HB0292 - Mineral interests-abandoned.

 

2001

State of Wyoming

01LSO-0293

 

 

 

HOUSE BILL NO.  HB0292

 

 

Mineral interests-abandoned.

 

Sponsored by:  Representative(s) Anderson, R.

 

 

A BILL

 

for

 

 1  AN ACT relating to mineral interests; providing a procedure
 2  for abandoning a mineral interest and for vesting an
 3  abandoned mineral interest in the surface owner as
 4  specified; and providing for an effective date.

 5 

 6  Be It Enacted by the Legislature of the State of Wyoming:

 7 

 8         Section 1.  W.S. 34-10-201 through 34-10-210 are
 9  created to read:

10 

11                         ARTICLE 2

12              ABANDONED MINERAL INTERESTS

13 

14         34-10-201.  Definition.

15 

16  In this article, unless the context otherwise requires, the
17  term, "mineral interest", includes any interest in oil,

Page  1

 

 

 

 1  gas, coal, uranium, trona, clay, gravel and all other
 2  minerals of any kind and nature, whether created by grant,
 3  assignment, exception, reservation or otherwise, owned by a
 4  person other than the owner of the surface estate.

 5 

 6         34-10-202.  Abandonment by nonuser; failure to file
 7  statement; vesting in surface owner.

 8 

 9  If unused for fifteen (15) years, a mineral interest shall
10  be deemed to be abandoned, unless a statement of claim is
11  recorded in accordance with W.S. 34-10-204. Title to an
12  abandoned mineral interest shall vest in the owner of the
13  surface estate of the land in or under which the mineral
14  interest is located on the date of abandonment.

15 

16         34-10-203.  Acts constituting use of interest.

17 

18         (a)  A mineral interest is deemed to be used if:

19 

20              (i)  Minerals are produced under that interest;

21 

22              (ii)  Operations are conducted thereon for
23  injection, withdrawal, storage or disposal of water, gas or
24  other fluid substances;

 

Page  2

 

 

 

 1 

 2              (iii)  In the case of solid minerals, there is
 3  production from a common vein or seam by the owners of the
 4  mineral interest;

 5 

 6              (iv)  Any conveyance, valid lease, mortgage,
 7  assignment, order in an estate settlement proceeding,
 8  inheritance tax determination affidavit, termination of
 9  life estate affidavit or any judgment or decree that makes
10  specific reference to the mineral interest is recorded in
11  the office of the county clerk for the county in which the
12  mineral interest is located;

13 

14              (v)  The mineral interest is subject to an order
15  or an agreement to pool or unitize;

16 

17              (vi)  Taxes are paid on the mineral interest on
18  behalf of the owner;

19 

20              (vii)  A statement of claim is recorded in
21  compliance with W.S. 34-10-204; or

22 

 

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 1              (viii)  Its owner or lessee uses the mineral
 2  interest in a manner pursuant to, or authorized by, the
 3  instrument creating the mineral interest.

 4 

 5         34-10-204.  Statement of claim; recording; contents;
 6  effect.

 7 

 8         (a)  A statement of claim shall:

 9 

10              (i)  Be recorded for the owner of the mineral
11  interest prior to the end of the fifteen (15) year period
12  set forth in W.S.  34-10-202, or within two (2) years after
13  July 1, 2001, whichever is later. A joint tenant, but not a
14  tenant in common, may record a claim on behalf of himself
15  and other joint tenants;

16 

17              (ii)  Contain the name and address of the owner
18  of the mineral interest and a legal description of the land
19  on or under which the mineral interest is located;

20 

21              (iii)  Be recorded in the office of the county
22  clerk for the county in which the mineral interest is
23  located.

24 

 

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 1         (b)  A mineral interest is deemed to be in use on the
 2  date of recording if the recording is made within the time
 3  provided by this section.

 4 

 5         34-10-205.  Circumstances where failure to file
 6  statement does not extinguish interest.

 7 

 8         (a)  Failure to record the statement of claim within
 9  the time period provided in W.S. 34-10-204 does not cause a
10  mineral interest to be extinguished if the owner of the
11  mineral interest meets all of the following requirements:

12 

13              (i)  Owns one (1) or more mineral interests in
14  the county in which the mineral interest in question is
15  located at the time of the expiration of the time period
16  provided in W.S. 34-10-204;

17 

18              (ii)  Inadvertently failed to preserve the
19  mineral interest in question; and

20 

21              (iii)  Within ninety (90) days after completion
22  of all of the notices provided for in W.S. 34-10-206,
23  recorded a statement of claim.

24 

 

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 1         34-10-206.  Notice by surface owner required;
 2  contents; proof of service.

 3 

 4         (a)  In order to succeed to the ownership of a mineral
 5  interest upon its lapse, a surface owner shall give notice
 6  of the lapse of the mineral interest by publication. The
 7  publication shall be made once each week for three (3)
 8  consecutive weeks in a newspaper published in each of the
 9  counties in which the mineral interest is located. If there
10  is no newspaper in one (1) or more of the counties, then
11  publication for the counties shall be in one (1) or more
12  newspapers published in the state, and of general
13  circulation within the counties. If the address of the
14  mineral interest owner is of record or can be determined
15  upon reasonable inquiry, notice also shall be made by
16  mailing a copy of the notice by registered or certified
17  mail, return receipt requested, to the owner of the mineral
18  interest within ten (10) days after the last publication is
19  made.

20 

21         (b)  The notice shall state the name of the record
22  owner of the mineral interest, a description of the land on
23  or under which the mineral interest involved is located,
24  and the name of the person giving the notice.

 

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 1 

 2         (c)  If recorded in the office of the county clerk for
 3  the county in which the mineral interest is located, a copy
 4  of the notice and an affidavit of its service is prima
 5  facie evidence in any legal proceeding that such notice has
 6  been given.

 7 

 8         34-10-207.  Waiver of provisions.

 9 

10  The provisions of this article may not be waived until the
11  expiration of the fifteen (15) year period provided in W.S.
12  34-10-202.

13 

14         34-10-208.  Interests exempt.

15 

16         (a)  This article does not apply to:

17 

18              (i)  Any mineral interest owned by any
19  governmental body or agency thereof; or

20 

21              (ii)  Any mineral interest owned by the owner of
22  ten (10) or more mineral interests in the county in which
23  the mineral interest in question is located.

24 

 

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 1         34-10-209.  Prospective and retrospective application.

 2 

 3  This article is both prospective and retrospective in its
 4  application.

 5 

 6         34-10-210.  Water rights unaffected.

 7 

 8  This article shall not be construed as creating any right
 9  to water or the use thereof nor as affecting any existing
10  legislation with respect to water or water rights, except
11  as expressly may be provided herein, nor shall anything
12  herein contained affect or be construed as affecting vested
13  water rights.

14 

15         Section 2.  This act is effective July 1, 2001.

16 

17                         (END)

 

Page  8