Unusual Question on Prescription of Mineral Rights

In June of 1988, my father donated to me mineral rights for some land in North Caddo. I was a minor at the time (until 1994), and my father owned the land at the time. He later sold the land in January of 1990. There was no mineral production on this property until October of 1998, and we are unsure if this production was too late to maintain mineral servitude. Since I was I minor, I believe that my father would be considered the ward or beneficial owner of the mineral rights. Would the 10 year prescription date be based on the 1988 date of mineral donation or on the 1990 sale of the land itself? If the prescription date would be based on the 1990 sale, then our mineral rights are intact.

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Permalink Reply by M Shane Smith on September 3, 2008 at 18:04
Nothing on the mineral donation document indicates that it was done in compliance with UTMA.
Permalink Reply by Kassi on September 3, 2008 at 23:23
Did you reserve the mineral rights in the land transaction? Also, Have you received any royalties from the production?
Permalink Reply by M Shane Smith on September 4, 2008 at 5:07
We did not receive royalties from the newer production in 1998. The production company is not sure if they have made a mistake, since they purchased the lease in 1998 and can not locate our former lease agreement. We have received royalties continuously from production on some wells that are south of our land (in a different section), because that area was unitized with a small portion of our land in question. Since the wells are in a different section, all the land outside of the unitized area will prescribe after ten years. This would leave us with a small fraction of our original acreage on the mineral deed, unless the prescription date starts ten years after the sale of the land.
Permalink Reply by M Shane Smith on September 4, 2008 at 4:13
In the cash sale deed of the land, the mineral rights were clearly reserved.
Permalink Reply by P.G. on September 4, 2008 at 3:48
Who got the money from the production?
Permalink Reply by M Shane Smith on September 4, 2008 at 4:14
The production company is trying to sort out why we did not get the money for production in 1998, but they just started this task. I am fairly certain that it was the new land owners.
Permalink Reply by M Shane Smith on September 4, 2008 at 10:53
I should have mentioned that my father donated all of his mineral rights to me and did not keep a fractional share for himself, so Duhig rules would not apply if I am not mistaken.

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