A Legal Look at Subsurface Ownership, Existing Urban Oil Fields, and Emerging Restrictions

1. Understanding Mineral Rights vs. Surface Rights

• Surface rights concern the land you see and occupy—homes, driveways, gardens.
• Mineral rights govern resources beneath that surface: oil, gas, and sometimes other minerals.
• In California, these two sets of rights can be severed, meaning someone else may own what lies beneath your land.

2. The Major Oil Fields Beneath LA

Several operative oil fields exist—some beneath dense urban neighborhoods:

• Inglewood Oil Field (Baldwin Hills / Culver City area): Producing for nearly a century and spanning ~1,000 acres. It remains California’s second‑largest in the LA Basin. Wikipedia+1AP News+1Wikipedia
• Beverly Hills Oil Field: Still active beneath upscale residential areas. All drilling is conducted from “drilling islands” hidden from view. Wikipedia+2Wikipedia+2Wikipedia+2
• Wilmington Oil Field (Long Beach area): One of the country's largest, producing trillions of barrels historically. Wikipedia
• Honor Rancho and Aliso Canyon Fields (Santa Clarita & Porter Ranch): Active production and large-scale natural gas storage operations. Jeffer Mangels Butler & Mitchell LLP+14Wikipedia+14Wikipedia+14

3. Your Rights as a Surface Owner

You may or may not benefit from subsurface resource extraction:

• If you own mineral rights, you have the legal authority to lease and extract oil/gas or receive royalties.
• If you hold only surface rights, mineral owners may extract resources—even under your property—subject to local permit and zoning laws. attorneysearchnetwork.com

Important: Mineral rights should be clearly referenced in deeds or wills; otherwise, ownership may remain with previous owners or heirs. The Mineral Rights Forum

4. Land Use Restrictions & Environmental Oversight

CA and LA governments have increasingly regulated oil and gas operations:

• State law forbids new wells within 3,200 feet of homes, schools, hospitals, and similar sites. AP News+3AP News+3AP News+3
• Local bans and phase-outs: Both the City and County of LA have moved to prohibit new oil drilling and phase out existing wells, though some have faced legal challenges. The Mineral Rights Forum+8Los Angeles City Planning+8The New Yorker+8
• Community Standards Districts (CSDs)—such as in Baldwin Hills—govern noise, air emissions, and setbacks near residential zones. Wikipedia

5. Health, Safety & Community Impacts

• Methane migration risk: Many urban LA homes sit above former fields; soil gas mitigations (ventilation systems, alarms) are now mandatory in many neighborhoods. Wikipedialaist.com
• Environmental justice concerns have driven recent legislation aimed at closing idle or low-producing wells by 2030. AP NewsAP News

6. Why It Matters to Buyers

✅ Due Diligence:

• Review title reports for mineral severances or subsurface leases.
• Ask sellers if mineral rights are included or reserved separately.
• Conduct soil and air quality testing where wells are present.

⚖️ Ownership Implications:

• Even if you own surface rights exclusively, subsurface extraction may still occur—with or without access roads or drilling infrastructure on your land.
• Oil companies typically lease mineral rights and are required to coordinate operations—sometimes placing operations underground or off-site via directional drilling.

7. What Buyers Should Ask

• Are mineral rights bundled with the property, or are they owned by someone else?
• Has the property ever been affected by oil field operations or gas migration?
• Is the property within LA City or County oil field zones or subject to phase‑out or buffer regulations?
• Are there active leases or easements for subsurface use?

Final Thought – Legal Insight & Guidance

The surface-subsurface split in mineral rights is a nuanced yet critical part of real estate law in Los Angeles. Ignoring it can expose homeowners to environmental risk, future drilling, or loss of royalty value.

At the Stephanie Younger Group, we advise buyers—and collaborate with title experts and environmental attorneys—to ensure mineral rights and oil field impact are properly addressed in each transaction.

Disclaimer: This blog is for informational purposes and not legal advice. Buyers and owners should consult a qualified mineral rights attorney or environmental property specialist for guidance regarding your specific property