Mineral Royalties

Not everyone understands the concept of mineral royalty. Mineral royalty is a fee paid to a landowner by someone who extracts a mineral commodity from the owners property. The royalty contract between the lessor and lessee contains clauses and conditions that are significant to both parties, e.g., annual m1n1mum, escalation factor, duration of the lease, reclamation and assignability. Comparison of royalty rates requires knowledge of many conditions that influence the value of a given deposit. People in several different professions benefit from shared royalty information.