Richard F. Brown Cartwright v. Cologne Prod. Co., 182 S.W.3d 438 (Tex. App.—Corpus Christi 2006, pet. denied), holds that post-production costs are deductible proportionately from the royalty interest under the lease and division order in question. The lessee, Cologne, ran the gas produced from the lease through gathering lines, treatment facilities and compressors, all located […]
CASE OF THE MONTH Richard F. Brown The following is not a legal opinion. You should consult your attorney if the case may be of significance to you. Texas Oil & Gas Corporation v. Hagen, S.W.2d , 31 Tex. S. Ct. J. 140 (December 19, 1987). Hagen owns royalty in gas units largely owned […]
Richard F. Brown The following is not a legal opinion. You should consult your attorney if the case may be of significance to you. Parker v. MSB Energy, Inc. (In re MSB Energy, Inc.), 438 B.R. 571 (Bankr. S.D. Tex. 2010), held that because there was no “available pipeline” for the lessee to transport gas […]
CASE OF THE MONTH Richard F. Brown The following is not a legal opinion. You should consult your attorney if the cases may be of significance to you. In Delhi Gas Pipeline Corp. v. Dixon, 737 S.W.2d 96 (Tex. App.–Eastland 1987, no writ), the court upheld the right of the lessee to make […]
Richard F. Brown The following is not a legal opinion. You should consult your attorney if the case may be of significance to you. Virginia Power Energy Marketing, Inc. v. Apache Corp., 297 S.W.3d 397 (Tex. App.— Houston [14th Dist.] 2009, pet. denied), holds that a “reasonable efforts” contract provision does not trump a force […]
Richard F. Brown The following is not a legal opinion. You should consult your attorney if the case may be of significance to you. Red River Resources Inc. v. Wickford, Inc., 443 B.R. 74 (E.D. Tex. 2010) (mem. op.), held that a cessation of production caused by a severance order issued by the Texas […]
Richard F. Brown The following is not a legal opinion. You should consult your attorney if the case may be of significance to you. Potts v. Chesapeake Exploration, L.L.C. held that the net-back method should be used to determine market value at the point of sale when there are no comparable sales made […]