They are Federal and State laws which say how minerals are extracted and who has rights to use them and profit them. One of the famous way through which many land lords and corporations deal the issue is by selling or leasing the rights. In the agreements for leasing, the company pays the land lord for the rights of minerals beneath his property but the land lord still remains as a owner of the property, building and surface.
There are few agreements which even state which mineral is to be extracted if the property contains more than one mineral. The benefits given to the land lord include bonus during the agreement, monthly rentals on royalties and the share of the production. A well producing rights are always beneficial for the land owner and in case he is not sure about the quality and the quantity of the minerals he can sell his rights whether they are producing or non producing.
Once the agreement between the lessee and the lesser are done, oil or gas is extracted by the process of drilling.
Related Links:
Sell mineral rights
Oil and gas leases
Oil lease
Oil royalties


