Post-Production Costs
Shale Law Weekly Review—Week of July 03, 2023
Post-Production Costs: Title: District Court Denies Diversified’s Motion for Judgment on the Pleadings in Abandoned Wells Class Action Suit ⚡
On Thursday, June 1, 2023, the United States District Court for the Northern District of West Virginia denied Defendant Diversified Energy Co.’s (Diversified) Motion for Judgment on the Pleadings in the case of McEvoy v. Diversified Energy Co. PLC. Plaintiffs had filed a class action against Diversified, alleging Diversified had a duty to plug and decommission thousands of abandoned gas wells in West Virginia. On May 10, 2023, Diversified filed a Motion for Judgment on the Pleadings for Failure to […]
North Dakota Supreme Court Rules that Post-Production Costs Cannot be Deducted from Royalties Paid to State
Written by Chloe Marie – Research Specialist
Case Summary: Newfield Exploration Company et al. v. State of North Dakota et al., No. 2019 ND 193
On July 11, 2019, the Supreme Court of North Dakota concluded that post-production costs relating to the processing of gas into a marketable form could not be subtracted from royalties paid to the State of North Dakota. This article provides a comprehensive summary of this case.
Background
Newfield, an oil and gas company, entered into several natural gas leases with the State of North Dakota containing provisions that required royalties […]
