article thumbnail

Courts Address Exculpatory Clause in Joint Operating Agreement

The Energy Law

2007), the court found itself bound to follow Fifth Circuit precedent set in Stine v. 1992), which held JOA exculpatory language limiting operator liability to situations of gross negligence of willful misconduct applicable to all good faith actions undertaken by the operator under the JOA, including performance of its contractual duties.

article thumbnail

Oil and Gas Operators are Not Entitled to Reimbursement of Production Expenses from Unleased Landowners – Caldwell Lands, Inc. v. Cedyco Corp., 2007-1515 (La. App. 3rd Cir. 4/2/08), 980 So. 2d 827

The Energy Law

by April Rolen-Ogden This case involved a suit by an unleased landowner against an oil and gas unit operator seeking unpaid production proceeds. The landowner owned a portion of a small tract of property, which was included in an oil and gas production unit that was apparently being operated by the defendant, Cedyco.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Checking out Vaeridion's electric 'microliner' concept

Oilholics Synonymous Report

The microliner will have a dual flight deck and can be operated by a single pilot. Electric air mobility has been on my mind since 2007, when sustainability wasn't even mainstream as it is today. The plane itself will run on a single propeller, but with multi-engine support of two mechanically and electrically segregated motors.

article thumbnail

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. 2007 WL 1651090 (La. 6/8/07), the operator completed a well that was plugged and abandoned without reaching payout.

Royalty 40
article thumbnail

Taxation of Fuel Provided to Compression Service Operators at No Cost

The Energy Law

Production Operators, Inc. 2007-0648 (La. 2d 54, at issue was whether the provision of fuel by customers to a compression services operator at no cost for use in powering the operator’s compressors was subject to Louisiana sales or use tax. Production Operators, Inc. (“POI”) Production Operators, Inc.

article thumbnail

OCS Lease Expiration: MMS Denial of Suspension of Operations Upheld

The Energy Law

173 IBLA 250 (2008), affirms an MMS denial of a Suspension of Operations (“SOO”) where the lessee submitted an revised exploration plan (“EP”) and permit to drill (“APD”) just days before the lease’s 10-year primary term expired, but was unable to conduct lease activities before the expiration date.

article thumbnail

Louisiana Extends Abandonment Period For Litigation Affected by Katrina or Rita

The Energy Law

This rule is operative without any formal order. The revision became effective July 9, 2007. By Joe Giarrusso: In Louisiana, a lawsuit is generally deemed abandoned when the parties fail to take any step in its prosecution for three years. Click here to read the Act.