Texas Mineral Royalty Calculator: Your Decimal Interest

Step 1: Gather your three inputs

Your net mineral acres in the tract, the unit's spacing acres, and your lease royalty rate — from your deed, your lease, and the RRC unit record.

Step 2: Compute your decimal

Decimal interest = net mineral acres ÷ unit acres × royalty rate. Use the royalty calculator to check your math.

Step 3: Account for what Texas takes out

4.6% on oil and 7.5% on natural gas of market value, withheld by the first purchaser is withheld, so your net check is below the gross your decimal implies — plus any post-production deductions your lease allows.

Step 4: Verify against your Texas division order

The decimal on the division order must match your calculation. If it is low, the operator may have the wrong net acres, unit size, or royalty rate — reconcile it before you sign.

Step 5: Get it audited

Have the decimal and the check history verified. Valor audits Texas royalties stub by stub as an independent mineral manager.

What is Texas-specific about your royalty math

The decimal-interest formula does not change by state, but Texas facts change what you actually receive. Tax: Texas levies 4.6% on oil and 7.5% on natural gas of market value, withheld by the first purchaser, withheld before or alongside your royalty, so your net is below the gross your decimal implies. Timing: Texas Natural Resources Code §91.402 requires first payment within 120 days of first sale, then on a monthly cycle once amounts exceed the operator’s minimum, and unpaid proceeds held past the statutory window accrue interest under Texas Natural Resources Code §91.403. Unit size: the acres you divide by depend on how Texas forms drilling units — Texas has no broad compulsory pooling (the Mineral Interest Pooling Act is narrow), so an unleased Texas owner usually is not force-pooled — which decides whether your tract stands alone or sits inside a larger pooled unit (a bigger denominator, and a smaller decimal on more total production). Verification: spacing and production are regulated by the Railroad Commission of Texas (RRC), whose records confirm the unit acres in your decimal, and your Texas division order should state a decimal that matches net mineral acres ÷ unit acres × royalty rate. If your Texas division-order decimal does not match your own calculation, do not sign until it is reconciled; an incorrect decimal underpays you every month it goes uncorrected.

Texas facts at a glance

The Texas-specific facts that shape this situation — a citable reference. General guidance as of September 2026; confirm specifics with a CPA or attorney.