Michigan Compiled Laws

Mich. Comp. Laws § 554.291 (2026)

Oil or gas interest in land; abandonment; claim of interest; vesting in surface owner; preservation from disclosure.

✓ current as of July 2026
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TERMINATION OF OIL OR GAS INTERESTS IN LAND


Act 42 of 1963


554.291 Oil or gas interest in land; abandonment; claim of interest; vesting in surface owner; preservation from disclosure.

Sec. 1.

    (1) Any interest in oil or gas in any land owned by any person other than the owner of the surface, which has not been sold, leased, mortgaged, or transferred by instrument recorded in the register of deeds office for the county where that interest in oil or gas is located for a period of 20 years shall, in the absence of the issuance of a permit to drill an oil or gas well issued by the department of environmental quality, or its predecessor or successor, as to that interest in oil or gas or the actual production or withdrawal of oil or gas from said lands, or from lands covered by a lease to which that interest in oil or gas is subject, or from lands pooled, unitized, or included in unit operations therewith, or the use of that interest in underground gas storage operations, during such period of 20 years, be deemed abandoned, unless the owner thereof shall, within 3 years after September 6, 1963 or within 20 years after the last sale, lease, mortgage, or transfer of record of that interest in oil or gas or within 20 years after the last issuance of a drilling permit as to that interest in oil or gas or actual production or withdrawal of oil or gas, from said lands, or from lands covered by a lease to which that interest in oil or gas is subject, or from lands pooled, unitized, or included in unit operations therewith, or the use of that interest in oil or gas in underground gas storage operations, whichever is later, record a claim of interest as provided in section 2.

    (2) Any interest in oil or gas deemed abandoned as provided in subsection (1) shall vest as of the date of such abandonment in the owner or owners of the surface in keeping with the character of the surface ownership.

    (3) Notwithstanding any other provision of this act to the contrary, if a judgment of foreclosure is entered under section 78k of the general property tax act, 1893 PA 206, MCL 211.78k, for the nonpayment of delinquent taxes levied on property, an oil or gas interest in the property owned by a person other than the owner of the surface shall not be preserved from foreclosure under section 78k of the general property tax act, 1893 PA 206, MCL 211.78k, unless that interest is sold, leased, mortgaged, transferred, reserved, or subject to a claim of interest under section 2 and an instrument evidencing the sale, lease, mortgage, transfer, reservation, or claim of interest is recorded in the office of the register of deeds in the county in which the property is located during the 20-year period immediately preceding the date of filing a petition for foreclosure under section 78h of the general property tax act, 1893 PA 206, MCL 211.78h.

History: 1963, Act 42, Eff. Sept. 6, 1963 ;-- Am. 2006, Act 519, Imd. Eff. Dec. 29, 2006

Constitutionality Notes:

    This act is not unconstitutional as applied in these cases. Van Slooten v Larsen, 410 Mich 21; 299 NW2d 704 (1980).

Notes of Decisions
Cited in 30 cases (3 in the last 5 years), 1977–2024 · leading case: Chesapeake Expl., L.L.C. v. Buell (Slip Opinion), 2015 Ohio 4551 (Ohio 2015).
Chesapeake Expl., L.L.C. v. Buell (Slip Opinion), 2015 Ohio 4551 (Ohio 2015). · cites it 12× “In Energetics, the Michigan court considered the Michigan Dormant Minerals Act (“MDMA”), Mich.Comp.Laws 554.291 et seq., which provides that any interest in a severed oil and gas interest shall be deemed abandoned unless a certain event occurs within a 20-year period, including…”
In Re Petition by Wayne Cnty. Treasurer, 732 N.W.2d 458 (Mich. 2007). · cites it 2× “r an assignee of an interest of a lessee under an oil or gas lease in effect as to that property or any part of that property if the lease was recorded in the office of the register of deeds in the county in which the property is located before the date of filing the petition…”
Van Slooten v. Larsen, 299 N.W.2d 704 (Mich. 1980). · cites it 3× “The issue in these cases is the constitutionality of the dormant mineral act, MCL 554.291 et seq.; MSA 26.1163(1) et seq.”
Energetics, Ltd v. Whitmill, 497 N.W.2d 497 (Mich. 1993). · cites it 2× “1 MCL 554.291 et seq.; MSA 26.1163(1) et seq.”
Mable Cleary Trust v. Edward-Marlah Muzyl Trust, 686 N.W.2d 770 (Mich. Ct. App. 2004). “However, this rule must yield to any applicable statutory requirements, such as the recording requirements mandated by the dormant mineral rights act, MCL 554.291 et seq. Where a term is not defined hy the statute, dictionaries may be consulted to determine a word’s meaning.”
Mable Cleary Trust v. Edward-Marlah Muzyl Trust, 686 N.W.2d 770 (Mich. Ct. App. 2004). “[7] However, this rule must yield to any applicable statutory requirements, such as the recording requirements mandated by the dormant mineral rights act, MCL 554.291 et seq. [8] Where a term is not defined by the statute, dictionaries may be consulted to determine a word's…”
Comben v. State, 688 N.W.2d 840 (Mich. Ct. App. 2004). · cites it 2× “§ 211.78k(5)(e) does not extinguish severed interests in oil and gas, but does not compel that conclusion.”
Oberlin v. Wolverine Gas & Oil Co., 450 N.W.2d 68 (Mich. Ct. App. 1989). · cites it 2× “At issue in this appeal is whether plaintiffs’ interest in the mineral rights was abandoned under the provisions of the dormant minerals act, MCL 554.291 et seq.; MSA 26.1163(1) et seq.”
Mask v. Shell Oil Co., 257 N.W.2d 256 (Mich. Ct. App. 1977). · cites it 3× “1 1963 PA 42 ; MCLA 554.291, et seq.; MSA 26.1163(1), et seq.”
Rorke v. Savoy Energy, LP, 677 N.W.2d 45 (Mich. Ct. App. 2004). · cites it 2× “With regard to abandoning wells, MCL 554.291 states: Any interest in oil or gas in any land owned by any person other than the owner of the surface, which has not *259 been sold, leased, mortgaged or transferred by instrument recorded in the register of deeds office for the…”
Ludington & N. Ry. v. Epworth Assembly, 468 N.W.2d 884 (Mich. Ct. App. 1991). “In Van Slooten, our Supreme Court held that MCL 554.291 et seq.; MSA 26.1163(1) et seq.”
City of Kentwood v. Sommerdyke Est., 581 N.W.2d 670 (Mich. 1998). “The Michigan dormant mineral rights act, MCL 554.291 et seq.-, MSA 26.1163(1) et seq.”
— Mich. Comp. Laws § 554.291(1) — 1 case
Chesapeake Expl., L.L.C. v. Buell (Slip Opinion), 2015 Ohio 4551 (Ohio 2015). “In Energetics, the Michigan court considered the Michigan Dormant Minerals Act (“MDMA”), Mich.Comp.Laws 554.291 et seq., which provides that any interest in a severed oil and gas interest shall be deemed abandoned unless a certain event occurs within a 20-year period, including…”
— Mich. Comp. Laws § 554.291(3) — 1 case
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