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Trudging the Rocky Landscape of Royalty Dispute Litigation with the Texas Supreme Court Yet Again in BlueStone

The Energy Law

With the prevalence of cases involving royalty disputes in Texas, the state’s Supreme Court has never hesitated to address these issues. But the Court’s sporadic holdings regarding royalty clauses, each so specific to the particular language of the lease, have left lessees on unsteady footing. In 2019, the Court heard Burlington Res.

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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. after deductions), resulting in lower royalty payments for the royalty owners.

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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. after deductions), resulting in lower royalty payments for the royalty owners.

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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

Free-Use Clause and Further Interprets Conflicting Royalty Clause Provisions The Texas Supreme Court recently issued its anticipated decision in BlueStone Natural Resources II, LLC v. For almost a decade, the original lessee to the agreements never subtracted post-production costs from the royalty owners’ royalty payments.

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Who Can Enforce Surface Provisions in an OGL?

Producer's Edge

In 2019, CT Land invoked the burial provision in the mineral lease and sued Unitex for breach of the lease and for declaratory relief when Unitex refused to comply. The lease provided for a royalty calculated based on the “market value at the well.” In this case, CT Land and Cattle and Cattle Co., Randle, 620 S.W.3d

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Nigeria Oil Industry Overview

Drillers

Recently, the Nigerian government demanded more than $60 billion in back royalties under a production sharing agreement with the supermajors operating in the country. million BPD as of November 2019. The rate of royalty will rise in tune with oil prices. How did this happen? on frontier and inland basin projects.

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