In Texas, water rights can be a valuable asset. Generally, Texas surface water belongs to the State of Texas. Texas follows the “Rule of Capture” in determining ownership of groundwater. Under this rule, groundwater is considered the private property of the landowner.
Texas landowners, under the Rule of Capture have the right to try to capture groundwater and the right to the water actually brought to the surface and captured. These rights can be sold, pledged as collateral or leased to others. Once sold or leased, any water captured may be transported off the land, or exported outside a county or region.
Landowners cannot pump an unlimited amount of water if it is done to maliciously harm a neighbor, in a wasteful manner, or in a negligent manner so as to cause nearby land to subside or settle.