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Force Majeure Clause Fails to Protect Oil and Gas Lessee From Mistakenly-Scheduled Deadline

The Energy Law Blog

The leases obligated MRC to spud a new well every 180 days after the spud date of the last well during the leases’ secondary terms to avoid having the non-developed portions of the leases terminate. MRC did not notice its error until approximately two weeks after May 21, 2017, at which point it had not yet spudded the new well.

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Operators May Earn and Sell Carbon Credits for the P&A of Inactive, Shut-in, or Temporarily Abandoned Wells

The Energy Law Blog

The ACR methodology defines eligible abandoned wells to include: (1) unplugged wells with a spud date prior to 1950, which are eligible because they predate standardized regulations for P&A, and (2) unplugged wells with a spud date of 1950 or later and having no production for six consecutive months. million vehicles per year.

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Louisiana Second Circuit Addresses: (1) Creation of Mineral Servitudes Via Notarial Acts of Correction; (2) Obstacles Suspending the Prescription of Nonuse from Running Against Mineral Servitudes; and (3) Payment of Court Costs in Concursus Actions

The Energy Law Blog

In Petro-Chem Operating Co., Flat River Farms, L.L.C. , the Louisiana Second Circuit addressed issues affecting the creation and preservation of mineral servitudes and payment of court costs in a concursus action. [1] 8] However, these agreements did not contain language providing for a mineral reservation to the tract’s original owner. [9]

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FIFTH CIRCUIT BEGINS TO CLEAN UP ITS JURISPRUDENCE ON HOW TO DETERMINE WHETHER A CONTRACT IS (OR IS NOT) MARITIME

The Energy Law Blog

Turning to the second test, the court noted that the specific work order for the P&A job called for the use of three vessels — a supply barge, a tug, and the spud barge OB 808. After some thirty years of wrestling with the cumbersome six-part test set forth in Davis & Sons, Inc. Carrizo Oil & Gas, Inc. [3]

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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. 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. Cannisnia Plantation, LLC v. The well was a dry hole, however, and was therefore plugged and abandoned on April 21, 2006.