The Texas General Land Office leases Permanent School Fund (PSF) land to energy firms looking for oil and gas. These firms bid for the right to lease promising tracts, and give 20 to 25 percent in cash or in actual product to the PSF. In this way, the Land Office earns more than it spends, providing a value to Texas public schools and the taxpayer.
The Land Office regulates the activities of oil and gas companies on state lands through a series of permits designed to allow companies to explore and/or develop state minerals while protecting state lands. State lands requiring permits include, submerged lands in bays, lakes, islands, bayous and the Gulf of Mexico out to 10.3 miles.
The Land Office is responsible for the management of oil and gas leases on state-owned lands. Below are the leasing procedures for different types of state-owned mineral interests.
Once an oil and gas lease is issued through the Land Office, there are numerous filing requirements and lease maintenance issues, including pooling state oil and gas leases and pooling the unleased mineral interest of the state under riverbeds, channels, highways, roads, streets or alleys.
Certificates of Fact are a document written by the staff of the General Land Office’s Legal Services Division describing the history, in chronological order, of a particular tract of State land with the Commissioner’s signature. Fee: $100/initial fee, plus $100 per additional file included in the certificate of fact.
Please contact Texas General Land Office Legal Services for more information.