News & Analysis as of

Mineral Rights Well Drilling

Houston Harbaugh, P.C.

Texas Appeals Court Rules that Surface Owner Could Not Enforce Pipeline Burial Covenant in Oil and Gas Lease

Houston Harbaugh, P.C. on

Let’s assume that you purchase a 105 acre farm in Greene County in 2022. You purchase only the surface estate while the seller, Farmer Jones, retains the underlying oil and gas rights. You intend to grow corn and winter...more

Gray Reed

Louisiana Supreme Court Issues Major Post-Production Cost Opinion

Gray Reed on

In Self v. BPX Operating, a case with significant implications for Louisiana operators and royalty owners, the Supreme Court of Louisiana ruled that the doctrine of negotiorum gestio in La. Civil Code art. 2292 does not allow...more

Gray Reed

A Day Made a Difference in This Purchase and Sale Agreement

Gray Reed on

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

Gray Reed on

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

Louisiana Servitude Extended by Good Faith Drilling

Gray Reed on

The question in Cannisnia Plantation, LLC v. Cecil Blount Farms, LLC was whether a well was drilled in good faith in order to interrupt the running of prescription on a Louisiana mineral servitude....more

Gray Reed

Strip and Gore Doctrine: Infinity War

Gray Reed on

Yet another entry in the Strip and Gore universe (2012’s “Beware of Strips and Gores”, and 2019’s “Strip and Gore 2: The Sequel”) comes to us from Fort Worth Court of Appeals: Richard D. Crawford v. XTO Energy, Inc....more

Gray Reed

Spudding? Reworking? What are “Operations” Under an Oil and Gas Lease?

Gray Reed on

Quick answer: It depends on what the lease says.  Last week featured a tug-of-war between a producer and the community in which it operates; this week in HJSA No. 3 LP v. Sundown Energy LP  it’s the producer and the lessor....more

Gray Reed

Industry Custom Does Not Supersede Contract Language

Gray Reed on

In Barrow-Shaver Resources Company v. Carrizo Oil & Gas, Inc the Supreme Court of Texas has held again, here in a consent-to-assign dispute, that a contract means what the words say, even if in negotiations a landman said...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - June 2019 #3

Trump Admin Submits Final Rule to Kill Obama Clean Power Plan - "The new replacement rule to the Clean Power Plan, deemed the Affordable Clean Energy rule, aims to give states more time and authority to decide how to...more

Gray Reed

Colorado Rewrites the Rules of Oil and Gas Exploration

Gray Reed on

Speedier than Jesse Owens in the ‘36 Olympics, Democrats railroaded the Colorado legislature passed, by party-line vote, Senate Bill 181, a new law that will have a profound effect on oil and gas operations in that state. It...more

Tucker Arensberg, P.C.

Can Natural Gas Drillers Drink Your Milkshake?

Tucker Arensberg, P.C. on

The fight over the historical concept of the “Rule of Capture” as applied to gas rights in Pennsylvania continued recently as the appellees in the matter of Briggs v Southwestern Energy Prod. Co. recently requested a...more

Gray Reed

Trespass But no Damages in a Texas Case

Gray Reed on

What does it take these days to get money from a Texas jury? Not much, it seems; in XTO v. Goodwin the trick was convincing a higher court that you should keep it....more

Spilman Thomas & Battle, PLLC

Major Decision by the West Virginia Supreme Court of Appeals – Non-Participating Royalty Interest Owner Rights Clarified

On May 31, 2017, the West Virginia Supreme Court of Appeals issued a significant opinion regarding the clarification of rights for non-participating royalty interest owners (“NPRI”). In the opinion Gastar Exploration, Inc. v....more

Gray Reed

Assigning By “Stratigraphic Equivalent”? Be Careful

Gray Reed on

How many of your mineral conveyances are described like this: … all of Sellers’ right, title and interest in and to (a) the oil, gas and other minerals in, to and under the lands … ONLY INSOFAR as such oil, gas and other...more

Gray Reed

You Own the Oil. Do You Own the Rock?

Gray Reed on

Riddle: What’s the difference between a hydrocarbon molecule and the underground structure which the molecule inhabits? Answer: In Texas, you can own one and not the other, according to Lightning Oil Co. v. Anadarko E&P...more

Gray Reed

The Well Operator Should Have Listened To My Mother

Gray Reed on

My mother used to give us good advice. For example: Don’t lie … do your homework. Sabella v. Appalachian Development Corporation agrees with my mother. Sabella bought minerals in 1997 under 66 acres in Warren...more

Dechert LLP

Drilling at depth – proposed changes to subterranean rights

Dechert LLP on

The government’s consultation on underground drilling access for the extraction of gas, oil and geothermal energy came to an end on 15 August 2014. The consultation sought views on the government’s proposal to introduce new...more

Jackson Walker

The Accommodation Doctrine Revisited: A Question of "Fairness to Both Parties"

Jackson Walker on

As Texas holds tight to its position as the nation's number one oil and natural gas producing state, the Texas Supreme Court's decision to revisit the over forty-year-old accommodation doctrine, which requires oil and gas...more

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