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Inherited Mineral Rights in the Powder River Basin

If you inherited mineral rights in the Powder River Basin, you likely own oil, gas, or coalbed methane interests in one of the most active energy regions in Wyoming and Montana. Many families inherit mineral rights here without realizing what they have, where the minerals are located, or what options they have going forward.

The Powder River Basin has a long history of energy production and ongoing development. That means inherited mineral rights in this basin can carry real value, especially if the interest is producing or located near active drilling.

This page explains how inherited mineral rights work specifically in the Powder River Basin, how to confirm what you own, how value is typically determined, and when selling inherited mineral rights might make sense.

What Are Inherited Mineral Rights in the Powder River Basin?

Inherited mineral rights in the Powder River Basin are ownership interests in subsurface minerals that pass to heirs through an estate. These minerals most commonly include:

  • Oil and natural gas

  • Coalbed methane

  • In some cases, other associated hydrocarbons

Most mineral rights in this basin are separate from surface ownership. That means you can inherit mineral rights in Campbell County or Sheridan County without owning any land there.

Many heirs first learn about these rights when:

  • Royalty checks start arriving

  • An operator sends paperwork

  • A buyer contacts them with an offer

Why the Powder River Basin Is Unique

map of the Powder River Basin

Key characteristics:

  • Located primarily in northeastern Wyoming and southeastern Montana

  • Historically one of the largest coal-producing regions in the country

  • Significant oil and gas development across multiple formations

  • High concentration of fractional mineral ownership due to long ownership chains

Major formations in the basin include:

  • Turner

  • Niobrara

  • Parkman

  • Mowry

  • Frontier

  • Sussex

Operators active in the basin have included:

  • EOG Resources

  • Continental Resources

  • Devon Energy

  • Chesapeake

  • Occidental

  • Various private operators

Because of this long development history, mineral ownership in the Powder River Basin is often fragmented across many heirs and generations.

How to Confirm What You Own in the Powder River Basin

Before making any decisions, it is critical to confirm exactly what you inherited.

Step 1: Identify the county

Most Powder River Basin mineral rights are located in counties such as:

The county determines where the official records are kept.

Step 2: Find the legal description

Mineral rights in Wyoming and Montana are usually described using:

  • Township

  • Range

  • Section

This information is found on deeds, division orders, or older lease documents.

Step 3: Determine if the interest is producing

If you receive royalty checks, the interest is producing. If not, it may still have value, especially if there is nearby drilling or permitting activity.

Step 4: Confirm title

Ownership is determined by county records, not family assumptions. Many inherited mineral rights in the Powder River Basin have never been formally transferred on record after multiple deaths.

Do You Need Probate to Sell Inherited Mineral Rights in Wyoming?

Often, yes.

To sell inherited mineral rights in Wyoming, a buyer usually needs clear proof of ownership. That typically requires one of the following:

  • Probate of the prior owner’s estate

  • Transfer through a trust

  • Recorded affidavit of heirship in limited situations

If multiple heirs exist, all parties must usually agree and sign.

Title clarity directly affects:

  • How quickly a deal can close

  • Whether a buyer will proceed

  • The final value of the offer

Image by Delfino Barboza

How Inherited Mineral Rights Are Valued in the Powder River Basin

There is no fixed price per acre. Value depends on several basin-specific factors.

The biggest value drivers

 

1) Producing vs non-producing
Producing mineral rights are usually valued based on cash flow. Non-producing rights are valued based on development potential.

2) Location within the basin
Not all parts of the Powder River Basin are equal. Proximity to active wells and horizontal drilling matters.

3) Formation depth and target zone
Different formations carry different development risks and economics.

4) Operator activity
Permits, drilling plans, and nearby wells often matter more than commodity prices.

5) Your exact interest size
Most inherited mineral rights are fractional. Small interests can still be meaningful, but must be measured precisely.

Lease vs Sell in the Powder River Basin

Common Issues for Powder River Basin Heirs

Inherited mineral rights in this basin often come with specific problems:

  • Ownership spread across many heirs

  • Missing probate records

  • Outdated deeds

  • Confusion over coal vs oil and gas rights

  • Royalty suspensions due to title gaps

These issues are common and fixable, but ignoring them usually reduces value over time.

Counties in the Powder River Basin

Each county page below covers inherited mineral rights for that specific area.

Wyoming:

Montana:

Each county page links back to this basin page and includes local operator activity and ownership patterns.

Image by Morgan Lane
Image by JOGphotos

Simple Next Step

If you inherited mineral rights in the Powder River Basin and want to understand what you own, the most important step is confirming:

  • County and legal description

  • Whether the interest is producing

  • Who is on title

Once that is clear, you can decide whether it makes sense to keep, lease, or sell.

FAQ: Powder River

What are inherited mineral rights in the Powder River Basin?

Inherited mineral rights in the Powder River Basin are ownership interests in oil, gas, or coalbed methane that pass to heirs through an estate.

Are inherited mineral rights valuable in the Powder River Basin?

They can be. Value depends on production status, location, operator activity, and the size of the inherited interest.

Can I sell inherited mineral rights in Wyoming?

Yes, in most cases, but the heirs must show clear ownership through probate or recorded estate documents.

Do mineral rights in the Powder River Basin produce royalties?

Many do. The basin has active oil and gas production across multiple formations.

How do I know what I inherited?

You need to review county records, legal descriptions, and any royalty statements to confirm ownership.

Is the Powder River Basin still active?

Yes. While coal has declined, oil and gas development continues in several parts of the basin.

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