Category Archives: Oil and Gas Law

Texas Oil & Gas Law: When 1/2 of 1/8 Not Equal 1/16

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The Texas Supreme Court recently issued a ruling in Van Dyke v. The Navigator Group, an interesting case involving the use of double fractions in historic oil and gas documents.  [Read Opinion here.]  As the Court noted to open its opinion, “Only in a legal context could the formula ‘one-half of one-eighth’ mean anything other than one-sixteenth.” Background In 1924, the Mulkeys conveyed their ranch and the underlying minerals to White & Tom with the following reservation: It is understood and agreed that one-half of one-eighth of all minerals… Read More →

2022 Ag Law Year in Review – Texas

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Each year, I am surprised by the number of agricultural law developments across Texas. This year is no exception, and I believe it may be the biggest year for agricultural law that I can remember in the Lone Star state.  If you missed our review of the biggest ag law stories on the national level, click here.   High Speed Rail Has Eminent Domain Authority The Texas Supreme Court issued a divided opinion in Miles v. Texas Central Railroad & Infrastructure holding that Texas Central Railroad has the power… Read More →

June 10, 2022 Weekly Round Up

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It’s been a bit since our last Weekly Round Up post, but we’re back! Part of the reason for the delay was a recent trip I took with my family to the Nugget All-American sheep show and sale in Reno, NV.  Because I’m a mom and bragging on our kids is what we do, I’m happy to report that both kiddos won banners.  Braun’s lamb was Reserve Supreme Champion Wether and Champion Dorset Wether and Harper’s lamb was Reserve Speck Wether.  My family also raised the Reserve Supreme… Read More →

Eastland Court of Appeals Rules Oil Company Not Liable for Dead Cows

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When over 100 cattle died after exposure from oil and saltwater from oil and gas operations, their owner sued the oil company.  The Eastland Court of Appeals affirmed a take nothing judgment and dismissal in Foote v. Texcel Exploration, Inc. Background Mr. Foote leased property in Knox County, Texas on which he grazed 650 head of cows.  He hired Mr. Cypert to care for the cattle on the lease. Foote traveled to Knox County, met with Cypert, and went to look at Cypert’s facilities and operations.  Foote did not… Read More →

August 13, 2021 Weekly Round Up

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It is time for another recap of some of the key agricultural law stories in the news over the past couple of weeks. * Court orders Maui County to obtain NPDES permit for injection wells on remand.  You all likely remember the US Supreme Court decision in County of Maui v. Hawaii Wildlife Fund, in which the US Supreme Court held that NPDES permits are required for both direct discharges into waters of the United States and for indirect discharges that are the functional equivalent of a direct… Read More →

Texas Supreme Court Addresses Postproduction Costs

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A recent Texas Supreme Court case, BlueStone Natural Resources II, LLC v. Randle, addressed a dispute over postproduction cost allocation for royalties.  I thought this Opinion offered a good explanation of postproduction costs generally, and comparison of the two clauses at issue in the leases, which made it worth taking a look at on this blog.  [Read Opinion here.] Background In 2003, several mineral owners (“lessors”) executed oil and gas leases with Quicksilver Resources.  Each of the leases contain a 2-page Printed Lease and an attached Addendum.  The… Read More →

Case Addresses Mineral Reservation Language Dispute

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The Austin Court of Appeals recently addressed the issue of mineral reservation in a deed in Ross v. Flower, offering important reminders for Texas landowners and property purchasers. Background This case revolves around the interpretation of a paragraph in a deed for 20-acres of land in Fayette County. In 1999, the Rosses owned the surface and mineral interests for the 20-acre tract at issue.  In April 1999, the Rosses executed a General Warranty Deed conveying the property to Richard & Patricia Church.  Specifically, the Deed stated that the… Read More →

Case Addresses Solar Lease, Mineral Owner, and the Accommodation Doctrine

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The El Paso Court of Appeals addressed an interesting and important issue recently in Lyle v. Midway Solar.  How does Texas law apply when there is a potential conflict between the operation of a large scale solar facility and the ability of the mineral owner to extract oil or gas? Background This dispute involves a 315-acre tract of land in Pecos County. The Lyles own 27.5% of the mineral rights to this land by virtue of a 1948 deed.  There is no current mineral lease on the property, and the… Read More →

MT Supreme Court: Dinosaur Fossils Are Not Minerals

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In an update to a story I included in the Weekly Round Up last Friday, the Montana Supreme Court has ruled on the question of whether dinosaur fossils are minerals under state law.  [Read Opinion here.] Background The case involves farm and ranch land in Montana.  The land was initially owned by the Seversons and for approximately 15 years, it was run as a partnership between the Seversons and the Murrays, who worked there as ranchers. In 2005, the Seversons severed the surface estate from the mineral estate. … Read More →

TX Supreme Court Addresses Duty of Executive Rights Holder

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The Texas Supreme Court recently issued an opinion addressing the duty owed by an executive right holder to non-participating mineral owners.  This is an important issue for both mineral owners and executive right holders to understand and be aware of when considering lease offers. Factual Background Dora Jo Carter owned 1,082 acres in Frio County.  She and her two children also, collectively, owned 50% of the mineral estate. The other 50% mineral interest was owned by the Hindeses. In 2002,  Mrs. Carter sold the surface estate to Texas… Read More →