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Texas Supreme Court Holds that References to “One-Eighth” in Old Oil and Gas Conveyances Presumptively Refer to the Entire Mineral Estate

The Energy Law

In the 1920s—the time the deed at issue was executed—lessors commonly reserved a one-eighth royalty interest when they executed oil and gas leases. In addition to the estate misconception theory, the Court analyzed the “legacy of the one-eighth royalty.” Texas courts refer to this phenomenon as the “estate-misconception” theory.

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Texas Supreme Court Rules on Modification of NPRIs

Producer's Edge

The Case In this recent case, the Texas Supreme Court resolved whether ratification of a lease or signing of a stipulation agreement could transform a fixed non-participating royalty interest (NPRI) into a floating NPRI. " The Gipses later leased the minerals to ConocoPhillips for a 1/4 royalty. ."

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The Continued Struggle to Rebut the Van Dyke Presumption

Producer's Edge

Navigator Group that courts interpreting “antiquated instruments” that use 1/8 within a double fraction must begin with the rebuttable presumption that 1/8 refers to the entire mineral estate, Texas courts have wrestled with its implications. This article discusses a couple more cases in 2024.

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Louisiana Second Circuit Provides Clarity on Production in Paying Quantities and Affirms Lease Cancellation Under Mineral Code Article 140 for Failure to Pay Royalties

The Energy Law

Gloria’s Ranch ultimately filed suit against Tauren, Cubic, EXCO, and Wells Fargo for their failure to provide a recordable instrument evidencing the expiration of the lease. 10] Gloria’s Ranch amended its petition to include a claim for failure to pay royalties on production in Section 15 (from the unit well drilled by Chesapeake).

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Louisiana Second Circuit Finds Holder of Mortgage Encumbering a Mineral Lease Solidarily Liable with Mineral Lessees for Damages Under the Louisiana Mineral Code

The Energy Law

1] In the case, a landowner sued its mineral lessees for: (1) failure to provide a recordable act evidencing the expiration of a mineral lease under Mineral Code articles 206-209 and (2) failure to pay royalties under Mineral Code articles 137-140. [2] in unpaid royalties and an additional double damages penalty of $484,058.52

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Whitecap Resources, Veren to combine to form C$15 billion Canadian energy giant

Oil & Gas 360º

and/or Canadian governments increases the rate or scope of the tariffs effected on March 4, 2025 , and were subsequently paused on March 6, 2025 , if they come into effect in the future, or imposes new tariffs on the import of goods from one country to the other, including on oil and natural gas, (ii) the U.S.

Energy 130
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EPA and BSEE Team Up to Resolve Offshore Environmental Violations

The Energy Law

Recently, when there was talk about Houston-based ATP Oil and Gas’ (ATP) legal problems, it was inevitably about its bankruptcy and its effort to bring the overriding royalty interests it had conveyed back into the bankrupt estate as debt instruments.