Inherited Mineral Rights and Probate: What Happens to Oil and Gas Mineral Rights After Someone Passes Away?

Please note the following does not constitute legal advice for inheriting mineral rights and probate. This article is for general information purposes only. Please contact an appropriate estate attorney.

What Is Probate?

Probate is the legal process through which a deceased person’s estate is administered. The county court validates the will, appoints an executor or personal representative, and oversees the distribution of assets to heirs. This legal process typically happens if property or assets, such as mineral rights, are owned solely by the deceased and were not transferred into a trust or assigned to beneficiaries during their lifetime. The beneficiaries of the inherited mineral rights must go through an estate legal process, often referred to as “Probate,” for the heirs of the deceased to legally control the assets. Laws and requirements vary from state and counties. Many times, an Estate Attorney is needed who is familiar with nuances of process and requirements. This process can take a few weeks to a couple years depending on the specific situation.

Assets that commonly go through probate include

• Real estate
• Mineral rights
• Bank accounts without beneficiaries
• Personal property
• Business interests

Until probate is completed, heirs typically do not have legal authority to sell, lease, or transfer those assets.

Inherited Mineral Rights and Probate

Mineral rights are considered real property. When the owner dies, title to those rights must be legally transferred to the heirs.

Operators require clear title before paying royalties or issuing new leases. If mineral rights remain in the name of a deceased owner, Operators may place royalty payments in suspense until ownership is confirmed.

This is where probate becomes necessary.

Through probate, the court establishes:

• Who the rightful heirs are
• How ownership should be divided
• Who has authority to manage the estate

Once probate is complete, a court order or recorded deed transfers the mineral rights to the heirs, clearing the title.

Common Probate Issues with Mineral Rights

Mineral rights often present unique challenges during probate, including:

1. Multiple Heirs
   Inherited mineral rights frequently become divided among several family members and over time, this can lead to fractional ownership, where dozens of descendants own very small percentages.
2. Out-of-State Property
   If mineral rights are located in a different state than where the owner lived, an ancillary probate may be required in the state where the minerals are located.
3. Missing Documentation
   Older mineral rights may lack clear documentation, especially if ownership has been passed down informally through generations.
4. Suspended Royalties
   Oil and gas companies may suspend royalty payments until probate is completed and title is confirmed.

• Please note the above does not constitute legal advice and is for general information purposes only. Please contact an appropriate estate attorney.

Have more questions about owning or selling mineral rights? Visit our frequently asked questions page to learn more.