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Sell Oil & Gas Royalties in Michigan

Buckhead Energy buys Michigan royalty interests, ORRIs, and NPRIs with our own capital — Antrim Shale gas, Niagaran pinnacle reef production, and legacy shallow oil. Free written offer, zero fees or commissions, closing in 30–45 days.

19 years buying royalties · A+ BBB · funds wired at closing

Get Your Free Michigan Royalty Offer

Quick Answer To sell oil and gas royalties in Michigan: gather your division orders and recent check stubs, request a written offer from a direct buyer, and close by notarized conveyance recorded in the county where the minerals sit. Michigan trades one tax for another — 6.6% on oil and 5% on gas at the wellhead, but that severance tax is in lieu of all state and local property taxes on the minerals. The urgent Michigan fact is the other direction: an unused severed oil or gas interest is deemed abandoned after 20 years and vests in the surface owner automatically — no lawsuit, no notice required.

What to look for in a Michigan royalty buyer

There is no single "best" royalty buyer for every Michigan owner, but four filters separate a serious buyer from an intermediary. Is the buyer using its own capital? Will they put the offer and its reasoning in writing? Who pays title and closing costs? And has the buyer checked the 20-year clock? This is the first question in Michigan, not the last — a quiet inherited interest may already have vested in the surface owner on paper, and neither of you would necessarily know. Buckhead Energy is a direct buyer, buys with its own funds, and pays the title costs.

How to compare mineral and royalty buyers →

Every Type of Michigan Royalty Interest, Purchased Directly

Royalty Interests (RI)

The classic royalty under a lease on your Michigan minerals — monthly checks from operator production, free of drilling and operating costs.

Overriding Royalties (ORRI)

Carved out of the working interest — common for landmen, geologists, and dealmakers. ORRIs expire with their lease, which makes timing a real consideration. ORRI guide →

Non-Participating (NPRI)

Royalty without executive rights or bonus — often inherited and misunderstood. Fully sellable. NPRI guide →

Producing or recently shut-in, whole or fractional, one well or many counties — including inherited interests still in an estate (we handle heirship).

What makes a Michigan royalty different

What royalty do you get in Michigan?

In almost every state, your oil & gas royalty is set by your lease — not by statute. There is no government-set royalty rate for privately negotiated leases.

Michigan can force-pool you, and pooling orders in practice grant a 1/8 cost-free royalty — but the statute itself fixes no number, guaranteeing only a "just and equitable share."

Source: MCL 324.61513(4)

Typical negotiated lease royalty (market convention, not law): Across the U.S., negotiated oil & gas leases have historically run from 1/8 (12.5%) at the low end to 1/4 (25%) in the most competitive plays, with 3/16 (18.75%) and 1/5 (20%) common in active basins. Your actual rate depends on the play, the operator, the competition for your acreage, and when you signed — not on any state rate.

Michigan's severance tax replaces property tax on the minerals

The tax is withheld at the wellhead by the purchaser and remitted to Treasury:

Crude oil 6.6% of gross cash market value

Source: MCL 205.303

Natural gas 5% of gross cash market value

Source: MCL 205.303

Stripper and marginal crude oil 4% of gross cash market value

Source: MCL 205.303(2)

Production attributable to the State of Michigan or the United States is excluded, and a 4% rate applies to qualifying carbon-dioxide enhanced recovery projects. Certain Antrim and Devonian shale production tied to a state-sold royalty interest is exempt. Confirm your own position with a CPA — this is published reference, not tax advice.

No county property tax on your Michigan minerals

Michigan statute makes the severance tax in lieu of all other state or local taxes upon the oil or gas, the property rights attached to or inherent in them, all leases or rights to develop, and the values created by them. Two carve-outs remain: machinery, pipelines, tanks, and other operating equipment are still taxable, and the exemption does not relieve corporations from franchise or privilege taxes.

Michigan abandons an unused interest after 20 years — automatically

This is the harshest dormancy structure in the country and the reason Michigan deserves attention before anything else. An interest in oil or gas owned by someone other than the surface owner, which has not been sold, leased, mortgaged, or transferred by recorded instrument for twenty years — absent a drilling permit, actual production from the land or from lands pooled or unitized with it, or gas storage use — is <strong>deemed abandoned and vests in the surface owner</strong>, unless the owner records a claim of interest within that period. No lawsuit by the surface owner is required and no individual notice is given. The Michigan Supreme Court upheld the statute in 1980. Note it is limited to oil and gas interests and is not a general all-minerals lapse act. A quiet, inherited, never-leased Michigan interest is the one most likely to have already been lost on paper.

