What Happens When Someone Buys Mineral Rights of Your Land

By | November 4, 2011

Selling mineral rights is not as simple as it looks. It needs a thorough knowledge about the deal and the other procedures which are involved in the deal before committing an agreement with the third party or the person who sell the mineral rights of your land. For now let us see what will happen and what are consequences you are supposed to face after after selling the legal rights of your land.

When someone purchases your mineral rights, that person is legally authorized to enter your property and to do further exploitations like searching for the minerals, drilling them and selling them for other parties.

The complete authority of the minerals which were under you, will entirely go to the purchaser and he can do the drilling and mining operations the moment he purchased or he can schedule them for future uses or he can give them for a lease to other mining companies. They simply act as the middle man who buy the mineral rights from the people like you and sell them to the mining companies which actually indulge all the mining activities. They bought the land from you for some price and when the price of the mineral increases they sell them to the companies and thus make profits.

After you sell the rights, you do not have the right to say no to the mining activities or other digging activities involved in mineral extraction. Every thing will be clearly specified in the agreement. If you do not want your property to be destroyed during the extraction processes you have to mention that in the agreement along with all your considerations.

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