Legal Definitions:

The language of conveying mineral rights and royalties can be complex. Definitions and explanations of some common terms and concepts can be helpful when making the decision to sell.

Mineral Rights

An ownership interest in the minerals contained in a particular parcel of land, with or without ownership of the surface of the land. The owner of a parcel’s mineral rights is usually entitled either to produce the minerals from the land, or to receive a royalty from the party that actually extracts the minerals.

Royalties

A percentage share in the proceeds from sale of production from the minerals. Royalties are typically paid by the operator of a well that produces from the minerals owned or leased.

Conveyance

A generic term for any written document which transfers (conveys) real estate or real property interests from one party to another. A conveyance must be acknowledged before a notary (or if a court judgment, be certified as the same as the document on file) and recorded with the County Recorder or Recorder of Deeds.

Deed

A written document which transfers ownership (title) or an interest in real property to another person. The deed must describe the real property, name the party transferring the property (grantor), and the party receiving the property (grantee). The deed must be signed by the grantor, who must then acknowledge before a notary public that he or she executed the deed. To complete the transfer (conveyance), the deed must be recorded in the office of the County Clerk or Recorder of Deeds.

Probate

The legal process in which a court oversees the distribution of property left in a will.

Ancillary Probate

A probate proceeding conducted in a state other than the one the deceased person resided in at the time of death. Ancillary probate proceedings are usually necessary if the deceased owned real estate in a state other than the one of residence at the time death.

If you are interested in selling your mineral rights or would simply like to know more information, please fill out the Request an Offer form or contact us by phone or email.