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

The Energy Law

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. In Gulf Explorer, LLC v. 2007 WL 1651090 (La. Clayton WIlliams Energy Inc. The court held that, because La.

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Louisiana Second Circuit Provides Clarity on Production in Paying Quantities and Affirms Lease Cancellation Under Mineral Code Article 140 for Failure to Pay Royalties

The Energy Law

On June 2, 2017 the Louisiana Second Circuit Court of Appeal affirmed a trial court’s judgment cancelling a mineral lease under Mineral Code article 140 and provided further clarity on a production in paying quantities analysis under Louisiana Mineral Code article 124. [1] Tauren Exploration, Inc. Tauren Exploration, Inc.

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Future Outlook for Subsurface Trespass Claims Against Third Party Purchasers of Minerals

The Energy Law

TMR Exploration, Inc , 2021 WL 267916, the First Circuit affirmed a district court ruling on summary judgment applying the good faith purchaser defense provision set forth in La. In 2007, The Louisiana Commissioner of Conservation granted TMR a permit to drill for minerals on property not owned by Plaintiffs (collectively, the “Hills”).

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