What Is a Mineral Rights Reservation Deed in Real Estate?

A Mineral Rights Reservation Deed is a legal document used when someone sells land but reserves (keeps) the mineral rights underneath—such as oil, gas, coal, metals, or other subsurface minerals. The buyer receives the surface property, but the seller retains ownership and control of the minerals below.

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💡 Why a Mineral Rights Reservation Deed Matters

This deed creates a split estate, where one party owns the surface land and another owns the minerals below. Mineral rights can be far more valuable than the land itself, and owners may lease or sell those rights independently. Buyers must understand that mineral activity may occur even without surface-owner consent.

  • ✔ Seller keeps subsurface mineral rights
  • ✔ Buyer receives surface property only
  • ✔ Mineral owner may lease or sell mineral rights
  • ✔ Mineral development may require access to surface land
  • ✔ Affects future land use, value, and financing

Related: What Is a Mineral Deed?

📌 What Mineral Rights Can Be Reserved

A Mineral Rights Reservation Deed must describe exactly which minerals the seller is keeping. The reservation may include all minerals or only specific ones.

  • Oil and gas rights
  • Coal and lignite
  • Metals such as gold, silver, copper, iron
  • Stone, sand, gravel (varies by state)
  • Geothermal rights
  • Other extractable subsurface materials

Related: What Is a Title Defect?

🔎 How a Mineral Rights Reservation Deed Works

The reservation separates the land into surface rights and mineral rights. Once recorded, the mineral rights remain with the reserving party even if the surface property is later sold again.

  • 1. Seller conveys the land to a new owner.
  • 2. Seller reserves the minerals in the deed.
  • 3. Deed is recorded and becomes part of the property’s title chain.
  • 4. Mineral rights remain with the seller permanently unless later transferred.
  • 5. Surface owner must allow reasonable access if drilling or extraction occurs (varies by state).

Mineral ownership disputes may require a Quiet Title Action.

❗ FSBO Warning: Reserved Mineral Rights Can Limit Buyer Control

Buyers are often surprised to learn they do not own the minerals under their land. Sellers must disclose reservations clearly. Lack of disclosure can delay or block closing.

  • Surface owners may have limited control over drilling
  • Mineral owners may access property for extraction
  • Reservations remain even after multiple resales
  • Value and financing may be affected
  • Unclear rights can create title problems

Learn more: What Is Title Insurance?

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