Mississippi Code Title 37. Education § 37-7-305

The school board of any school district is hereby authorized and empowered, in its discretion, to lease lands owned by the school district, or any land the title to which is in the school board of the district in their trust capacity, for oil, gas and mineral exploration and development upon such terms and conditions and for such considerations as the school board, in its discretion, shall deem proper and advisable. However, no oil, gas or mineral lease shall be for a primary term of more than ten (10) years and said lease or leases shall provide for annual rentals of not less than One Dollar ($1.00) per acre and shall provide for royalties of not less than three-sixteenths ( 3/16 ths) of all oil, gas and other minerals produced, including sulphur. Every such lease so executed shall empower the lessee to enter upon the premises leased and to explore and develop such premises for oil or gas, or either, or for such other minerals as may be included in the terms of said lease, and to do all things necessary or expedient for the production or preservation of any such products. All rentals, royalties or other revenue payable under any lease executed under the provisions of this section shall be paid to and collected by the school board of the school district and shall be deposited in the school district fund and used and expended in the same manner and subject to the same restrictions as provided by law in the case of other money on deposit in such fund. All leases executed pursuant to this section shall inure to the benefit of the lessee named therein and his heirs or assigns and in case the lessee be a corporation, to such lessee and its assigns. Said leases shall specifically provide that no damages shall be permitted to existing school buildings or facilities thereto.