Description
A Cash Crop is defined as a crop used for commercial gain instead of use by the grower. A bit of a play on words as it’s not quite clear which crop this is about. Is it the pending harvest or the mineral rights check in the mail? Either way, the blue-sky peeking through is a good sign that the hard work is about to pay off. In the oil industry, the words Cash Crop apply just as perfectly as they do in farming. The idea that there will be a big payday for someone. The question is who.
However, the truth of the matter in West Texas is it really is unsafe to assume. Because it may be that the farmer doesn’t even own the mineral rights. There are actually people that spend all of their days trying to figure out who owns the surface. Then who owns the mineral rights at different depths. As well as where and when these things change hands. Then they have to report back to their clients. Finally, that client will pay the price for the Cash Crop. I guess at the end of the day it’s actually safe to say that the landman will let us know who gets the big payout before the drilling ever starts.
