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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

A well was spud on March 28, 2006. Moreover, prior to drilling the March 2006 well, the mineral servitude owner consulted with multiple professionals. While the long-term fallout from the recent decline in oil prices and the COVID-19 pandemic remains unclear, it is clear that drilling activity has already started to decline.

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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.