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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. Heritage Resources , 939 S.W.2d

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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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Haynesville shale gas production is increasing again; Will Haynesville-related litigation increase again, too?

The Energy Law

However, if the current trend continues, the Haynesville could approach its prior peak production average in early 2019. El Paso E & P Co. , El Paso E & P Co. , for a one-fourth (1/4) mineral royalty and as much as ten thousand ($10,000) dollars per acre bonus royalty.” 2d 640, 641-43 (W.D. 45,634 (La.

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Long-Awaited Victory on the Proper Deductibility of Post-Production Costs from Unleased Mineral Owners – The Western District of Louisiana Reverses Course in Johnson v. Chesapeake and Self v. BPX

The Energy Law

For nearly three years, unit operators in Louisiana have waited to see whether the Western District of Louisiana would change course or double down on its March 2019 decision in Johnson v. Chesapeake. BPX Operating Co., The district court recognized this was a res nova issue for which there was no authority directly on point.

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Fifth Circuit to Hold Oral Argument in Sojitz v. UNOCAL in April 2020

The Energy Law

UNOCAL also reserved a 3% overriding royalty. 2003) (“the regulations govern the parties’ joint and several liabilities vis-à-vis the Government not amongst themselves”) and Total E&P USA, Inc. Sojitz Energy Venture, Inc. Union Oil Co. of California , 394 F. 3d 687 (S.D. Parker Drilling Co. , 3d 558, 563 (5th Cir.

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