Active Acquisition State
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Utah's oil and gas production is concentrated in two geologically distinct areas: the Uinta Basin in the northeast, home to the country's largest producer of waxy crude, and the Paradox Basin in the southeast. We buy mineral interests and royalties across both basins as well as other Utah producing counties. Utah is a unique producing state because of the high-paraffin nature of its crude oil, which requires specialized handling and refining but commands a premium in certain markets. The state produces over 100,000 barrels of oil per day, primarily from the Uinta Basin, and has seen increased horizontal drilling activity in recent years as operators apply modern techniques to the Green River and Wasatch formations.
Highlighted state with approximate basin locations shown in tan
The table below shows the top producing counties in Utah where we are most active, along with the primary operators and target formations in each area.
| County | Major Operators | Key Formations |
|---|---|---|
| Duchesne | Ovintiv, EP Energy, Crescent Point Energy | Green River, Wasatch, Mesaverde |
| Uintah | Ovintiv, EP Energy, Berry Petroleum | Green River, Wasatch |
| San Juan | Resolute Energy, Fidelity Exploration | Cane Creek, Ismay, Desert Creek |
| Grand | Caerus Oil & Gas, XCL Resources | Cane Creek, Paradox |
| Carbon | XCL Resources, Caerus Oil & Gas | Ferron, Mancos |
| Emery | Ferron Natural Gas, Berry Petroleum | Ferron, Mancos |
The Uinta Basin is dominated by Ovintiv (formerly Encana), which holds one of the largest acreage positions in the basin and has been a leader in applying horizontal drilling techniques to the Green River and Wasatch formations. EP Energy and Veren (formerly Crescent Point Energy) are also significant operators. Berry Petroleum operates a portfolio of conventional and unconventional wells across the basin. In the Paradox Basin, Resolute Energy and Fidelity Exploration are the most active operators. The Carbon and Emery county coalbed methane operations are run by several smaller operators. Utah's operator base is smaller than the major shale states, which can mean less leasing competition but also more concentrated development activity.
Operators ranked by the number of Utah 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.
Utah lease terms typically include royalty rates of 1/8 (12.5%) to 3/16 (18.75%), with 1/8 being the standard for many legacy leases and some newer leases in less competitive areas. Federal mineral leases, which are common in Utah, carry a 12.5% royalty rate. State minerals under the School and Institutional Trust Lands Administration (SITLA) carry their own lease terms. Utah has a forced pooling mechanism through the Division of Oil, Gas and Mining, though it is used infrequently. The Ute tribal minerals in the Uinta Basin have their own leasing process administered through the Bureau of Indian Affairs. Utah's regulatory environment has been generally supportive of oil and gas development, though the mix of federal, state, tribal, and fee mineral ownership creates a complex leasing landscape.
We buy mineral interests, royalty interests, NPRI, and ORRI across Utah's producing basins.
Not sure which type you own? Start with our mineral rights glossary for plain-English definitions of MI, RI, NPRI, and ORRI.
Much of Utah's mineral ownership involves federal leases administered by the BLM, Ute tribal minerals in the Uinta Basin, and state minerals under the School and Institutional Trust Lands Administration (SITLA). We are experienced working with title across these ownership categories. The waxy crude produced from the Uinta Basin creates unique marketing considerations that we factor into our valuations — while the crude commands a premium in certain markets, it also has higher transportation costs due to the specialized handling requirements.
Utah 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: tiered rate up to 5% on the value of oil and natural gas, with reductions and exemptions for stripper wells and recompletions. Conservation fee 0.2% additional.
Utah also imposes county ad valorem property tax on producing minerals. The combined state severance plus county ad valorem typically runs 7-10% depending on county.
Statutory citation: Utah Code 59-5-101 et seq.
Utah does not have a broad dormant mineral act. The Marketable Record Title Act (UC 57-9) provides title-cleanup mechanisms for very old (40+ year) claims. Unused mineral interests are otherwise preserved indefinitely.
Utah recognizes NPRIs as cost-free royalty interests. Treatment generally aligns with other Rocky Mountain states — NPRIs do not bear lease bonus or working-interest costs unless the deed specifies otherwise.
Need plain-English definitions? See our mineral rights glossary.
Utah's Uinta Basin produces a high-paraffin 'waxy' crude oil that has a higher pour point than conventional crude. This means the oil can solidify at lower temperatures and requires heated pipelines, heated storage tanks, and specialized refining. The waxy crude commands a premium at refineries equipped to process it but trades at a discount to WTI at refineries that are not. When we evaluate Uinta Basin mineral rights, we account for this pricing dynamic to ensure our offer reflects the true economics of the production.
Horizontal drilling in the Uinta Basin has accelerated in recent years, with Ovintiv leading the transition from vertical to horizontal development in the Green River and Wasatch formations. Modern horizontal wells in the Uinta Basin have delivered strong results, and the transition to horizontal development has increased both the per-well productivity and the number of potential drilling locations on many tracts. This shift has been a positive development for mineral owners, as it creates additional undeveloped upside on tracts that were previously developed only with vertical wells.
SITLA (School and Institutional Trust Lands Administration) manages approximately 3.4 million acres of state trust lands in Utah, including the associated mineral rights. If your property is adjacent to or intermingled with SITLA minerals, the development pattern may be affected by SITLA's leasing schedule and development preferences. SITLA minerals cannot be purchased by private parties, but fee mineral interests that are commingled with SITLA minerals in a drilling unit can be sold — we are experienced in evaluating these types of interests.
Fee simple mineral interests in the Uinta Basin can be sold regardless of their proximity to Ute tribal minerals. However, if your mineral interest is held in trust by the Bureau of Indian Affairs on behalf of the Ute Indian Tribe, the sale process requires BIA approval. We have experience working with both fee and trust minerals in the Uinta Basin and can guide you through the appropriate process.
Utah imposes an oil and gas severance tax at a rate that varies based on the value of production, typically ranging from 3% to 5%. This tax is paid by the producer and reduces the gross revenue from which your royalty is calculated. Mineral rights sale proceeds are subject to Utah state income tax at a flat rate of 4.65%, plus federal capital gains tax. When we evaluate Utah minerals, we account for the severance tax rate in our cash flow projections.
See all mineral rights FAQ.
State-specific guides covering the legal mechanics that come up most often for owners considering a sale.