Energy & Environmental Law Blog

Energy & Environmental Law Blog

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Tag Archives: Post-Production Costs

Federal Court Rejects Class Action Alleging Improper Deduction of Post-Production Costs

Posted in Energy
On August 24, 2017, the United States District Court for the Northern District of West Virginia granted summary judgment to producers in a class action lawsuit concerning the deduction of flat-rate post-production costs. In Kinney v. CNX Gas Company, LLC, et al., the parties’ leases provided that the lessors would receive a percentage of the… Continue Reading

Supreme Court of Kentucky Adopts ‘At The Well’ Rule For Post-Production Costs; Producers Solely Responsible for Severance Tax Payments

Posted in Energy
In companion decisions released on August 20, 2015, the Supreme Court of Kentucky confirmed that Kentucky follows the “at the well” rule with respect to post-production costs, but held that the payment of severance taxes must be borne solely by the producer. In Baker v. Magnum Hunter Prod., Inc., the Court affirmed the lower court’s… Continue Reading