Is there danger losing Mineral Rights?

Montana Mineral Rights Daniels County, MT
1

Is there danger losing mineral rights in a case where someone thought they owned mineral rights and leased the rights to an energy company?

My great uncle owned land near Scobey with a homestead patent. Upon his death, he gifted it to his brother in Norway, who gifted it to my grandfather. When my grandfather died he gifted the "mineral rights" of this land to his children and it has been subsequently passed down to further generations. The surface land was given to Mr. X as payment for handling my grandfather's estate. All this is clearly documented in Daniels County records.

The descendants of Mr. X, in some cases deeded the land to other family members "reserving the mineral rights", and then presently, the current owner of the surface land obtained an oil and gas lease last year from Nextraction Energy.

I believe this is a case of poor title searches, if any, by Mr. X family and by Nextraction Energy. Shale Exploration apparently also believes we own the mineral rights because they have approached us about it.

Have others had any experiences like this?

2

You can lease your minerals. That some oil company leased your minerals from someone who had no right to do so is not your problem. I don't think Montana taxes unproduced minerals and I believe that the minerals would have to have taxes paid on them or be produced for someone to claim them by adverse posession. That's my take on it anyway from the information provided.

3

I hope you have a good attorney.....you need one.

4

I did not experience this, but I was told by Shale Exploration that they have run into this quite a bit where an oil company paid someone who was not actually the mineral owner. To me, it's more evidence that Shale is legitimate and Apache is drilling because Shale is doing more extensive title than clearly has ever been done in Daniels County. I am thinking they need full proof title before they spend so much money to drill. That is what I'm thinking, but like someone else posted, if it were me, I'd hire the best oil attorney I could find.