Environmental

Texas has enacted legislation requiring sellers of residential property to disclose if the property is in an area with active oil and gas exploration. This is significant because:

AAll Texas homes are subject to oil and gas leases
BSurface owners may experience disruption from drilling operations even if they do not own the mineral rights✓ Correct
CMineral rights automatically increase a home's value
DTREC licenses mineral rights brokers separately

Explanation

In Texas, mineral rights are often severed from surface rights. A surface owner may not own the minerals beneath their property, meaning oil and gas companies with mineral rights can drill. Sellers must disclose known oil and gas activities, which can affect surface use, aesthetics, and property value.

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