Texas oil and gas royalties for your 1031 exchange.
Where the Texas royalties Peregrine sources for 1031 investors come from — the basins, the operators, the cap-gains math, and what makes Texas royalties distinct.
Texas basins where Peregrine has acquired interests.
Each basin has its own decline-curve profile, operator mix, and valuation comp set. Run the eligibility check or the calculator to see how your specific basin affects the math.
Permian Basin
The most active basin in the country. Wolfcamp, Bone Spring, Spraberry, Delaware. Royalty sales here drive the largest single share of Peregrine’s Texas volume.
Eagle Ford
Sweeping NE-SW shale play. Karnes, La Salle, Dimmit, Webb counties. Liquids-rich; still attracting active drilling.
Haynesville
Gas-heavy. Panola, Harrison, Rusk counties. Activity picks up when gas prices firm.
Barnett
Mature gas play. Mostly held by production. Smaller royalty sales, often inherited interests.
The operators behind the Texas royalties we source.
The 11 operators across Texas that show up most often in the royalty portfolios Peregrine sources. Operator credit and well productivity factor into how we underwrite each portfolio.
Four Texas-specific things that affect your exchange.
The rules that apply uniquely to Texas royalty and mineral owners. Peregrine’s landmen handle each so you don’t have to.
- 01
No state income tax.
Texas is one of nine states with no state-level capital gains tax. Federal tax is the only consideration on the sale, which keeps the math simpler than in OK or ND.
- 02
RRC division-order standardization.
The Texas Railroad Commission has the most-standardized division-order format in the country. Easier to parse, faster to value, fewer surprises in title work.
- 03
Mineral severance is the norm.
In Texas, mineral and surface estates are typically severed. The owner of the minerals does NOT own the surface, which simplifies 1031 treatment.
- 04
Producing royalty volatility.
Permian wells decline 60-80% in the first year and 20-30% annually thereafter. A "stable" $4K/mo check today is often $1.5K/mo in five years.
What a Texas exchange looks like, end to end.
Every interest is different — so the clearest picture is your own.
Tell us your exchange timeline and target equity, and a partner maps a royalty portfolio to your numbers with the full 1031 timeline — no obligation. Prefer to model it yourself first? Run the calculator below.
Texas-specific questions, answered.
The questions we hear most often from Texas mineral owners. Fifteen more on the full FAQ page.
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Does Peregrine buy mineral rights in Texas?
Yes. Texas is our home state and our most active acquisition footprint. Since 2004 we have acquired interests across the Permian, Eagle Ford, Barnett, and East Texas plays, working with mineral owners and royalty owners directly from our Dallas office. -
Which Texas basins and counties do you focus on?
Most heavily the Permian Basin (Midland, Reeves, Loving, Reagan, Glasscock, Howard, Ector, Martin) and the Eagle Ford (Karnes, La Salle, McMullen, Dimmit). We also acquire in the Barnett, Haynesville on the Louisiana border, and legacy East Texas fields when production and operator quality support it. -
Do I need a Texas-licensed attorney for the 1031 exchange?
Not specifically a Texas attorney for the 1031 step itself — the exchange is administered by a registered Qualified Intermediary under federal IRS rules. You will, however, want a Texas-licensed attorney or experienced landman to review the assignment, division order, and any title curative work in the deed records of the producing county. -
How long does a Texas mineral rights 1031 take?
From your first call to a signed purchase agreement: typically 5–10 business days, depending on records. After signing, the 1031 clock starts: 45 days to identify replacement property and a total of 180 days to close.