As previously described in The Energy Law Blog, Arkansas is unlike several of its neighboring states in that it already has a robust body of law governing the extraction of minerals from brine. The Arkansas Oil and Gas Commission oversees brine production and sets the applicable royalty rates to which landowners are entitled.
Continue Reading Smackover Lithium Update: Arkansas Oil and Gas Commission Sets Hearing to Fix Lithium Royalty Rate

Louisiana Senate Bill 268, one of a pair of lithium-focused bills filed by senator Stewart Cathey Jr., would establish a state sales tax rebate program for Louisiana lithium projects. This rebate would apply to sales tax paid for “all equipment, machinery, materials, improvements, and other items purchased in connection with the development, production, operation, storage, processing, or transportation of lithium or lithium refined products in connection with a qualified lithium recovery project.”
Continue Reading Proposed Law Would Create Louisiana Sales Tax Rebate for Lithium Recovery Projects

We are now seeing the Louisiana legislature address some of these uncertainties head on with Senate Bill 285, which was filed on March 1, 2024 by Louisiana senator Stewart Cathey, Jr. Namely, SB285 would grant authority to the Office of Conservation to establish units for brine production. Furthermore, the proposed legislation would revise the Mineral Code to expressly include brine among the substances to which the Mineral Code applies.
Continue Reading Proposed Brine Legislation May Pave the Way for Louisiana Lithium Projects

Louisiana State Mineral and Energy Board to Consider Retaining Outside Counsel to Pursue Claims Against Louisiana Mineral Lessees and Well Operators for Failure to Correctly or Timely Pay Royalties.
Continue Reading Louisiana State Mineral Board to Consider Retaining Third Party Counsel to Pursue Underpayment of Royalty Claims Associated with Natural Gas Production on State Lands and Waterbottoms