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The Continued Struggle to Rebut the Van Dyke Presumption

Producer's Edge

This article discusses a couple more cases in 2024. In each of these cases, one side successfully argued that the Van Dyke presumption applied, and the other side unsuccessfully argued that it was rebutted. Many anticipate that double-fraction cases will continue to steadily flow through Texas courts for the foreseeable future.

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Texas Supreme Court Holds that References to “One-Eighth” in Old Oil and Gas Conveyances Presumptively Refer to the Entire Mineral Estate

The Energy Law

In the 1920s—the time the deed at issue was executed—lessors commonly reserved a one-eighth royalty interest when they executed oil and gas leases. In support of that notion, the Court cited the 1957 Texas Supreme Court case Garrett v. The Texas Supreme Court recently released its opinion in Van Dyke v. Navigators Grp. ,

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Louisiana Legislature to Consider Amendments to Forced Pooling Regime Requiring Operators to Pay Lessors of Nonparticipating Working Interest Owners Directly

The Energy Law

The current proposed bill, however, would require operators to remit all royalty payments directly to the lessors on behalf of nonparticipating working interest owners prior to well payout, i.e., during the recoupment of costs, and the statutorily authorized risk charge.

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Who Owns the Void? Oral Arguments at SCOTX Regarding Underground Storage Rights

Producer's Edge

The Texas Supreme Court heard oral arguments last week in a case that could substantially clarify, or even fundamentally reshape, the characterization and ownership of underground storage rights in Texas. The case was Myers-Woodward v. The case remains pending before the Texas Supreme Court on petition for review.

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Court Addresses Sufficiency of Demand Letter Under Mineral Code Articles 212.21-23

The Energy Law

In exchange, the defendant agreed to transfer an overriding royalty interest in the subject prospect to the plaintiff in the event defendant acquired an interest in the prospect. Next, the court noted the dearth of reported cases involving Mineral Code articles 212.21-23 at *8 (citing La. 31:212.21).

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Texas Supreme Court Holds that Add-Back Provision in Oil and Gas Lease Required Royalties to be Paid on Prices in Excess of the Producers’ Gross Proceeds

The Energy Law

2023), in which it held that lessees owed royalties in excess of their gross proceeds, specifically “adding back” costs incurred by third-party buyers that were enumerated in the sales contract and subtracted from the sales price. The Texas Supreme Court recently released its opinion in Devon Energy Production Company, L.P. 2d 118 (Tex.

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Fifth Circuit Reverses District Court Ruling Protecting Mineral Owner’s Rights of Ingress and Egress Over National Park Service Land

The Energy Law

Dunn-McCampbell Royalty Interest Inc. The case involved land in the Padre Island National Park, created in 1963. Nat’l Park Serv. , 09-40187 (5th Cir. The Service appealed the decision of the district court. The Service made two arguments on appeal.