Industrial and political insiders sound off in response to the killing of the Keystone XL pipeline in November. by Tony Burke, Assistant Editor On Nov. 6, President Obama rejected TransCanada Corp’s Keystone XL pipeline application. The killing of the much bandied-about pipeline was hardly done in the heat of the moment, but calculated […]
Subsurface Trespass Considered
In a previous issue, we discussed the question of subsurface trespass, which was before the Texas Supreme Court in the case styled FPL Farming Ltd. v. Environmental Processing Systems, L.C. In that case, the Ninth Circuit Court of Appeals in Beaumont held that the operator, Environmental Processing Systems, L.C., (“EPS”) was immune from subsurface trespass […]
Allocation Revisited
A few months ago I wrote on the Texas Railroad Commission’s issuance of permits for “Allocation Wells.” Specifically, I noted that EOG Resources, Inc., in 2012, applied for a permit to drill an Allocation Well that crossed leases in which it did not have the right to pool. The mineral owners protested the issuance of […]
From the General Counsel: The “Wash-Out” Debate
Lessees who pay overriding royalty interests are obliged to continue honoring those ORIs with every lease renewal or extension, without exception. Or are they? That’s now a question for the state’s Supreme Court. Do pesky overrides give you issues? The Supreme Court may soon provide a solution to that particular problem. The high Court has […]
From the General Counsel: “Just Compensation” Could be “For the Taking”
House Bill 1496, if passed, could bring a new twist to the old workings of eminent domain. Most operators have probably come across that one local municipality that is such a pain to deal with, due to regulations and restrictions imposed upon drilling activities, that the better option seems to be avoidance of such an […]
