MS HB586

Mineral estates separated from surface estates revert to the surface estate owner after twenty years of nonproduction or no bona fide drilling attempt.

The twenty-year nonproduction period can run continuously or be interrupted; it restarts the day after the last actual production or drilling operations cease.

For shut-in rental payment contracts, the twenty-year period restarts at the end of the rental payment period if no production occurs.

Oil and gas are deemed not in production if wells are not located in the regular governmental quarter-quarter section (oil) or one-half section (gas) where the mineral interest lies.

Mineral interests already separated from surface estates as of July 1, 2020, with twenty years of nonproduction immediately revert to the current surface estate owner upon passage.