Statute: MCL 554.291

Estimate a dormancy deadline →

Section-township-range off a single meridian

Michigan is a rectangular-survey state surveyed wholly under the Michigan Meridian, with its base line across the southern Lower Peninsula. Both peninsulas key to that one meridian, so Michigan calls do not carry a meridian qualifier the way multi-meridian states do. Private claims survive along the Detroit and St. Clair rivers and around Mackinac from the colonial period and are described by claim number rather than section.

Not sure what you own? Use the ownership flowchart →

Michigan Department of Environment, Great Lakes, and Energy (EGLE)

EGLE's Geologic Resources Management Division — formerly the Oil, Gas, and Minerals Division — permits Michigan wells and holds the records we check on every Michigan evaluation.

Michigan Department of Environment, Great Lakes, and Energy →

Where we buy royalties in Michigan

Antrim Shale

Shallow biogenic gas across the northern Lower Peninsula — long-lived, water-heavy, and the source of thousands of small persistent royalty checks.

Niagaran pinnacle reefs

Northern and southern reef trends — small, sharply defined, high-rate reefs where spacing and unitization matter enormously to a royalty decimal.

Prairie du Chien

The deepest gas-producing formation in Michigan, across the central Lower Peninsula, producing high-BTU liquids-rich gas.

Michigan Stray and shallow oil trends

Older shallow oil pays, with casinghead gas reported separately.

Active Michigan royalty counties include:

OtsegoAntrimMontmorencyKalkaskaCrawfordOscodaMissaukeeWexfordManisteePresque IsleMecostaJackson

All Michigan counties we buy in →

Why Michigan royalty owners sell

The clock runs silently: Michigan's twenty-year abandonment is self-executing — no one has to sue you or tell you. Owners of quiet inherited interests should establish where they stand regardless of whether they intend to sell.

Antrim is mature: Antrim Shale development is decades old and well past peak. Long-lived, but declining, and water handling costs weigh on operator economics.

Fractions split across heirs: Michigan interests carved during the Antrim boom have divided across generations into small decimals scattered over several counties.

How selling your Michigan royalties works

1
Send the basics. Division orders, 3–12 months of check stubs, and your lease if handy — the five documents that sharpen any offer. Missing some? We research county and EGLE records on every Michigan evaluation.
2
Get a written offer. We model each well's production and decline, verify your decimal, apply current prices, and explain the reasoning — never a take-it-or-leave-it number.
3
Review the agreement. The purchase and sale agreement states exactly what's conveyed, the effective date, and who pays costs (we do).
4
Close and get paid. Notarized conveyance recorded in the Michigan county where the minerals sit, funds wired at closing — typically 30–45 days from acceptance.

Know what your checks are telling you

Before you sell — or decide not to — read your own income stream like a buyer would: your royalty statement line by line, the full royalty calculation chain, and your trend over the last year. Run your own numbers with our royalty calculator, ground-truth prices against live WTI & Henry Hub benchmarks. The more you know, the better our conversation.

Frequently asked questions

Can I lose my Michigan mineral rights if I do nothing?

Yes, and more easily than almost anywhere. Under MCL 554.291, a severed oil or gas interest not sold, leased, mortgaged, or transferred by recorded instrument for twenty years — with no drilling permit, production, or gas storage use in that period — is deemed abandoned and vests automatically in the surface owner unless you record a claim of interest. No lawsuit and no individual notice is required. The statute was upheld by the Michigan Supreme Court in 1980.

How much is Michigan severance tax on royalties?

6.6% of gross cash market value on oil and 5% on gas, withheld at the wellhead by the purchaser, with a 4% rate for stripper and marginal oil and for qualifying carbon-dioxide enhanced recovery. Production attributable to the state or federal government is excluded.

Do I pay property tax on Michigan mineral rights?

No. MCL 205.315 makes the severance tax in lieu of all other state and local taxes on the oil or gas and the property rights in them. Operating equipment such as machinery, pipelines, and tanks remains taxable, and the exemption does not cover corporate franchise or privilege taxes.

Can I sell just part of my royalties?

Yes. Partial conveyances are routine — many owners sell a fraction for liquidity and keep the rest. The deed simply describes the portion conveyed.

What is the difference between selling royalties and selling mineral rights?

A royalty interest is the income stream only; mineral rights include the underlying ownership with leasing (executive) rights. Both are sellable. ORRIs (carved from leases, expiring with them) and NPRIs (royalty without bonus or executive rights) are royalty-type interests Buckhead purchases regularly.

Are small royalty checks worth selling?

Often, yes. Small persistent checks — especially from long-lived stripper wells — carry real present value, and administrative burden frequently outweighs modest income for scattered or inherited interests. A written offer prices the whole remaining stream at once.

This page is educational and is not legal, tax, or financial advice. Statutory rates are quoted from the linked issuing agency as of 2026-07-21 and can change by legislative action. Consult a qualified attorney and CPA about your own interest before selling.

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Sell Your Michigan Royalties — Free Offer