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Federal District Court Sends Pennsylvania Royalty Dispute To Trial

On September 6, 2024, the United States District Court for the Middle District of Pennsylvania denied dueling summary judgment motions concerning the interpretation of a royalty provision in Chambers v. Equinor USA Onshore...more

Pennsylvania Court Rules That Shut-In Royalty Provision Had No Connection to the Duration of an Oil and Gas Lease

In its May 22, 2024 non-precedential memorandum decision in Frye v. Penn View Exploration, Inc., 919 WDA 2023 (Pa. Super. Ct. May 22, 2024), the Pennsylvania Superior Court found that an oil and gas lease’s shut-in royalty...more

Who Owns the Produced Water From Oil & Gas Operations?

Although historically viewed as a waste, produced water that comes to the surface as part of the oil and gas production stream now potentially has value. Produced water can be recycled and reused as part of hydraulic...more

Pennsylvania Federal Court Dismisses Gas Driller’s Declaratory Judgment Lawsuit Involving Oil & Gas Lease

In an October 10, 2023, the United States District Court for the Middle District of Pennsylvania dismissed a gas driller’s declaratory judgment lawsuit involving an oil and gas lease in the SWN Production Company, LLC v. Blue...more

Can Cryptocurrency Mining Maintain an Oil and Gas Lease Beyond Primary Term?

The recently filed Hobe Minerals Limited Liability Company v. Bonanza Creek Energy Operating Company, LLC, et al lawsuit in a Colorado trial court challenges whether intermittent cryptocurrency mining can maintain an oil and...more

Landowners Should Be Careful Before Making Representations About Prior Oil and Gas Development on their Property

Before signing oil and gas leases, landowners should pay close attention to lease provisions asking for warranties and representations about prior oil and gas development on the land. These provisions are often buried in a...more

Recent Federal District Court Decision Suggests New Approach for Oil and Gas Lease Termination

The United States District Court for the Western District of Pennsylvania’s recent decision in Bootes v. PPP Future Development, Inc., C.A. No. 22-154 (W.D.Pa. March 21, 2023) denying a gas company’s request to dismiss oil...more

Can Owners of Severed Oil and Gas Estates in Pennsylvania Lease Gas Storage Rights?

A dual purpose oil and gas lease transitions into its secondary term, and remains in its secondary term, if oil and gas is produced from the leasehold or if the leasehold is used for oil and gas storage. See, Smith v....more

Pennsylvania Supreme Court Agrees to Hear Appeal In Royalty Dispute

On February 15, 2023, the Pennsylvania Supreme Court agreed to hear the appeal of PennEnergy Resources, LLC in the Dressler Family, LP v. PennEnergy Resources, LLC matter. The Pennsylvania Supreme Court’s review of this...more

Can Retroactive Pooling and Unitization Revive An Expired Lease?

As we have written about before, a troubling issue facing landowners in the Marcellus Shale region is the practice of retroactive pooling and unitization. Retroactive pooling and unitization occurs when a driller records an...more

What the Hedge? – The Impact of Price Hedging on Landowner Production Royalties

There is no way to avoid it. It seems like everything costs more now than it did last week, last month and last year. Energy is one area with very sensitive prices. You have likely experienced the significant changes in...more

Market Enhancement Clauses in Pennsylvania After Dressler Family, LP v. PennEnergy Resources, LLC

Many Pennsylvania landowners have leases with “market enhancement” royalty clauses. These clauses typically prohibit the deduction of any post-production costs that are incurred transforming the gas into marketable form. Once...more

Are Your Royalties Going Up in Flames?

Let’s assume you own 114 acres in Tioga County Pennsylvania. In 2012, you signed an oil and gas lease with XYZ Drilling. Two years later they drill and complete the MUSKIE #1H Well. The royalty clause in the 2012 lease...more

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