Frequently asked questions
What is a mineral right and royalty?
In the context of oil and gas, a mineral right refers to the ownership of subsurface rights to extract minerals from the land. A royalty represents the right to a share in the revenue generated from the production of minerals without bearing the costs of exploration and extraction.
What are the advantages of owning mineral rights & royalties?
Mineral rights & royalties provide tax-advantaged, monthly income. Royalty owners are able to utilize both percentage and cost depletion on their investment. They are a natural hedge against inflation that do not have the risks or costs associated with drilling and exploration.
How do I receive my payments?
Noble Royalties affiliate, Compass Royalty Management, handles all aspects of mineral right & royalty asset management. Compass will manage the revenue produced by the assets, pay Ad Valorem taxes associated with the assets, process all division orders, pro-actively lease the assets, and ensure revenue is maximized. Compass has the ability to make mineral & royalty ownership a streamlined process and provides you with monthly revenue checks and year-end tax documents.
