BASIC CONVEYANCING RULES FOR MINERAL DEEDS AND ASSIGNMENTS OF OIL AND GAS LEASES Part 1: Conveyances and Reservations of Mineral and Royalty Interests William B. Burford Part 2: Understanding Assignments of Oil and Gas Leases George A. Snell, III William B. Burford George A. Snell, III Hinkle, Hensley, Shanor & Martin, L.L.P. Of Counsel 508 West Wall Street, Suite 444 Steptoe & Johnson PLLC P. O. Box 3580 Herring Bank Building Midland, Texas 79702 2201 Civic Circle, Suite 508 (432) 683-4691 Amarillo, Texas 79109 (432) 683-6518 Fax (806) 359-8611
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[email protected] www.steptoe-johnson.com PART 1 CONVEYANCES AND RESERVATIONS OF MINERAL AND ROYALTY INTERESTS WILLIAM B. BURFORD TABLE OF CONTENTS I. INTRODUCTION 1 II. LAND DESCRIPTION S 1 A. Necessity of Adequate Description 1 1. Specific 1 2. General/Global 2 3. Irregular 2 B. Unspecified Acreage "Out Of" a Tract 2 C. “More or Less” as Part of Description 2 D. Land Bounded by Narrow Strip 3 III. CONVEYANCES OF FRACTIONAL MINERAL INTERESTS 4 A. Describing the Interest Being Conveyed 4 1. Conveyances of Mineral Acres 4 2. Unspecified Undivided Interest 4 3. Term Interests 5 B. Problems with Outstanding Interests and Burdens 5 1. Double Fractions and Similar Sources of Confusion 5 2. Fractional Interest “Out Of” a Larger Interest 6 3. Overconveyances: The Duhig Doctrine 6 4. The “Subject To” Clause 7 a. Use of the words "subject to" 7 b. Deeds subject to existing lease 7 c. Inconsistent fractions 8 d.