Oklahoma sits at the intersection of energy and property law in ways that few other states can match. Mineral rights have been bought, sold, leased, inherited, and divided across generations — creating a web of ownership that is often far more complex than the surface property above it.
Whether you own mineral interests, are negotiating a lease with an operator, need title defects resolved, or want to transfer mineral rights as part of your estate plan, the legal details matter enormously. A single error in a mineral deed or an overlooked lease provision can cost you significant money — sometimes for decades.
I help Oklahoma mineral owners and interest holders protect their rights with careful, thorough legal work. From curative title to lease negotiation to mineral transfers, my goal is to make sure your interests are properly documented, legally sound, and aligned with your broader financial and estate planning goals.
Mineral Interest Transfers
Transferring mineral interests — whether by sale, gift, or as part of an estate plan — requires precise legal draftsmanship. A mineral deed must accurately describe:
- The legal description of the property
- The fractional interest being transferred (e.g., an undivided 1/8th mineral interest)
- Any reservations or exceptions (interests the grantor is retaining)
- The depth limitations, if any
- Whether the transfer includes overriding royalty interests or other non-operating interests
Oklahoma mineral interests have often been divided many times over generations. A single 160-acre quarter section may have dozens of mineral owners, each holding a small fractional interest. Transfers in this environment require a clear understanding of the existing ownership structure and meticulous attention to the deed language.
I prepare mineral deeds that are clear, legally compliant, and properly recorded. If the transfer is part of a broader estate plan, I coordinate the mineral transfer with your trust, will, or other planning documents to ensure everything works together.
Common Mineral Transfer Scenarios
Selling mineral interests. If you are selling all or part of your mineral interests, I draft the mineral deed, review the purchase agreement, and ensure the transaction is properly executed and recorded.
Gifting mineral interests. Transferring minerals to family members during your lifetime can be a useful estate planning strategy, but it has legal and tax implications that must be understood. I advise on the best approach and prepare the necessary documents.
Transferring to a trust. Moving mineral interests into a revocable living trust allows them to pass to your beneficiaries without probate. I prepare the mineral deed to the trust and coordinate with your overall estate plan.
Probate transfers. When a mineral owner dies, their interests must be distributed through probate (unless the interests are held in a trust or subject to a transfer-on-death deed). I handle probate of mineral interests, including the preparation of probate deeds and the coordination with operators to ensure royalty payments are redirected to the proper heirs.
Curative Title Work
Before an operator will drill a well, execute a new lease, or pay a division order, they need to confirm that the mineral title is clear — meaning there are no unresolved defects in the chain of ownership. When defects exist, “curative” work is required to fix them.
Mineral title in Oklahoma can be complicated by decades of transfers, deaths, divorces, failed probates, and recording errors. I regularly handle curative issues including:
- Missing or defective deeds — Gaps in the chain of title that need to be bridged
- Probate issues — Mineral interests still titled in the name of deceased owners who never went through probate
- Heirship determinations — Establishing who inherited mineral interests when an owner died without a will or with an incomplete probate
- Unreleased mortgages and liens — Old encumbrances that were satisfied but never properly released of record
- Errors in legal descriptions — Incorrect descriptions that create ambiguity about what was actually conveyed
- Break in the chain of title — Missing conveyances, corporate dissolutions, or tax sales that interrupted the ownership chain
- Affidavits of identity, non-production, and possession — Sworn statements used to resolve specific title questions
Curative work requires patience, thoroughness, and a deep understanding of Oklahoma property law and recording practices. I take this work seriously because clean title is the foundation of every mineral transaction.
Lease Review and Contract Negotiation
An oil and gas lease is one of the most important — and most one-sided — contracts a mineral owner will ever sign. Standard form leases are drafted by operators and typically contain provisions that, if left unchanged, significantly favor the operator at the mineral owner’s expense.
Before you sign a lease, you need an attorney who understands what each provision means and where there is room to negotiate better terms. Key lease provisions I review and negotiate include:
Royalty Rate
The royalty rate determines what percentage of production revenue you receive. Oklahoma’s statutory minimum is 1/8th (12.5%), but many mineral owners can negotiate higher rates — 3/16ths, 1/5th, or even 1/4th — depending on the location and competitive interest in the area.
Bonus Payment
The bonus is the upfront payment you receive for signing the lease. Bonus amounts vary widely depending on market conditions, location, and competition among operators. I help mineral owners evaluate whether a bonus offer is fair given current market conditions.
Lease Term and Extensions
The primary term specifies how long the operator has to begin drilling. Extension clauses — including continuous drilling provisions, shut-in royalty clauses, and force majeure provisions — can keep a lease alive long after the original term expires. I review these provisions to ensure you are not locked into an unproductive lease indefinitely.
Post-Production Cost Deductions
Perhaps the most contested provision in any Oklahoma oil and gas lease. Post-production costs — transportation, compression, processing, gathering, dehydration, and marketing — can significantly reduce your royalty check. I negotiate lease language that limits or eliminates post-production cost deductions.
Surface Protections
If you own both the surface and the minerals (or if you are the surface owner dealing with a severed mineral estate), surface damage provisions are critical. I negotiate protections that require the operator to compensate you for surface damage, restore the surface after operations, and respect your use of the property.
Pooling and Unitization
Oklahoma’s Corporation Commission has broad authority to pool mineral interests for drilling. Your lease language determines what happens when your minerals are force-pooled — including whether you are treated as a participating owner or a non-consenting owner, and what costs, if any, are deducted from your share.
Division Orders
After a well begins producing, the operator sends a division order to each interest holder. A division order is a statement of your ownership interest that authorizes the operator to distribute royalties based on the stated decimal interest.
