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Texas Supreme Court Holds JOA Exculpatory Clause Applicable to All Activities of Operator

The Energy Law

By Jana Grauberger The Texas Supreme Court distinguished several Texas appellate court decisions and held the exculpatory clause in a joint operating agreement (“JOA”) applicable not just to operational activities undertaken by the operator, but to all activities of the operator under the JOA. Tyler 2003, pet.

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Production in Paying Quantities: Maintaining Mineral Leases Beyond Their Primary Terms with Production of Oil or Gas

The Energy Law

The sharp decline in oil prices over the past year and a half has had a significant impact on operators and mineral lessees in Louisiana and in other oil-producing states. 2] Implicit in the term “paying quantities” is the requirement that the lessee show a profit, meaning production revenues must exceed “operating expenses.” [3]

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Texas Supreme Court Update: The Court Decides Issue of First Impression Related to the Scope of an Oil and Gas Lease’s

The Energy Law

While the Court is no stranger to interpreting (and often muddling) the familiar royalty clause interpretation questions surrounding the first issue, in a case of first impression, the Court also analyzed the breadth of a lease’s free-use clause. produced from said land in all operations which Lessee may conduct hereunder [.]”

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Texas Supreme Court Update: The Court Decides Issue of First Impression Related to the Scope of an Oil and Gas Lease’s Free-Use Clause and Further Interprets Conflicting Royalty Clause Provisions

The Energy Law

While the Court is no stranger to interpreting (and often muddling) the familiar royalty clause interpretation questions surrounding the first issue, in a case of first impression, the Court also analyzed the breadth of a lease’s free-use clause. produced from said land in all operations which Lessee may conduct hereunder [.]”

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Is the Frequency of Louisiana Environmental Quality Act Citizen Suit Litigation Increasing?

The Energy Law

In 2003, the Louisiana Supreme Court rendered its landmark decision in Corbello, et al. Legacy litigation claims generally concern alleged contamination arising from historic oil and gas operations under theories of both breach of contract and tort. Iowa Production, et al.

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Department of Interior Proposes New Financial Assurance and Decommissioning Regulations

The Energy Law

Decommis sioning liability for predecessors: Current regulations – All lessees and owners of operating rights are jointly and severally liable for meeting decommissioning obligations. A party that assigns a record title interest or operating rights remains liable for decommissioning liability. This first of such NTLs, NTL No.

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Texas Supreme Court Holds Producer Not Required to Share in Natural Gas Pipeline Compression Costs

The Energy Law

Kachina”) operates a natural gas gathering system, as well as a gas pipeline. In 2003, Kachina installed the “Barker Central Compression Station” (“Compression Station”) on its pipeline, which allowed it to resell the gas in the pipeline at its high-pressure inlet, increasing its re-sale value to Davis. emphasis by Court).