My grandmother has been paying taxes on mineral rights in Wheeler County for years. She received a few offers and would like to sell them, but we can't seem to prove that she even owns the rights. Paying the taxes apparently isn't enough. Looking for someone to help us straighten this out.


TIA

I think what you want is a lawyer. And try to find her deeds.

If she is paying taxes on them she should be getting production checks. The check stubs will give you the county and well name. If she is paying taxes but is not getting production checks she is paying taxes on surface acreage, as nonproductive minerals are not taxed. If she is not getting checks but is receiving offers to buy her minerals it likely means she owns surface with some percentage (could be small to all)of minerals under it. Quite often, and there is nothing untoward about this, those making the offers know something you don't know. They generally are, after all, taking a chance. It will not be cheap finding out what you own. And depending where you are in West Texas it might not be easy finding someone to investigate it for you. The only advice I would give is, unless you need the money especially, don't act precipitously.

Unfortunately, she does need the money. She basically lives off of her social security and the couple $100k could save her from having to pay rent.

The County Appraisal office says that she owns the minerals and like I said, the company operating the wells has no record of her owning anything.

We're all located in Houston and she is in Amarillo. We know the well names and the percentage of her ownership. We don't have any deed or lease. These documents were likely lost in her last move.

[This message has been edited by g_werch (edited 8/14/2013 3:32p).]

Wait, they are producing from the land and she isn't getting checks? Those would be better than selling the mineral rights.

I think you need a lawyer and someone to search the county clerk records in Wheeler County.

Jickyjack is correct. Was talking to my mom, who owns some mineral rights. Perhaps it is different in Wheeler County, but most places, you don't pay property taxes on mineral rights, only on the surface if you own the land.

She would be paying income tax on any money she is receiving from leases on the mineral rights or any production. I don't see her paying property taxes on mineral rights severed from the surface, unless they were producing.

My gut feeling is that if a company is willing to pay her six figures for the rights, there is current production on the land at some percentage of their offered price. She should be getting royalty checks.

Mom also agreed with me that if she has mineral rights, they will be recorded in the county clerk's office. She says they will also be on file with the Texas Railroad Commission (whatever they are called now) All of the above are public record, you should be able to retrieve it, or possibly even look it up online.

Someone really needs to look into this. It is possible her cut of the royalty money is going into a holding account because the oil companies no longer have her address. Or if grandpa has passed, no one ever sent them a death certificate so they could legally pay her the royalties.

May I suggest you gather your thoughts and information, and post the situation (as clearly as you know it) on the Outdoors Board?

Lots more traffic there, lots of folks who know oil and gas.

There are some real big oil and gas wells in Wheeler County. I'd also check out the production in the area before selling any mineral rights if you find out she has them.

Ken Fields with Underwood Law Firm in Pampa. He does a lot of O&G work for us in Wheeler Co. Very honest and extremely thorough.

Post the well names and mineral interest. I can figure it out in about 5 minutes.

birdman, do you live in Wheeler? Order me a Maxey's Special and send it my way.

Follow up report?