PROPERTY CODE

CHAPTER 75. TEXAS MINERALS

SUBCHAPTER A. APPLICABILITY


	§ 75.001.  DEFINITIONS;  APPLICATION OF 
CHAPTER.  (a)  In this chapter:   
		(1)  "Mineral" means oil, gas, uranium, sulphur, 
lignite, coal, and any other substance that is ordinarily and 
naturally considered a mineral in this state, regardless of the 
depth at which the oil, gas, uranium, sulphur, lignite, coal, or 
other substance is found.
		(2)  "Mineral proceeds" includes:                                             
			(A)  all obligations to pay resulting from the 
production and sale of minerals, including net revenue interests, 
royalties, overriding royalties, production payments, and joint 
operating agreements;  and
			(B)  all obligations for the acquisition and 
retention of a mineral lease, including bonuses, delay rentals, 
shut-in royalties, and minimum royalties.
		(3)  "Holder" means a person, wherever organized or 
domiciled, who is:      
			(A)  in possession of property that belongs to 
another;                    
			(B)  a trustee;  or                                                          
			(C)  indebted to another on an obligation.                                   
	(b)  This chapter applies to mineral proceeds and the owner's 
underlying right to receive those mineral proceeds if:
		(1)  the owner's underlying right to receive mineral 
proceeds is related to land located in this state;
		(2)  the mineral proceeds result from the production of 
minerals located in this state;  or
		(3)  the mineral proceeds are an obligation for the 
acquisition or retention of a mineral lease to produce minerals 
located in this state.
	(c)  A holder of property presumed abandoned under this 
chapter is subject to the procedures of Chapter 74.
	(d)  This chapter supplements other chapters in this title, 
and each chapter shall be followed to the extent applicable.

Added by Acts 1985, 69th Leg., ch. 230, § 17, eff. Sept. 1, 1985.  
Amended by Acts 1987, 70th Leg., ch. 426, § 6, eff. Sept. 1, 
1987.


	§ 75.002.  TRANSFER AND PURCHASE OF MINERAL INTEREST ON 
MINERAL PROCEEDS.  A person purchasing mineral proceeds of an owner 
whose name has been reported or is reportable to the comptroller 
shall provide documentation required by the comptroller to 
substantiate that the transfer is executed by the reported owner or 
the reported owner's legal agent.

Added by Acts 1997, 75th Leg., ch. 1037, § 37, eff. Sept. 1, 
1997.       

SUBCHAPTER B. PRESUMPTION OF ABANDONMENT


	§ 75.101.  PRESUMPTION OF ABANDONMENT.  (a)  All mineral 
proceeds that are held or owing by the holder and that have remained 
unclaimed by the owner for longer than three years after they became 
payable or distributable and the owner's underlying right to 
receive those mineral proceeds are presumed abandoned.
	(b)  At the time any owner's underlying right to receive 
mineral proceeds is presumed abandoned under this section, any 
mineral proceeds then held for or owing to the owner as a result of 
the underlying right and any mineral proceeds accruing after that 
time as a result of the underlying right and not previously presumed 
abandoned are presumed abandoned.

Added by Acts 1985, 69th Leg., ch. 230, § 17, eff. Sept. 1, 1985.  
Amended by Acts 1987, 70th Leg., ch. 426, § 7, eff. Sept. 1, 
1987.


	§ 75.102.  PRESERVATION OF PROPERTY.  A holder of 
abandoned property shall preserve that property and may not by any 
procedure, including a deduction for service, maintenance, or other 
charge, transfer, convert, or reduce the property to the profits or 
assets of the holder.

Added by Acts 1985, 69th Leg., ch. 230, § 17, eff. Sept. 1, 1985.