ESTABLISH OWNERSHIP OF MINERAL RIGHTS.

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View NCGA Bill Details2017-2018 Session
Senate Bill 203 (Public) Filed Tuesday, March 7, 2017
AN ACT TO ESTABLISH A UNIFORM PROCEDURE TO DETERMINE TITLE TO OIL, GAS, OR MINERAL RIGHTS.
Intro. by Foushee, Woodard.

Status: Ref To Com On Rules and Operations of the Senate (Senate Action) (Mar 8 2017)

Bill History:

S 203

Bill Summaries:

  • Summary date: Mar 7 2017 - View Summary

    Enacts new GS 1-42.10, Severed surface and mineral interests; registration and merger; publication.

    Provides for the merger of oil, gas, or mineral interests with the surface fee simple estate subject to the interests and defects inherent in the provisions and limitations contained in the documented chain of record title as follows. Deems the oil, gas, or mineral interests to have merged with the surface fee simple estate where it appears on the public records that either (1) the fee simple title to any oil, gas, or mineral interest in an area of land has been severed or separated from the surface fee simple estate of that land and that interest is not currently being mined, drilled, worked, or operated, or in the adverse possession of another or (2) that the record title holder of any oil, gas, or mineral interest has not listed the fee oil, gas, or mineral interest in an area of land for ad valorem tax purposes in the county in which the oil, gas, or mineral interests are located for a period of 10 years prior to the effective date of this act. Establishes qualifications to a merger deemed in accordance with this provision, requiring the title holder on the surface fee simple estate to have the legal capacity to own land in the state, the title holder to have an unbroken chain of title of record to the surface fee simple estate of the area of land for at least 30 years, and that the surface fee simple estate is not in the adverse possession of another. 

    Requires every person claiming any oil, gas, or mineral interest that either (1) is severed or separated from the surface fee simple estate of that land and is not currently being mined, drilled, worked, or operated, or in the adverse possession of another or (2) who has not listed the oil, gas, or mineral interest in an area of land for ad valorem tax purposes in the county in which the oil, gas, or mineral interests are located within the last 10 years, to register the oil, gas, or mineral rights with the register of deeds office in the county or counties in which the oil, gas, or mineral rights are located. Requires a deed demonstrating ownership of those rights to accompany the registration. Establishes that any oil, gas, or mineral rights which are severed from the surface fee simple estate and not registered with the register of deeds office in the county or counties in which the minerals are located by January 1, 2020, to be null and void, and the oil, gas, and mineral rights to merge with the surface fee simple estate. 

    Directs the Secretary of State to give notice of the provisions of this statute at least once each calendar year for three years by publication, and maintain a record of the publications, as specified.

    Clarifies that any oil, gas, or mineral interest registered under the existing provisions of GS 1-42.1 through GS 1-42.9 are not affected by this statute.