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Louisiana Second Circuit Provides Guidance as to Good Faith Required When Conducting Operations Necessary to Interrupt Prescription of Mineral Servitude

The Energy Law Blog

During this downturn in activity, mineral rights owners must remain cognizant of the maintenance activities necessary to preserve their mineral rights. A well was spud on March 28, 2006. Moreover, prior to drilling the March 2006 well, the mineral servitude owner consulted with multiple professionals.

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Five Lessons Learned from Executing Shale Drilling Transactions

The Energy Law Blog

If this approach is utilized, the parties should consult their tax advisors as to whether a tax partnership agreement should be included in the transaction documents to avoid possible unforeseen tax consequences on the earning of such additional formations. The Five Lessons 1. Take advantage of the geology.