The United States is one of only two countries that allow private individuals to own mineral rights. The term “mineral rights” refers to the ownership of underground resources like oil, silver, gold, copper, iron, natural gas and uranium. If you own mineral rights, you can search for, extract and sell these resources without authorization from the government.
Transferring mineral rights is a legal transaction. This action typically requires a real estate deed, will or lease that outlines the types of mineral rights to be transferred and to whom. If you’re thinking about transferring your mineral rights, read on to learn more about the process.
How to Transfer Mineral Rights
There are several steps involved in transferring mineral rights to another person or group.
1. Prove Your Ownership
Before you can transfer your mineral rights, you must prove that you own the rights. Providing proof may require in-depth research into the ownership history of the rights, known as the chain of title. Many people use a lawyer or title company to help with this process. Want to find out if you own mineral rights? Get in touch with our team.
2. Get Help From an Attorney
Once you’ve determined you own the mineral rights and have decided what you want to do with them, a qualified attorney can help you make the transfer. A lawyer can advise you on the best way to transfer your mineral rights and draft the legal documents you’ll need.
3. Transfer Your Mineral Rights
You can legally transfer your mineral rights in three ways:
- Transfer by deed: You can sell your mineral rights to another person or company by deed.
- Transfer by will: You can specify who you want to inherit your mineral rights in your will.
- Transfer by lease: You can lease mineral rights to a third party through a lease agreement.
Do Mineral Rights Transfer With Property?
Mineral rights do not necessarily transfer with the property. Typically, a property conveyance (sale) transfers the rights of both the surface land and the minerals underneath until the mineral rights are sold. Mineral rights convey or are conveyed — meaning transferred to a new owner — through a deed.
At the time of the initial mineral rights conveyance, the property deed will include the separation of the surface and mineral rights. Subsequent land deeds will not reference the mineral rights transfer. This process means that when you buy a property, you may not be able to determine if you own mineral rights from your deed. Instead, you’ll likely need to hire a lawyer or title company to perform a mineral rights search to determine if you’re the owner.
Sell Your Minerals to Flat River Minerals
If you’re thinking about selling your mineral rights, Flat River Minerals is a company you can trust. We’re one of the few mineral and royalty acquisition companies in Wyoming. We’re intimately familiar with the region’s land, minerals and people, and we form genuine relationships with all our customers. When you sell to us, you can rest assured that we’ll keep your minerals local.
We also eliminate the middleman to give you the best prices. Our in-house technical team provides highly accurate valuations, and we have the fastest turnaround rates on the market, with closes completed in one to ten days.