News & Analysis as of

Natural Gas Mineral Leases

Gray Reed

Texas Royalty Owner Bears Postproduction Costs on Gas Sold at the Wellhead

Gray Reed on

City of Crowley v. TotalEnergies E&P USA, is a post-production cost (PPC) case with a predictable result. The Fort Worth Court of Appeals confirmed its reasoning in Shirlaine W. Props. Ltd. v. Jamestown Res., L.L.C from 2021,...more

Houston Harbaugh, P.C.

Colored Horses, Toxic Brews and Lithium Too?

Does the Texas Supreme Court’s Decision in Cactus Water Services v. COG Operating Provide Guidance About Lithium and Rare Earth Minerals Ownership in Pennsylvania? Lithium demand is expected to continue to increase as...more

Houston Harbaugh, P.C.

Sixth Circuit Rules That Driller Must Establish Marketability of Each Gas Product Under Market Enhancement Clause

Houston Harbaugh, P.C. on

Let’s assume you own 105 acres in Greene County, Pennsylvania. In 2020, you signed an oil and gas lease with ABC Exploration. During the negotiations, you agreed that only those post-production costs which actually...more

Houston Harbaugh, P.C.

Pennsylvania Superior Court Reaffirms the Dunham Rule

Houston Harbaugh, P.C. on

Let’s assume you inherited a 150 acre farm in Lycoming County that has been owned by your family since 1909. In 2020, you are approached by ABC Drilling about a new oil and gas lease for the farm. You retain counsel and...more

Houston Harbaugh, P.C.

Federal District Court Sends Pennsylvania Royalty Dispute To Trial

Houston Harbaugh, P.C. on

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

Houston Harbaugh, P.C.

Landowners Should Ensure that Solar Farm Payments Retain Their Value Over Time

Houston Harbaugh, P.C. on

Leases for solar energy facilities offer property owners the potential for a predictable, long-term revenue stream. But, because of the potential decades-long duration of a lease for solar energy facilities, things like...more

McGuireWoods LLP

Interesting — Texas Court Rules Unpaid Royalty Payments not Subject to Compound Interest

McGuireWoods LLP on

Are unpaid royalty payments for oil-and-gas leases subject to simple or compound interest? Simple, the Texas Supreme Court said in Samson Exploration, LLC v. Bordages on June 7, 2024....more

Holland & Knight LLP

Energy Chairman Manchin's Permitting Bill Moves Through Committee in Careful Balancing Act

Holland & Knight LLP on

After two years of continuous behind-the-scenes work, Sen. Joe Manchin (I-W.Va), who chairs the U.S. Senate Committee on Energy and Natural Resources, joined by Sen. John Barrasso (R-Wyo.), released S. 4753, the Energy...more

Houston Harbaugh, P.C.

Could a Proposed New York Carbon Dioxide Injection Program Work In Pennsylvania?

Houston Harbaugh, P.C. on

A company in New York is attempting to secure leases to allow it to produce oil and gas and to use the leased land for a carbon dioxide injection program for long-term storage. Does this herald a new type of development that...more

Houston Harbaugh, P.C.

North Dakota Supreme Rules That Driller Did Not Commence Reworking Operations In Timely Manner

Houston Harbaugh, P.C. on

The modern producing gas well is a sophisticated and complex piece of equipment. The basic well head itself consists of several meters, valves and other components, each of which is under constant stress and pressure. In...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights: V 7, Issue 9, September 2023

The Virginia Clean Energy Act, the Botetourt County Battery Power Facility and the Impact on the Commonwealth - The Virginia Clean Energy Act (“VCEA”) mandates that Dominion Energy Virginia and Appalachian Power, the two...more

Houston Harbaugh, P.C.

Can "Free Gas" Clauses Refute the Artificial Wellhead Value Suggested by Drillers?

