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Laura Fitzgerald on Louisiana Life

Mineral Rights Royalties: 5 Red Flags Sellers Need to Know

By Laura FitzGerald

Mineral Rights Royalties: 5 Red Flags Selles Need to Know

The vast majority of people in the oil business are good and honest people. If you looked around, the lion’s share of companies who buy and sell mineral rights royalties are fine and upstanding businesses.

Companies like Phillips Energy Partners, Caddo Minerals, and Pheasant Energy aren’t successful by accident.

Unfortunately, the saying “One bad apple can spoil the whole bunch” isn’t a cliché by accident either. As much as it pains us to say it, some of the companies who purchase mineral rights royalties do not have the mineral owner’s best interest at heart.

The good news is once you know the tactics you can spot them from a mile away.

So let’s talk about some of the common pitfalls that can come up throughout the process. Because your family’s livelihood and legacy are two things you don’t want to lose over two misplaced words in an agreement.

Here are 5 tactics that we’ve seen all too often over the past 30 years.

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Filed Under: Selling Mineral Rights

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