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Louisiana Operators Are Not Responsible For Making Non-Participants’ Royalty Payments Before Payout

The Energy Law

2007 WL 1651090 (La. 6/8/07), the operator completed a well that was plugged and abandoned without reaching payout. By Dana Douglas The Louisiana First Circuit Court of Appeal recently held that an operator is not responsible for payment of a non-operator’s royalties and overriding royalties before payout.

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