Local Mineral, Oil and Gas Information
The websites below contain descriptive information about mineral mining and production in various U.S. states and Canadian provinces.
Delayed Damage to the Surface
Damage to the surface can be delayed. Subsidence of underground works or settlement of surface mined areas might not occur or be detected until decades after mining is completed. The owner of a fee simple estate should consider these facts before entering into a mineral rights sale or lease agreement. The consequences of mineral extraction will be passed on to heirs and all subsequent owners of the property. It is not uncommon for undermined properties to show no signs of subsidence for decades after mining is completed. Then, cracks and settlement begin to appear. In this situation the mining company may be long defunct and its owners long dead. There is no one to hold responsible - even if repair of any damage was written into the lease or sales agreement.
Damage to Aquifers
Many households in areas where mining or drilling takes place are outside of the service of public water supplies. These property owners rely on water wells for the production of their water. When underground mining occurs beneath a property some subsidence and settlement should be expected. If the mine is below the aquifer tapped by the well, subsidence of the mine could damage the aquifer, causing its water to drain into deeper rock units. This can cause a temporary or permanent loss of the water supply. The value of a rural property without a water supply is a lot lower than the same property with a water supply.
Buying Surface Property
When buying property in areas of potential or historic mineral development, a buyer should determine if a fee simple estate is being purchased or if ownership will be shared with others. Mineral rights transactions are normally a matter of public record and copies of deeds or other agreements are filed at a government office. Real estate buyers should ask the seller to specify what rights are being conveyed and have an attorney confirm that the seller owns what is being sold. In many areas the sale of mineral rights are recorded in the government record in a different deed book or database than the sale of surface property. This means that the deed to the surface property might not mention mineral rights that have been sold away. In areas of historic or potential mining activity the buyer of a property should have an attorney who can do this research and confirm what is being purchased. This can prevent future surprises and problems.
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