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Louisiana Second Circuit Provides Guidance as to Good Faith Required When Conducting Operations Necessary to Interrupt Prescription of Mineral Servitude

The Energy Law

In January 2006, approximately 6 months before the servitude would expire for non-use, the mineral servitude owner conveyed the servitude to an affiliated business entity on the condition that it drill a well on the property by June 15, 2006. A well was spud on March 28, 2006.

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Louisiana Second Circuit Finds Holder of Mortgage Encumbering a Mineral Lease Solidarily Liable with Mineral Lessees for Damages Under the Louisiana Mineral Code

The Energy Law

The mortgagee directed the mineral lessees to perform specific workovers and completions on other properties collateralized in the mortgage. Tauren”) In February 2006, Tauren assigned an undivided 49% interest in the Lease to Cubic Energy, Inc. As of the posting of this blog entry, the delays for appeal have yet to expire. [2]

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Louisiana Legislature Modifies Oilfield Cleanup Legislation

The Energy Law

ACT 312 BEFORE THE NEW LEGISLATION Act 312 of the 2006 legislative session was enacted in response to judicial decisions that awarded significant damages for remediation costs with no obligation for landowners to actually use such awards for cleanup work. These changes are summarized below.

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