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Estate Planning

Whereas “Nothing is certain except for death and taxes” (Benjamin Franklin, 1789), freehold mineral owners can minimize the latter with proper estate planning.

Western Canadian freehold mineral rights were initially acquired more than a century ago and have now been passed through three or more generations often resulting in the splitting of title to succeeding generations.  Excessive title splitting may ultimately destroy the value of the mineral rights.

Many current freehold owners do not realize that under the Income Tax Act their mineral rights are not capital property but Canadian Resource Property and that passing mineral rights from one generation to the next gives rise to a deemed disposition with the older generation effectively being taxed on the difference between what was paid for the mineral rights and their fair market value on the date of the disposition (ie. the entire amount comes into income; not 50% of this amount as would be the case for a capital gain).

There are ways to reduce title fractionation and in so doing minimize what can be the very significant income tax consequences of passing mineral rights from one generation to the next.  FHOA can help.

We Can Help!

As a member of FHOA, we help you to understand the different ways in which your mineral rights may be held during your lifetime so as to facilitate passing your rights on to your heirs with minimal title fractionation and taxation.  While we are not a substitute for professional advice, you will be better educated should you decide to seek additional assistance.

Join today to get access to this information and many other resources available for Members.


How Can You Help?

The easiest way to help is to Become a Member!

If you can, get involved. If you have skills or training which could help FHOA attain its goals, let us know. FHOA always needs volunteers to assist with seminars, to help with phone outs before seminars or even join the Board.

Spread the word. The more members that FHOA has, the greater our potential influence. Many freeholders who could use our help, particularly those who do not use the internet, remain unaware of FHOA’s existence.

If you have time constraints, make a financial donation to assist us in paying for judicial and regulatory hearings. Donations from Alberta residents are particularly helpful as the Alberta Government’s Community Spirit Program provides matching grants for donations by Albertans to not for profit organizations such as FHOA.


Want to Learn More and Get Involved?

Being a member of FHOA gives you many benefits and services not available to non-members (some additional fees may apply), including:

  • a common voice representing the interests of Freeholders with government bodies and regulators

  • help understanding leases and many other agreements

  • help understanding regulations and obligations to protect your rights

  • a knowledge base for some of the confusing technical information

  • access to experienced industry professionals to assist in negotiations

  • information about the going rate in your area, and so much more…..

*Additional fees may apply

Annual Membership
only $75!


  • We wish to thank FHOA, with special recognition to David Speirs, for the information /assistance he gave to us regarding the energy sector. His knowledge of Freehold Owner leases was particularly helpful to us as novices when we became Freehold owners over a decade ago.

    Garold and Yvonne Miller

  • I am eternally grateful for what I have learned through FHOA and their Board of Directors. Because of FHOA, our family can safeguard our mineral rights for future generations, and we have enhanced our lease negotiation skills as a collaborative family unit. The expertise and dedication of FHOA directors has supported our efforts in every aspect of mineral ownership.

    Joan Olafson

  • Our mineral rights have been passed down for generations. We joined FHOA in 2007 to help us understand an agreement with an oil company. FHOA was so helpful, providing suggestions were able to take the company and have adjustments made to our lease agreement. The information provided on the website, by FHOA representatives and at FHOA meetings helped us better understand lease provisions. If we had to sign another lease, I would have FHOA help again. Because of this value, we continue to be a member year after year.

    Jackie Anderson

  • Freehold Owner’s Association (“FHOA”) has a wide variety of information with access to various expertise for freehold mineral owners like me, who do not have the technical and legal expertise, nor the financial capability to do it on their own.

    Bill Schmidt

  • Our family is very thankful for FHOA. They made it possible to force a major oil producer to pay legitimate royalties owed to all five family members for off-set drilling beside our mineral rights.

    Betty Frey