What Are Mineral Rights? A Simple Guide For Everyone
- ecmresourcesinc
- 4 days ago
- 3 min read
Have you ever thought about what's under the ground where you live? There might be treasures like oil, gold, or gas! The permission to dig up and use these treasures is called mineral rights.
What Are Mineral Rights?
Mineral rights are special permissions that let people own the treasures underground. These treasures can be things like oil, natural gas, coal, gold, silver, and other minerals.
When you own land, you might think you own everything on it. But sometimes, you only own what's on top (surface rights), while someone else owns what's below (mineral rights).
Why Should I Care About Mineral Rights?
Mineral rights matter because:
They can be worth a lot of money!
If you want to buy land, you need to know if mineral rights come with it
If someone else owns the mineral rights to your land, they might be allowed to dig or drill on your property to get the minerals!
Main Types of Mineral Rights
There are three major types of mineral property:
When one person owns both the land on top AND all the minerals underground. It's like owning both the icing AND the cake!
When one person owns the land on top, but someone else owns what's underground. It's like if you owned a sandwich, but someone else owned the filling!
When multiple people share ownership of the minerals. This often happens when parents leave mineral rights to their children or grandchildren. Everyone gets a piece of the treasure!
Types of Mineral Interests
Here are the main ways people can own mineral rights:
This gives the owner full rights to explore, dig up, and produce minerals under their land. It's like having a special key that unlocks all the treasures!
This is when an owner leases their mineral rights to a company. They get money from the sale of minerals without paying for drilling costs. It's like letting someone use your sandbox to find toys, and they share what they find with you!
This type of ownership comes from a lease between an owner and a company. The owner agrees to help pay for drilling and running the well. In return, they get a bigger share of the money made. It's like helping to bake a cake and getting a bigger slice because you helped!
This type of interest gives you money from mineral sales, but you don't get to make decisions about drilling or leasing. It's like getting allowance money without choosing how it's earned!
This isn't ownership of the minerals themselves, but rather ownership of a portion of the revenue from production. It's like getting a small part of someone's lemonade stand profits without owning the stand!
Words to Know
Surface Rights: Permission to use the top of the land
Mineral Rights: Permission to use what's under the land
Royalty: Money paid to owners when minerals are sold
Lease: An agreement to let someone else use your rights for a time
WHAT OUR CLIENTS SAY
"I was receiving tiny royalty checks every month but wanted to use the money for my daughter's college tuition. After selling my rights, I received enough to pay for her ENTIRE education!" - Sarah T.
"After inheriting mineral rights from my parents, I had no idea what they were worth or how to manage them. This company offered me a fair price and handled everything. What a relief!" - James M.
Call ECM Resources today at 720-988-5617 for a FREE evaluation of your mineral rights!
ECM Resources pays top dollar for all types of mineral rights across the United States. Don't let your mineral rights cause stress or financial insecurity- turn them into cash now!
Comments