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Mineral Extraction Mineral Leases

Bennett Jones LLP

Grassy Narrows First Nation Challenges Ontario’s Mining Claims Regime

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On July 10, 2024, Grassy Narrows First Nation (Grassy Narrows) launched a challenge against Ontario’s Mining Act (the Mining Act), claiming that the system for granting mining claims pursuant to the legislation (the Mining...more

Holland & Knight LLP

Interior Department Finalizes Rule to Limit Oil and Gas, Mineral Development in Alaska

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The U.S. Department of the Interior (Interior) released a final rule that will protect millions of acres of Alaskan wildness from the development of oil, gas and minerals. Interior's Bureau of Land Management (BLM), which...more

Gray Reed

Louisiana Regulatory Taking Claim Defeated

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Itching to sue the government for taking your property? Treme v. St. John the Baptist Parish Council is a reminder that you must have a property interest subject to being taken in order to have standing to sue for a...more

Gray Reed

Mineral Lessee’s H2S Damage Claim Rejected

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Landowner and mineral owner (that includes you, lessee): Under ETC Texas Pipeline, Ltd. v. Ageron Energy, LLC, your right to sue for damages for tort or trespass could pass into history before you even know you have a claim....more

Gray Reed

Is a Merger a “Transfer of Leases”?

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In Texas, no. Read on to learn why. In Nortex Minerals LP v. Blackbeard Operating LLC et al, the question was the meaning of this limited assignment provision in the “Alliance Leases”, oil and gas leases covering 27,000 acres...more

Houston Harbaugh, P.C.

The Colorado Supreme Court Declines to Adopt Commercial Discovery Rule

Houston Harbaugh, P.C. on

Let’s assume you own 136 acres in Tioga County. In 2011, you signed a new oil and gas lease with ABC Production (the “2011 Lease”). The 2011 Lease had a five-year primary term which expired in October 2016. In 2014, ABC...more

Gray Reed

Texas Court Considers Trespass by Produced Water Injection – Part 2

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See yesterday’s post on Iskandia Operating, LLC v. SWEPI, LP - SWEPI’s motion for summary judgment alleged that Iskandia presented no evidence of one or more elements of its trespass claim, noting that the Supreme Court of...more

Bennett Jones LLP

Redesigning British Columbia's Mineral Exploration System

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On September 26, 2023, the British Columbia Supreme Court issued a ruling in Gitxaala v. British Columbia (Chief Gold Commissioner) that will affect the future of mining in British Columbia. In this case, the court found the...more

Gray Reed

Fifth Circuit Punts Postproduction Cost Question to Louisiana Supreme Court

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The question in Self v, BPX Operating Company is how to balance the Louisiana Civil Code Art 2292 principle of negotiorum gestio against Louisiana’s conservation statutes....more

Gray Reed

Lessee: Don’t Covet Your Neighbor’s Operations

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Can the Texas lessee perpetuate his oil and gas lease by “constructive participation” in wells drilled by another? Under the facts in Cromwell v. Anadarko E&P Onshore, LLC, the answer is no....more

Gray Reed

“Floating” Beats “Fixed ” in Texas Royalty Reservation

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If you are scoring at home, count Permico Royalties LLC v. Barron Properties, Ltd., as a win for “floating” in the fixed-or-floating royalty battles. Permico, successor to grantors in a 1937 Deed for a tract in Ward County,...more

Gray Reed

Will the Fixed or Floating Suits Ever End?

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Rhetorical Question: When will Texas be done with fixed/floating royalty cases such as Johnson et al v. Clifton et al? Rhetorical Answer: When scriveners of deeds that are open to eight conceivably plausible meanings...more

Gray Reed

Federal Court Distinguishes Devon v. Sheppard

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Producers disappointed by the Supreme Court’s holding in Devon Energy Production v. Sheppard might have reason to feel vindicated. The question in HL Hawkins Jr., Inc. v. Capitan Energy Inc. et al. was whether producer...more

Hicks Johnson

Texas Supreme Court to Review Rejected Forced Pooling Applications

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The Texas Supreme Court will review a state regulator’s rejection of 16 applications submitted by Ammonite Oil & Gas Corp. (“Ammonite”) to force pool its mineral estate with adjacent wells operated by EOG Resources Inc....more

Gray Reed

Supreme Court of Texas Tackles the Meaning of “Predecessors”

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The plain, ordinary, and generally accepted meaning of a word doesn’t mean “anything goes”. It depends on context, says the Supreme Court of Texas in Finley Resources Inc. v.  Headington Royalty Inc., a dispute over the...more

Gray Reed

How to Lose Your Working Interest in 26 Annual Steps

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Can a non-operating working interest in a Texas oil and gas lease be adversely possessed? The Amarillo Court of Appeals said yes in PBEX II, LLC v. Dorchester Minerals, L.P....more

Gray Reed

Texas Supreme Court Rules on Suspension of Proceeds of Oil and Gas Production

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Freeeport-McMoRan Oil and Gas, LLC and Ovintiv USA Inc. v. 1776 Energy Partners LLC  presented a recurring question faced by Texas oil and gas producers:  When can proceeds of production be withheld by the operator without...more

Gray Reed

A Day Made a Difference in This Purchase and Sale Agreement

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And what a difference it was! In Apache Corp. v. Apollo Expl. LLC et al, Apache and others acquired an oil and gas lease on 100,000+ acres in the Texas Panhandle. The primary term was three years. The effective date was...more

Gray Reed

Lessee Can’t Satisfy Texas Supreme Court’s Force Majeure Requirements

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Imagine these facts in a force majeure dispute (as presented in Point Energy Partners Permian LLC et al. v. MRC Permian Company). Lessee (MRC) invokes the force majeure provision of an oil and gas lease, asserting that...more

Gray Reed

“All Means All” in Construing an Assignment of Leases

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In a recurring theme, harmony and the four-corners rule were front and center in Citation 2002 Inv. LLC et al v. Occidental Permian, Ltd. et al, a case of competing claims over the granting language in an assignment of oil...more

Gray Reed

Reserved Royalty Interest is “Floating”

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Texas courts continue to address the “fixed or floating” non-participating royalty interest question. The El Paso Court of Appeals’ answer in Bridges v. Uhl et al. was floating, based on the language in that particular...more

Gray Reed

Waiting Too Long to Sue For a Working Interest is a Loser

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Delay in filing suit too often spells doom for the plaintiff, as we learn in Zadeck Succession et al v. Treme et al. Treme (as in the family collectively) claimed their father, Vandiver, was conveyed a 5% working...more

Gray Reed

Who Bears the Burden of a Newly Discovered Non-Participating Royalty Interest?

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The question in Brooke-Willbanks v. Flatland Mineral Fund LP, et al was which party to a Texas mineral deed would bear the burden of two previously reserved nonparticipating royalty interests....more

Gray Reed

Texas NPRI Not Diminished by Pooling Ratification

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The takeaway from Hahn v. ConocoPhillips Company is that in Texas a NPRI holder may not diminish his rights by ratifying pooling of an oil and gas lease unless there are provisions explicitly purporting to do so....more

Gray Reed

Louisiana Royalty Owner Survives Challenge to Demand For Payment

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The question in Kim R. Smith Logging Inc. v. Indigo Minerals LLC  was whether a disgruntled Louisiana royalty owner sent its demand for unpaid royalties to the right party.  It turns out that it did....more

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