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Mineral Rights...help explain

Smawgunner

Junior Member
223
61
Athens
Ok...so let me get this straight. Waaaaay back say in the early 1800's, the original owner..we'll call him "A" was approached by entrepreneur we'll call "B" and bought the mineral rights from "A". Meanwhile, "B" found an oil company..we'll call "C" and leased those rights. Fast forward 100 years and "C" still drills on the land, but "B" has since died by the rights were inherited by a great great great grandson "D". So there HAS to be a signed lease between oil company "C" and mineral rights owner "D". Me, the current land owner is trying to find out what the lease has written in it. Now the true story comes into play. I call oil company "C' and ask to see the lease. They tell me I'd have to go to the courthouse because the lease was written so long ago they don't have a copy. SAY WHAT? Why is it so hard to get a copy of the mineral rights? The company that has the well on my property doesn't have a copy of the lease they have with the original mineral rights owner? What am I missing?
 

bowhunter1023

Owner/Operator
Staff member
48,915
274
Appalachia
Nothing out of the norm and good luck in the courthouse depending on where you live! Those old leases are tough to find and chances are the chain of title involving the company will be tough to follow.

Just as an FYI, there is no such thing as a "copy of the mineral rights". That will be a confusing term to some. You're looking for a copy of the lease which gave them the right to produce the mineral rights.
 
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Huckleberry Finn

Senior Member
15,973
135
The company holding the lease would have to pay a title abstractor to go to the court house and retrieve the lease. It can be easy, but in a historical case like that it probably requires skilled, thorough research. That time is costly, and the company simply doesn't want to foot the bill.

You should consult Ohio Revised Code 5301.56 http://codes.ohio.gov/orc/5301.56
 

bowhunter1023

Owner/Operator
Staff member
48,915
274
Appalachia
As for not having the lease and knowing the current mineral owners, chances are the current company is just one in a long line of companies. Pretty easy to lose a lease that's 100+ years old. The mineral owners came over through their accounting database which is much easier to transfer and maintain.
 

Smawgunner

Junior Member
223
61
Athens
Thanks for the replies...but here is what baffles me. We currently have a gas well on the property which has been there since the 70s. It produces little. I've spoken to the company so I know they are still functioning. But the company can't operate without knowing themselves who they're leasing from can they? I find it hard to believe that the company does not have a signed contract from the mineral rights owners allowing them to drill.

So if I ask them, "what gives you the right to be drilling here", they have to back their answer up with documentation right??? Does the current mineral rights owner NOT get any kickback/royalty from the current well on there now? If not, what's in it for the current mineral rights owner? Doesn't the company pay anything to lease it? Maybe this was done in a lump some years ago? Sorry for my ignorance on this one.
 

bowhunter1023

Owner/Operator
Staff member
48,915
274
Appalachia
I'll have to address this later as this is a long, detail laden explanation. Realistically, you need to hire an attorney with oil and gas experience if you're wanting to challenge their right to drill. Without an attorney, you'll never get a straight answer.
 

Milo

Tatonka guide.
8,184
157
Not so much looking for legal action...just trying to get my head around the process.

No you need legal help. You are either entitles to your rights or your royalties. Either way your need to clear title with them. You can and should get the well logs from odnr
 

Smawgunner

Junior Member
223
61
Athens
You can and should get the well logs from odnr
That's the other odd thing...that well is not listed on ODNR's map or database. There are two abandoned wells that are listed on our property that are on their map. In two weeks I'll be going down to the courthouse and see what I can dig up (I'll pack my lunch). Stay tuned.
 

Smawgunner

Junior Member
223
61
Athens
Just curious...anyone on here NOT own their mineral rights and if so, where are you located, how long have you owned the property and what activity have you seen?
 

Milo

Tatonka guide.
8,184
157
That's the other odd thing...that well is not listed on ODNR's map or database. There are two abandoned wells that are listed on our property that are on their map. In two weeks I'll be going down to the courthouse and see what I can dig up (I'll pack my lunch). Stay tuned.

It's my opinion that they are going to have some issues. I suggest you do it ASAP and get a lawyer lined up. They may owe several years if not decades of royalties..plus interest