he said that I was not correct, that the person with the Executive Rights would get all the bonus money; but, would have to share the royalties, end of discussion. I questioned him; but, didn't put up an argument. Just figured that I would address this issue as a better understanding became necessary. Then I saw this post today and thought that this might be a great issue for everyone to see and all the while get me straight.
Thanks again for all your help and understanding.
Dave Quincy said:
For the most part, that is true. There have been more than one case where a land owner has said, "There ain't no f***in oil company gonna drill on my land." They then stand in front of the gate with a shotgun or maybe an AK-47. When that happens, the trucks turn around. However, the oil company will then get an injunction that is served by the local sheriff with some possible back-up. At that point, the landowner has to throw in the towel, and allow the drilling to commence. This assumes that a valid lease is in effect.
tony b. said:Thanks for the information guys. From doing some additional investigation of my own it seems as though if I do not get any mineral rights from the purchase of this land, I get no say so in what happens about any drilling set backs, etc. that occur in the future. I see how a land owner's desires can be put in jeopardy.