I’d like to pass on an open letter to President Trump from Kirk Edwards, an Odessa based independent oil & gas producer. This was published March 24, 2020 in OA Online. It certainly contains some food for thought. I do not, and have never, represented an oil company. However, it…
Texas Oil and Gas Attorney Blog
Language of an Assignment of Overriding Royalty Can Be Critical
The Texas Supreme Court decided a case recently involving an assignment of an overriding royalty interest (ORRI) in minerals located in Wheeler County, Texas. That case is Piranha Partners et al v. Joe Neuhoff et al. In 1975, Neuhoff Oil & Gas purchased an undivided two-thirds interest in a mineral…
New Texas Law for Transmission Line Easements
Many Texas landowners have old electric line easements on their property with companies that are no longer in business, such as the old Texas Electric Co. AEP Texas, Inc. and/or Southwestern Electric Power Company (“SWEPCO”) now own many of these easements. These easements are often incredibly vague, especially regarding what…
Texas Railroad Commission Amends Rule regarding Assignment of Acreage
The Commissioners of the Texas Railroad Commission recently voted unanimously to amend Rule 3.40, which has to do with the assignment of acreage to pooling and proration units. The current rule provides that “… acreage assigned to a well for drilling and development, or for allocation of allowable, shall not…
Chesapeake Well Fire Draws Federal Investigation
A well operated by Chesapeake Energy Corporation experienced a fiery blowout on Thursday, January 30, 2020. The well, the Daniel H 1 H, is located in Burleson County, Texas near Deanville. The well is in an area where Chesapeake is drilling long lateral well bores to develop Eagle Ford shale…
Can Emails Create a Binding Contract?
The Texas Supreme Court decided an interesting case last week regarding easements. The case was Copano Energy LLC et al. v. Stanley D. Bujnoch, Life Estate, et al. One of the interesting aspects of this case was the part that emails played in the transaction. The plaintiffs, who were the…
The Validity of Top Leases
I recently had occasion to review the Texas Supreme Court’s decision on a long-running dispute between BP America and Laddex, Ltd. The case is centered around a disagreement of the terms in a decades old lease and its result has been significant for the energy industry. The case, known as …
Texas Supreme Court Decides Whether Will Beneficiaries Get Surface or Mineral Estate
Recently the Texas Supreme Court decided an interesting case in which it examined whether a will had given a surface estate or a mineral estate to the beneficiaries of the will. In ConocoPhillips et al v. Leon Oscar Ramirez Jr. et al, the testatrix, Leonor Juan, executed a will in…
New Oil & Gas Scam in Texas Curtailed by New Law
Texas has been, unfortunately, home to a number of oil and gas scams over the years. One of the most common is the company who wants to buy your mineral interests and who has you sign a deed before they pay you. Once they have a signed deed in hand,…
How Utility Lines May Effect Property Values
I negotiate many power line easements on behalf of property owners each year. Generally, the utility company wants to pay for only the easement itself and refuses to acknowledge that the presence of the power line could have an effect on the overall value of the property. In part, that…