Houston Harbaugh, P.C. on

An oil and gas lease with a “free gas” clause may be a valuable tool for landowners to push back against drillers’ inaccurate attempts to value gas at the “wellhead”. Prior to the advent of Marcellus Shale drilling, "free...more

Holland & Hart LLP

Here We Go Again: BLM Issues Another Methane Rule

Holland & Hart LLP on

This article is the first in a two-part series analyzing recent proposals by federal agencies to reduce methane emissions from oil and gas production. This first article will address the Bureau of Land Management’s (BLM)...more

Houston Harbaugh, P.C.

Is Deducting Fuel Costs Authorized by Your Lease?

Houston Harbaugh, P.C. on

Deducting fuel costs from landowner royalties continues to be an ongoing and widespread practice. Not only are landowners denied a royalty on the fuel gas volume, but they are also having that same “cost” deducted from their...more

Foley & Lardner LLP

A “Pore” Explanation: What are Pore Spaces, How To Lease Them, and What To Do With Them?

Foley & Lardner LLP on

A common theme in current energy and climate literature and discussion is carbon capture, use, and sequestration (“CCUS”). Carbon dioxide (CO2) is a greenhouse gas (“GHG”), and while plants love it, its unique physical and...more

Jones Day

Preliminary Injunction Issued Preventing Ban on New Federal Oil and Gas Leases

Jones Day on

As reported in the last edition of The Climate Report, Alabama, Alaska, Arkansas, Louisiana, Georgia, Mississippi, Missouri, Montana, Nebraska, Oklahoma, Texas, Utah, and West Virginia (collectively, "Plaintiff States") filed...more

Orrick, Herrington & Sutcliffe LLP

State Attorneys General Update – April 2021

Federal Law Challenges by State Attorneys General - Attorneys General Challenge “Tax Mandate” Portion of American Rescue Plan - On March 11, 2021, President Joe Biden signed into law the $1.9 trillion “American Rescue Plan...more

Morgan Lewis - Power & Pipes

Assumption and Rejection of Midstream Agreements in Bankruptcy

Is a midstream contract treated the same as other executory contracts in bankruptcy, subject to assumption and rejection pursuant to the US Bankruptcy Code? An executory contract is any contract of the debtor where both the...more

Bracewell LLP

Tax Update from the Texas 86th Legislative Session

Bracewell LLP on

Major tax legislative updates occurred as part of the 86th Texas Legislature: Sales and Use Taxes - Marketplace providers (HB 1525) - Texas, and several other states, have enacted legislation that requires...more

Gray Reed

What is “Oil or Gas” as Used in a Pipeline Easement?

Gray Reed on

In Texan Land & Cattle II, Ltd. v. ExxonMobil Pipeline Company a Texas court of appeals ruled that “oil or gas” is not limited to “crude petroleum,” but includes refined petroleum products gasoline and diesel....more

Hogan Lovells

Supreme Court to review important pipeline decision

Hogan Lovells on

On October 4, 2019, the Supreme Court granted review of a Fourth Circuit decision that rejected U.S. Forest Service authorization of a $7 billion natural gas pipeline. See Cowpasture River Pres. Assn v. Forest Service, 911...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - April 2019 #4

Judge Delivers Major Setback to Trump Policy to Increase Coal Mining on Federal Land - "But the court ruling does say that the 2017 Trump administration policy, enacted by former Interior Secretary Ryan Zinke, to overturn...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - August 2018 #5

Gas Drilling Not Damaging Forests' Waterways, State Finds - "Pennsylvania's state forests agency says it isn't finding damage to waterways amid the expansion of natural gas drilling in recent years, although it is reporting...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - May 2018

In Cities v. Fossil Fuels, Exxon's Allies Want the Accusers Investigated - "Now two industry-friendly groups are turning the tables and asking the SEC to investigate the cities and counties for possible fraud." Why this...more

Spilman Thomas & Battle, PLLC

Currents - Energy Industry Insights - February 2018 #2

Oil World Turns Upside Down as U.S. Sells Oil in Middle East - "Yet, in a trade that illustrates how the rise of the American shale industry is upending energy markets across the globe, the U.A.E. bought oil directly from...more

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