Division orders should be reviewed carefully. Errors in decimal calculations, incorrect ownership attributions, and provisions that modify your lease terms are all common issues. I review division orders to ensure your interest is correctly stated and that the division order does not contain provisions that undermine your lease rights.
Oil and Gas and Estate Planning
Mineral interests are valuable assets that deserve the same level of estate planning attention as any other property. Unfortunately, mineral interests are among the most commonly overlooked assets in estate planning — and the consequences can be significant.
When a mineral owner dies without a proper estate plan:
- Mineral interests must go through probate, which can take months and requires court involvement
- If there is no will, Oklahoma’s intestacy laws determine who inherits — and fractional interests can splinter among multiple heirs
- Operators may suspend royalty payments until the probate is complete and new ownership is established
- Over generations, a single mineral interest can fragment into dozens of tiny fractional interests, making management and leasing increasingly difficult
I help clients include mineral interests in their estate plans — whether through a trust, a transfer-on-death mineral deed, or careful will drafting. The goal is to ensure your mineral interests pass smoothly to your chosen beneficiaries without probate delays, ownership fragmentation, or interruption of royalty income.
Working with an Attorney Who Understands Both Oil and Gas and Estate Planning
Many attorneys specialize in oil and gas or estate planning — but not both. I practice in both areas because they are deeply interconnected in Oklahoma. When I handle your mineral interests, I am thinking about not just the immediate transaction, but about how it fits into your broader estate and property planning:
- How your minerals should be titled to align with your estate plan
- Whether a trust or TOD deed would protect your heirs from probate
- How lease income affects your overall financial picture
- Whether there are Medicaid planning implications for mineral income
This integrated approach ensures your oil and gas matters are handled with the same thoroughness and long-term thinking that I bring to all of my legal work.
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How I Help with Your Oil & Gas Matters
Initial Consultation
We discuss your mineral interests, your goals, and the specific issue you need help with — whether that is a lease negotiation, a title question, a mineral transfer, or a contract review. I take the time to understand your situation before recommending a course of action.
Title Examination & Research
I examine the chain of title for your mineral interests, identify any defects or gaps in the ownership history, and determine exactly what rights you hold. In Oklahoma, mineral title can be extraordinarily complex — fractional interests, severed estates, and decades of transfers all require careful analysis.
Document Preparation or Review
Whether I am drafting a mineral deed, preparing curative documents, or reviewing a lease, I ensure every document is legally sound, properly executed, and protects your interests. I explain every provision so you understand exactly what you are agreeing to.
Negotiation & Execution
If you are negotiating a lease or contract with an operator, I advocate for terms that protect your interests — royalty rates, surface protections, pooling provisions, and post-production cost deductions. I do not let standard form language go unchallenged.
Recording & Follow-Up
I ensure all documents are properly recorded with the county clerk and that your interests are accurately reflected in the public record. If your oil and gas matter connects to a broader estate plan, I coordinate the integration.
Questions About Oil & Gas?
Every situation is different. Schedule a conversation to discuss your specific needs with Seth Schwenn.
Frequently Asked Questions About Oil & Gas
What is the difference between surface rights and mineral rights in Oklahoma?
In Oklahoma, surface rights and mineral rights can be — and frequently are — separately owned. The surface owner controls the use of the land, while the mineral owner has the right to explore for and extract oil, gas, and other minerals beneath the surface. These rights can be bought, sold, leased, and inherited independently. Many Oklahoma landowners do not realize that buying a piece of property does not necessarily include the mineral rights beneath it.
What is curative title work?
Curative title work is the process of identifying and resolving defects in mineral title. Common defects include missing or improperly executed deeds, gaps in the chain of title, unreleased mortgages, probate issues, and errors in legal descriptions. Operators typically require clear title before they will pay royalties or execute a lease, so curative work is often essential to unlocking the value of your mineral interests.
Should I have an attorney review my oil and gas lease before I sign?
Absolutely. An oil and gas lease is a legally binding contract that grants an operator the right to drill on or under your property and extract minerals for a specified period — potentially decades. Standard form leases are drafted by operators and typically favor the operator. An attorney can negotiate better royalty rates, limit post-production cost deductions, add surface damage protections, and modify pooling and unitization provisions to protect your interests.
How do I transfer mineral interests in Oklahoma?
Mineral interests are transferred by mineral deed, which must be properly drafted, executed, and recorded with the county clerk in the county where the minerals are located. The deed must accurately describe the interest being transferred, including the legal description, the fractional interest, and any reservations or exceptions. An improperly drafted mineral deed can create title problems that are expensive and time-consuming to resolve.
What are post-production costs, and can the operator deduct them from my royalties?
Post-production costs are expenses incurred after oil or gas is produced at the wellhead — transportation, compression, processing, dehydration, and marketing costs. Whether an operator can deduct these costs from your royalties depends on the language of your lease. Oklahoma courts have addressed this issue extensively, and lease language makes all the difference. An attorney can negotiate lease provisions that protect your royalty interest from excessive deductions.
Can mineral interests be included in my estate plan?
Yes, and they should be. Mineral interests are real property under Oklahoma law, and they pass at death just like any other real property — through your will, trust, or by operation of law if you have no estate plan. Mineral interests can be transferred into a revocable living trust to avoid probate, or you can use a transfer-on-death deed for mineral interests in certain circumstances. Proper estate planning for mineral interests prevents fractional ownership problems and ensures your heirs can manage and benefit from the interests without court intervention.
Ready to Discuss Oil & Gas?
Schedule a consultation with Seth Schwenn to get started.