Active Acquisition State
Prefer to talk? Call (432) 400-4602
Michigan has been producing oil and gas for over a century, and the state is one of the top natural gas producers in the Midwest. The Antrim Shale in northern Lower Michigan is one of the largest shale gas plays east of the Mississippi, with thousands of wells producing natural gas across a multi-county area. We buy mineral interests and royalties across Michigan, including Antrim Shale gas interests, Niagaran Reef oil and gas production, and emerging Collingwood/Utica play interests. Michigan's diverse production base — spanning conventional reef oil, shale gas, and conventional gas — creates a variety of mineral ownership types that we are experienced in evaluating and purchasing.
Highlighted state with approximate basin locations shown in tan
The table below shows the top producing counties in Michigan where we are most active, along with the primary operators and target formations in each area.
| County | Major Operators | Key Formations |
|---|---|---|
| Otsego | Ward Lake Energy, Muskegon Development, Terra Energy | Antrim Shale |
| Montmorency | Ward Lake Energy, Terra Energy | Antrim Shale |
| Oscoda | Ward Lake Energy, Muskegon Development | Antrim Shale |
| Crawford | Ward Lake Energy, Muskegon Development | Antrim Shale |
| Kalkaska | Muskegon Development, West Bay Exploration | Antrim Shale, Niagaran Reef |
| Missaukee | Muskegon Development, West Bay Exploration | Antrim Shale, Niagaran Reef |
| Roscommon | West Bay Exploration, Ward Lake Energy | Antrim Shale, Niagaran Reef |
We cover 16 Michigan counties in total. Beyond the counties highlighted above, we also buy mineral rights in these 9 additional producing counties, listed in order of recent oil and gas activity:
Michigan's oil and gas industry is operated primarily by small, independent companies with deep local expertise. Ward Lake Energy, Muskegon Development Company, Terra Energy, and West Bay Exploration are among the most active operators in the Antrim Shale and Niagaran Reef trends. These operators have been in Michigan for decades and have specialized knowledge of the state's unique geology and production characteristics. The small-operator nature of Michigan production means that the industry is highly localized, with operators maintaining close relationships with the mineral owners and communities where they work.
Operators ranked by the number of Michigan counties where they hold the top active-well count. Counties where the operator runs the most active wells link through to the county detail page.
| Operator | Counties | Top Counties |
|---|---|---|
| Ward Lake Energy | 4 | Montmorency, Otsego, Oscoda, Crawford |
| Riverside Energy Michigan LLC | 3 | ANtrim, ALpena, ALcona |
| Lambda Energy Resources LLC | 2 | MAnistee, GRand Traverse |
| Muskegon Development | 2 | Kalkaska, Missaukee |
| Muskegon Operating Company LLC | 2 | BAy, OGemaw |
| Consumers Energy CO | 1 | CLare |
| Mid Michigan Gas Storage CO | 1 | OSceola |
| West Bay Exploration | 1 | Roscommon |
Michigan lease terms typically include royalty rates of 1/8 (12.5%) to 1/5 (20%), with 1/8 being the most common standard. Michigan has a compulsory pooling statute through the Department of Environment, Great Lakes, and Energy (EGLE), though it is used less frequently than in major shale states. Bonus payments for new leases have varied significantly over time, with periods of active leasing competition driving higher bonuses in certain areas. Michigan imposes a severance tax of 5% on oil production and 5% on gas production (by volume), plus additional fees. Many Michigan mineral leases from the Antrim boom of the 1990s and 2000s are held by production.
We buy mineral interests, royalty interests, NPRI, and ORRI across Michigan's producing counties.
Not sure which type you own? Start with our mineral rights glossary for plain-English definitions of MI, RI, NPRI, and ORRI.
Michigan's mineral rights market has some unique characteristics. The Antrim Shale's shallow depth means that many wells were drilled at relatively low cost, creating a large population of mineral owners with active production. Michigan also has significant state-owned minerals managed by the Department of Natural Resources, particularly in the northern Lower Peninsula. The Department of Environment, Great Lakes, and Energy (EGLE) regulates oil and gas production in the state and maintains well records and production data that we use in our evaluations.
Michigan mineral owners occasionally run into questions about severance-tax treatment, dormant mineral statutes, and non-participating royalty interests. These topics rarely drive a transaction, but understanding them helps you read a division order or evaluate an offer. The summaries below are starting points — verify against current statute text before relying on them.
Severance tax: 5% on oil, 4% on natural gas (MCL 205.301). Reduced rates for stripper wells and certain qualifying marginal production.
Michigan also imposes county ad valorem property tax on producing minerals. The Antrim Shale (Otsego, Montmorency, Oscoda) and the legacy Niagaran/Trenton-Black River reefs are the primary producing trends.
Statutory citation: MCL 205.301 et seq.
Michigan has a Dormant Mineral Act (MCL 554.291 et seq.) for severed mineral interests. After 20 years of non-use, the surface owner may file a notice procedure; the mineral owner has a defined window to preserve the interest. Without preservation, the interest reverts to the surface owner.
Statutory citation: MCL 554.291 et seq.
Michigan recognizes NPRIs as cost-free royalty interests. They are subject to the same 20-year dormant mineral risk under MCL 554.291 — unused NPRIs should be preserved through recorded use or Statements of Claim.
Need plain-English definitions? See our mineral rights glossary.
The Antrim Shale continues to produce natural gas from thousands of wells across northern Lower Michigan. While the play is mature and new drilling has slowed, existing wells produce at low decline rates and generate steady royalty income. The long-lived nature of Antrim production means these interests have reliable present value. Natural gas prices affect the economics, but the Antrim's low operating costs help maintain profitability across most price environments.
The Collingwood formation is Michigan's equivalent of the Utica Shale that has been successfully developed in Ohio. The formation lies beneath much of the Lower Peninsula and contains organic-rich shale with potential for horizontal development. While exploration activity has been limited and no large-scale commercial development has occurred, the Collingwood represents potential future upside for mineral owners in certain parts of the state. We account for this potential in our valuations where appropriate.
Michigan does not have a dormant mineral act like Ohio, Kansas, or Illinois. This means that severed mineral interests in Michigan are not at risk of reverting to the surface owner due to non-use. However, Michigan does require mineral owners to register their interests with the county register of deeds, and failure to do so could create title complications. If you own Michigan mineral rights, it is still good practice to keep your ownership records current.
Michigan imposes a severance tax of 5% on both oil and gas production, plus additional regulatory fees. The total effective tax burden is moderate compared to other producing states. Sale proceeds are subject to Michigan state income tax at a flat rate of 4.25%, plus federal capital gains tax. Michigan does not have a separate mineral rights transfer tax.
Michigan oil and gas production is regulated by the Department of Environment, Great Lakes, and Energy (EGLE), which issues drilling permits, enforces well construction and environmental standards, and maintains production records. EGLE also has authority over compulsory pooling, though this is infrequently used. Michigan's regulatory approach has become more environmentally focused in recent years, but existing production operations continue under their current permits.
See all mineral rights FAQ.
State-specific guides covering the legal mechanics that come up most often for owners considering a sale.