Landowner's Royalty

Definition of "Landowner's royalty"

Audrey Wiggins real estate agent
Audrey Wiggins, Real Estate Agent Better Homes & Gardens Real Estate Lifestyle Property Partners

In the mining and petroleum industries, it is a portion of the profit secured from the extracted minerals or oil reserves from the property paid to the property owner. For example, a property owner in Texas and an independent oil company struck oil on the property after signing a contract agreeing to pay a 10% landowner's royalty on all profits secured from the oil recovered.

Have a question or comment?
We're here to help.

*** Your email address will remain confidential.


Popular Real Estate Terms

Popular Real Estate Questions