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

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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] Flat River Farms, L.L.C. , 12] In its analysis, the Court first looked to the pertinent language of La.

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Five Lessons Learned from Executing Shale Drilling Transactions

The Energy Law Blog

In these transactions, the Drilling Party pays for or “carries” all or a substantial portion of the Lease Party’s share of the costs of drilling and completing one or more wells on the leases (“Earning Wells”). The Five Lessons 1. Take advantage of the geology.