In Seagull Energy E & P, Inc. v. Railroad Comm’n, No. 03-0364, 2007 WL 1299163 (Tex. May 4, 2007), the Texas Supreme Court affirmed a decision by the Austin Court of Appeals upholding the Railroad Commission of Texas’ authority to regulate both drilling and production of commingled oil and/or gas deposits
Liskow & Lewis
Baker Institute’s Study of National Oil Companies
Recently, Amy Myers Jaffe of Rice University’s Baker Institute spoke to the Women’s Energy Network of Houston on the topic of "The Changing Role of National Oil Companies in International Energy Markets." One interesting fact she presented is that, based on the amount of oil and gas reserve holdings, 14 of the…
Fourth Circuit Opines on Act 312 Trial Procedure
In Duplantier v. BP Amoco, et al., the Louisiana Fourth Circuit court of appeal recently issued a ruling on trial court procedure under Act 312 of 2006, La. R.S. 30:29. Click here to view the opinion. Act 312, which became effective June 8, 2006, requires involvement of the Louisiana Department of Natural Resources…
Courts Address Exculpatory Clause in Joint Operating Agreement
Two recent federal district court decisions have reached differing results in considering the scope of exculpatory clauses in JOA disputes. In PYR Energy Corp. v. Samson Resources Co., 470 F. Supp. 2d 709 (E.D. Tex. 2007), the court found itself bound to follow Fifth Circuit precedent set in Stine v. Marathon…
Higher Oil Prices Create New Opportunities for Wildcatters
Oil prices of $60/barrel are expanding the industry and providing incentive and opportunities for more small independent "wildcatter" companies. For some interesting statistics concerning exploration trends and a profile of one wildcatter, Cobalt International Energy, see the attached article from the New York Times.
Louisiana DNR Promulgates Regulations Under Act 312
By Dana M. Douglas
On April 20, 2007, the Louisiana Department of Natural Resources (“DNR”) issued regulations establishing procedures for agency hearings and the submission and approval of remediation plans under Act 312 of 2006. Act 312, which enacted La. R.S. 30:29, made sweeping changes to the procedures for litigation involving potential environmental damage …
Act 312 Constitutionality Question Returns to Trial Court
As previously reported, the trial court in M. J . Farms v. ExxonMobil held Act 312 of 2006, governing remediation of oilfield sites, to be unconstitutional. The Louisiana Supreme Court has now held that the plaintiff did not properly raise the issue of constitutionality at the trial court level, and remanded to allow the plaintiff …
Mineral Servitudes Extended by Acknowledgements
By Jonathan A. Hunter
In Weyerhaeuser Co. v. A. D. Hinton, No. 07-30117 (5th Cir., May 1, 2007), the Fifth Circuit upheld a decision by the Federal District Court for the Western District of Louisiana rejecting a challenge to a group of mineral servitudes created in 1971. The plaintiff landowner, Weyerhaeuser Company, asserted…
The Fifth Circuit Remands to FERC
In 2002, Jupiter Energy Corporation ("Jupiter") applied to the Federal Energy Regulatory Commission ("FERC") for a determination that two of its pipelines in the Gulf of Mexico were not for the primary purpose of transporting gas — a purpose within the FERC’s regulatory jurisdiction — but were instead for the primary purpose of gathering gas…
Offshore and Onshore Tracts for Sale in Louisiana
At its April 11 lease sale, the Louisiana Department of Natural Resources will offer four offshore tracts, one in the Grand Isle area and three in the Main Pass area. The Department will also offer 17 tracts in waters that the state designates as inland. Six tracts are in the Chandeluer Sound area, two will cover portions of…