Mines and Minerals

Mines and minerals, as defined by the Land Registration Act of 2002, encompass strata or seams of minerals or substances beneath land, including the rights to work and extract these resources. Surface land ownership does not automatically grant ownership of subsurface minerals like oil, gas, or minerals. These subsurface rights can be owned separately, potentially by others who have exploration and extraction rights. Some minerals such as oil, gas, coal, gold and silver are state owned.

The Land Registry holds information on both mineral rights and surface land ownership. In cases where land isn’t registered, the title deeds will need reviewing. If the deeds are silent about ownership the presumption is that the landowner owns everything beneath the surface, theoretically to the centre of the Earth.

Excluding mineral rights can have various effects:

Subsidence Risks: Although the mineral rights owner typically cannot enter the surface land, they can extract minerals, potentially compromising land stability and causing subsidence issues.

Development Constraints: If the surface landowner intends to develop the land they must ensure that activities, such as laying foundations, don’t interfere with the minerals to avoid trespassing claims.

Injunction Possibility: If development work commences without considering mineral rights, the owner of these rights may seek an injunction to halt further work.

To mitigate these risks, consider title insurance which safeguards landowners against potential trespass claims from mineral owners.  Note however contacting the mineral owner at any stage could jeopardise policy issuance or invalidate an existing policy.

How can Butcher & Barlow help?

If you’re contemplating purchasing land or property, and the selling agent indicates that mineral rights are excepted, it’s vital to seek advice promptly, and before making a legal commitment to purchase. Taking proactive steps and seeking advice can help protect your interests and ensure a smoother property transaction.

You can can contact our Agriculture and Rural Affairs team on 01606 334309 or email enquiries@butcher-barlow.co.uk.

This article was first published in the November edition of The Farmart magazine.