
Understanding Texas Natural Gas Royalties: A Guide
Oil and gas royalties are your share of the value of what is produced from your land, paid under the terms of your lease. A natural gas royalty is simply the version tied to gas, and it works the same way. In Texas, what actually reaches your check depends less on the royalty fraction you negotiated and more on how the operator calculates it. Two owners with the same one-eighth royalty can receive very different amounts from the same well. The check arrives, the math is not shown, and most owners assume it is correct. That assumption is where money quietly disappears, month after month, for the life of the well. Before founding this firm, Attorney Daughtrey spent nearly a decade inside oil companies as a licensed attorney and landman. He reviewed the title and lease language that decides how these payments are figured. Here is how a natural gas