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Tag Archives: Ohio

Ohio Supreme Court Decides Perpetual Lease Issue

Posted in Energy
Only one month after oral argument, the Supreme Court of Ohio issued its decision in the consolidated cases of Hupp v. Beck Energy Corporation (renamed on appeal as Hustack v. Beck Energy Corporation) and Claugus Family Farm L.P. v. Seventh District Court of Appeals, affirming the holding of the Seventh District Court of Appeals that… Continue Reading

Recent Ohio Oil and Gas Decisions

Posted in Energy
We have summarized two recent Ohio oil and gas cases that may be of interest to you. Mobberly v. Wade (7th Dist.) – Ohio’s Seventh District Court of Appeals granted summary judgment in favor of an oil and gas lessee in a lease forfeiture action. The lessor argued that the lease terminated due to lack… Continue Reading

Ohio: Oil and Gas Production Grew in Q3 2015

Posted in Energy
Oil and gas production in Ohio rose in the third quarter of this year. The Columbus Dispatch reports: The state’s energy producers reported 5.7 million barrels of oil and 245 billion cubic feet of gas from shale in the third quarter, up from 5.6 million barrels and 222 billion cubic feet in the second quarter.… Continue Reading

Supreme Court of Ohio Decides That Oil and Gas Leases Are Title Transactions Under the Ohio Dormant Mineral Act

Posted in Energy
On November 5, 2015, the Supreme Court of Ohio answered two questions concerning the Ohio Dormant Mineral Act (DMA). In Chesapeake Exploration, L.L.C. v. Buell, the Court held that under the DMA: (1) a recorded oil and gas lease is a title transaction that serves as a savings event that prevents minerals from being abandoned… Continue Reading

Recent Ohio Oil and Gas Cases

Posted in Energy
Here are two recent Ohio oil and gas cases we thought you may be interested in:  Feisley Farms Family, L.P. v. Hess Ohio Resources, LLC (S.D. Ohio) – The Federal District Court for the Southern District of Ohio granted summary judgment in favor of Hess Ohio Resources, LLC in a case involving the validity of… Continue Reading

Initiative Including Ohio and Other Producing States Provides Guidance on Induced Seismicity

Posted in Energy
The StatesFirst initiative—a partnership that includes Ohio and twelve other states—recently issued a primer addressing earthquakes potentially caused by human activity, also referred to as induced seismicity: The primer primarily focuses on potential induced seismicity associated with Class II disposal wells. Injection wells are currently regulated under the Safe Drinking Water Act through the Underground… Continue Reading

EIA’s September Drilling Productivity Report

Posted in Energy
EIA’s September Drilling Productivity Report shows a modest decline in Utica shale production through October 2015. The Report forecasts that oil production will decrease by 1 Mbbl per day while gas production will decrease by 4 MMcf per day.   Production from new wells in the Utica shale (i.e. wells that have entered production in the previous… Continue Reading

Ohio: 2Q 2015 Horizontal Shale Production

Posted in Energy
The Akron Beacon Journal has summarized some of the data from a report by the Ohio Department of Natural Resources, Division of Oil and Gas, on the state’s horizontal shale production for the second quarter of 2015. Some of the interesting tidbits: Guernsey County was the top oil producing county, followed by Carroll, Harrison, Noble… Continue Reading

Fifth District Court of Appeals: Failure to Pay Royalties Not Ground for Forfeiture of the Lease

Posted in Energy
In Armstrong v. Chesapeake Exploration, L.L.C. (Aug. 14, 2015), Ohio’s Fifth District Court of Appeals dismissed a suit by landowners seeking cancellation of an oil and gas lease for non-payment of royalties. The court found that the “[t]he oil and gas lease in this case does not contain an express provision empowering the lessor or… Continue Reading

EIA: Marcellus and Utica Account for 85% of Increase in Natural Gas Production Since 2012

Posted in Energy
The U.S. Energy Information Administration (EIA) reports that since 2012, the Marcellus and Utica shale plays have accounted for 85% of the increase in U.S. natural gas production. The EIA attributes this growth to a number of factors, including greater use of advanced drilling techniques, increased number of stages used in hydraulic fracturing operations, increased… Continue Reading

Horizontal Well Site Construction Rules Go Into Effect

Posted in Energy
From the Ohio Division of Oil and Gas Resources Management: On July 16, 2015, the Ohio Department of Natural Resources, Division of Oil and Gas Resources Management (ODNR, DOGRM) will implement new rules regulating the construction of horizontal well pad sites. Ohio Administrative Code 1501:9-2-01 and 1501:9-2-02 require operators to design and construct horizontal well… Continue Reading

Broadview Heights Activist Drilling Suit Dismissed

Posted in Energy
From Cleveland.com: A community activist group that opposes oil and gas wells in residential neighborhoods has lost another fight against Ohio and Gov. John Kasich. Mothers Against Drilling in Our Neighborhood, based in Broadview Heights, claimed in the lawsuit that the city’s Community Bill of Rights – which voters approved in 2012 and which bans… Continue Reading

U.S. District Court Certifies Question to Supreme Court of Ohio Relating to Deduction of Post-Production Costs

Posted in Energy
The U.S. District Court for the Northern District of Ohio recently certified an important question of law concerning the deduction of post-production costs to the Supreme Court of Ohio: Does Ohio follow the “at the well” rule (which permits the deduction of post-production costs) or does it follow some version of the “marketable product” rule (which limits… Continue Reading

Ohio Shale Production Grows in Q1 2015

Posted in Energy
From the Canton Repository: Ohio’s shale wells continue to show increased oil and natural gas production, according to the Ohio Department of Natural Resources. The rate of production growth tailed off compared with previous quarters, but state officials said shale wells produced more oil and gas than in previous quarters. The report includes horizontal wells… Continue Reading

Court Holds Lessee Not Required to Negotiate with Lessors For Extension of Lease

Posted in Energy
On March 30, 2015, the Seventh District Court of Appeals decided Kenney v. Chesapeake Appalachia, L.L.C., 7th Dist. Columbiana No. 14CO24, 2015-Ohio-1278, a case involving the interpretation of an extension clause in an oil and gas lease. The lease provided that “[u]pon the expiration of this lease and within sixty (60) days thereinafter, Lessor grants… Continue Reading