North Dakota Mineral Rights Attorneys
By now, you have likely heard of the inconceivable oil boom taking place in Western North Dakota. It comes as no surprise that there is a significant amount of money to be made in this area. However, with something as great as this natural resource, there may be legal challenges that are tied to it.
From the 1950s to the 1970s, a large amount of real estate were purchased without obtaining the rights to the minerals. Today, the issue of mineral rights has increased in its importance, especially with the ongoing oil boom that has transformed many towns in western North Dakota. If you are buying or selling a property in North Dakota, it is important to ask questions about any issues you may have regarding your mineral rights.
What Are Mineral Rights?
If you own the minerals underneath the surface of the land, you have mineral rights. You do not have to be the owner of the property to have rights to the minerals. Mineral rights are unrelated to land ownership. You can be a mineral rights owner without owning the land property, but there needs to be a legal agreement with the owner of the property. Mineral rights can be transferred by deed, probate, or court action in North Dakota.
In North Dakota, mineral interests mean having an interest in any minerals of any kind, including the following:
What Does It Mean To Have Mineral Rights?
If you are a mineral owner, this means you have the right to extract minerals and use minerals found underneath the surface of the land. The minerals that are included will depend on the terms of the document within which the property was purchased or sold. The document can include all the minerals beneath the land or it can include limitations on the type of minerals.
How Long Will I Have Mineral Rights?
As long as your mineral rights are not abandoned, you will still have mineral rights. If one has not used or claimed minerals for more than two decades, the minerals will be considered abandoned. What does it mean to use or claim the minerals? If there is any type of activity such as production or leasing, the minerals will be considered to be in use under the laws in North Dakota.
If you have an interest in minerals in North Dakota, you can declare your ownership by completing a Statement of Claim document. Completing this Statement of Claim will ensure your mineral rights are protected from being labeled as abandoned. A landowner can attempt to claim any unused minerals located underneath the property they own. However, mineral owners who are aware of their mineral interests will have a chance to respond to the landowner’s attempt to gain ownership.
What Is The Value of the Mineral Rights?
When a client reaches out to our offices in West Fargo, ND or Dickinson, ND seeking help about mineral rights, one of the topics of discussion is centered around the value of mineral rights. Generally, we will lean on the knowledge and expertise of a landman to determine the value of mineral rights. Generally, the value of mineral rights will be determined during probate.
A landman will determine the value of the mineral rights by examining the location of the minerals, the percentage of minerals a client owns, the current oil price, and other additional factors.
Experienced North Dakota Mineral Rights Lawyers
We understand how challenging mineral rights can be, and that is why we are here to help. It does not matter if you want to determine if you have mineral rights, if you want to protect the mineral rights you know you have, or if you want to buy/sell/convey mineral rights, the law team at Schwab, Thompson & Frisk can help you.
Please do not hesitate to give us a call at 701-365-8088 for a free consultation.