Last year the 14th Court of Appeals in Houston issue an opinion that should serve as a warning to mineral owners, Thistle Creek Ranch v. Ironroc Energy Partners, No. 14-20-00347-CV. Thistle Creek sued IronRoc to terminate an oil and gas lease it claimed had expired for lack of production in…
Oil and Gas Lawyer Blog
Davis v. JD Minerals: another fixed vs floating royalty dispute
Last month the El Paso Court of Appeals issued its opinion in a long-running dispute over royalties on a section of land in Upton County. Davis et al. v. COG Operating, LLC, et al., No. 08-20-00205-CV. The court addressed several issues, one of which was the construction of a 1939…
Year in Review: Significant Cases and Events
Winter Storm Uri The fallout from the Texas Freeze in February 2021 continues. A year later, UT’s Austin Energy Institute concluded that multiple failures of power plants, gas processing plants, gas storage and distribution facilities, and gas production all contributed to the system failures. ERCOT management was fired; natural gas…
Who wrote “‘Twas the Night Before Christmas”? The jury is still out
“Account of a Visit from St. Nicholas”, as the poem was first called, was first published anonymously in New York’s Troy Sentinel newspaper on December 23, 1823. An college classmate from Troy, Jack Casey, recently told me of two trials in Troy over the authorship of the poem – the…
Hahn v. ConocoPhillips — another case on fractional vs. fraction of royalty
Last week the Corpus Christi Court of Appeals issued a decision on a long-running dispute over reservation of a royalty interest in a deed. This is the court’s second opinion in the case. In the court’s first opinion in 2018, the court construed the following royalty reservation: SAVE AND EXCEPT…
EnerVest v. Mayfield – another loss for royalty owners on post-production costs
Mayfield and Ingham leased several sections in Sutton County to EnerVest. EnerVest produces gas which goes to a gas plant for processing and pays royalty on the residue gas and natural gas liquids, after deducting post-production costs. The gas must be compressed and dehydrated before sale, and EnerVest does not…
Does the Railroad Commission have to plug P-13 wells?
A good article in Texas Tribune about the growing problem of P-13 wells that are leaking and contaminating land and groundwater. When an oil and gas operator drills a dry hole or decides to abandon a well, instead of plugging the well it can transfer the well to the surface…
Who owns rights to store oil in an underground salt cavern?
Last June the Corpus Christi Court of Appeals decided that the right to store oil in a salt cavern belongs to the surface owner. In Myers-Woodward, LLC v. Underground Services Markham, LLC, et al., No. 13-20-00172-CV, the court addressed a dispute between Myers-Woodward, which owned the surface estate and a…
GDHM Land & Mineral Owner Seminar November 18
7th Annual GDHM Land & Mineral Owner Seminar – November 18 Our firm is hosting its 7th annual seminar for Texas land and mineral owners on topics of interest in oil, gas, and energy law, including: Legislative session forecast Negotiating solar leases Allocation well litigation update Carbon sequestration leases Market…
Ridgefield Permian v. Diamondback: To what interest does a tax lien on a royalty reserved in an oil and gas lease attach?
Ridgefield Permian v. Diamondback is another case arising out of the same tax foreclosure suit that was addressed in Mitchell v. MAP Resources, decided earlier this year by the Texas Supreme Court. My discussion of Mitchell can be found here. Both Ridgefield and Mitchell were initially decided by the El…