Last May, the San Antonio Court of Appeals issued an opinion in Texas Outfitters Limited v. Nicholson, No. 04-16-00392-CV, addressing the duty of holders of the mineral executive right to its non-executive mineral owner – a case now pending on application for writ of error in the Texas Supreme Court.…
Oil and Gas Lawyer Blog
Shrinking Sands
The rising cost of sand is causing producers to reduce its use in fracking. See article from Reuters. Reduced demand for sand could cool the Permian sand mine boom. According to the Houston Chronicle, the lower cost of Permian sand could cut operators’ sand costs by 40%.
Monitoring Lease Compliance
With the drop in oil prices has come a wave of litigation over underpayment of royalties. Multiple suits have been filed against Repsol (formerly Talisman) over its royalty payments in the Eagle Ford. Multiple suits against Devon for royalty underpayment have been consolidated into a multi-district docket in San Antonio.…
Double-Pooling? Samson Exploration v. T.S. Reed Properties, Inc.
In a case of first impression, the Texas Supreme Court has held that the same land can be included in two pooled units, and that the lessee must pay royalties on the same well to the royalty owners in both pooled units. Samson Exploration v. T.S. Reed Properties, Inc., 2017…
New Report Criticizes TCEQ Enforcement Policies
A recent report by the Environmental Integrity Project and Environment Texas, reviewing results of state records reporting illegal air releases from oil and gas facilities between 2011 through 2016, finds that the Texas Commission on Environmental Quality imposed fines for less than three percent of 24,839 “upset” events, even though…
Texas and Pacific Railway and Texas Pacific Land Trust – a History of Railroads in Texas
Once the largest landowner in Texas with 3.5 million acres of land, Texas Pacific Land Trust now owns 888,333 acres of land in West Texas. The Trust is owned by holders of “shares of proprietary interest” traded on the New York Stock Exchange. TPLT’s story is a window into the…
Denbury-Texas Rice Fight Continues
Denbury Green Pipeline and Texas Rice Land Partners have now fought for ten years over Denbury’s right to condemn an easement across Texas Rice’s land for a CO2 pipeline. The fight is once again, for the third time, back before the Texas Supreme Court. The fight began in 2007, when…
End of the Road for DISH
The Texas Supreme Court has refused to allow DISH, a small town in Denton County north of Fort Worth, and several of its residents, to proceed with its suit against four companies who operate gas compressor stations near the town. The plaintiffs alleged that they were harmed by the noise,…
85th Legislature – Legislation of Interest to Land and Mineral Owners
The Texas legislative session recently ended without any major reforms of the Texas Railroad Commission. Bills to reform the Commission failed in the previous two legislative sessions, after Sunset Commission reports recommending significant changes in the structure of the RRC. This session, the Legislature had no heart for tackling those…
TAMEST Report on Impacts of Shale Development in Texas
The Academy of Medicine, Engineering and Science of Texas (TAMEST) has issued a report on the environmental and community impacts of shale development in Texas. The report can be viewed on the TAMEST website. Its authors reviewed available literature on on six areas of impacts: seismicity, land, water, air, transportation,…