A mineral deed transfers all ownership rights in the assets under the surface of a tract of land—including oil, gas, coal, hydrocarbons, metals, and minerals—from the grantor (seller) to the grantee (buyer). The transfer also includes all rights to receive royalties, profits, or payments related to the assets under the surface of the land.

In New Mexico, a mineral deed is a legal document that conveys ownership of minerals and associated rights beneath the surface of a tract of land from the grantor to the grantee. This includes not only solid minerals but also oil, gas, and other hydrocarbons. The rights transferred can include the right to explore, drill, mine, and produce the minerals, as well as the right to receive any royalties, bonuses, or other payments that arise from the extraction and sale of these minerals. The deed must be in writing, signed by the grantor, and must contain a clear description of the property and the rights being conveyed. It must also be recorded with the county clerk in the county where the property is located to be effective against third parties. New Mexico follows the 'Dominant Mineral Estate' principle, which means that if there is a separation of surface and mineral estates, the mineral estate is considered dominant for reasonable use for extraction purposes. It's important for both grantors and grantees to understand the specific terms and conditions of the mineral deed, as these can vary and may include limitations or obligations not immediately apparent without careful legal review.