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Tag Archives: Utica

Ohio Appellate Court: Oil and Gas Lease Expiration Claims Governed by 15-Year Contract Statute of Limitations

Posted in Energy
In Browne v. Artex (May 31, 2018), Ohio’s Fifth District Court of Appeals held that a claim that an oil and gas lease expired for lack of production is governed by Ohio’s statute of limitation for contract claims—not the state’s longer statute of limitations for recovery of possession of real property. In Browne, the plaintiffs… Continue Reading

Supreme Court of Ohio Rules Youngstown Anti-Fracking Measure Must Be Placed on the May 2018 Ballot

Posted in Energy
The Supreme Court of Ohio ruled yesterday that the Mahoning County Board of Elections must place a proposed city charter amendment—the so-called “Youngstown Drinking Water Protection Bill of Rights”—on the May 2018 ballot, which includes several anti-fracking provisions. State ex rel. Khumprakob v. Mahoning Cty. Bd. of Elections, Slip Opinion No. 2018-Ohio-1602.  According to the Court, “[t]he… Continue Reading

Ohio Division of Oil and Gas Invites Comments on Revised Well Spacing Rules

Posted in Energy
Today, the Ohio Department of Natural Resources, Division of Oil and Gas Resources Management invited comments on a draft rule package that would amend the Division’s existing well spacing rules for conventional and horizontal wells.  As the Division explains in its Statement of Intent: The DOGRM intends to amend the existing well spacing rule by revising… Continue Reading

Court of Appeals Addresses Notice Requirement Under 2006 DMA

Posted in Energy
Recently, in Shilts v. Beardmore (2018-Ohio-863), the Seventh District Court of Appeals analyzed whether a surface owner complied with the notice requirement of the 2006 version of the Ohio Dormant Mineral Act (Revised Code 5305.56) (the “2006 DMA”). Under the 2006 DMA, in order to abandon a dormant mineral interest, a surface owner must first serve a notice of… Continue Reading

Supreme Court of Ohio Takes Up Marketable Title Act

Posted in Energy
On February 28, 2018, the Supreme Court of Ohio announced that it has accepted an appeal of Blackstone v. Moore (2017-Ohio-1639).  Blackstone is a Seventh District Court of Appeals decision that analyzed the Ohio Marketable Title Act (R.C. 5301.47 et seq.) (the “OMTA”) and adopted a four factor test to determine whether a reference to an… Continue Reading

Supreme Court of Ohio Rejects Constitutional Challenge to Unitization Order

Posted in Energy
On January 30, 2018, the Supreme Court of Ohio rejected a constitutional challenge to a statutory unitization order issued by the Ohio Department of Natural Resources, Division of Oil and Gas Resources Management. In State ex rel. Kerns v. Simmers, the Division issued an order under Ohio’s unitization statute, R.C. 1509.28, that consolidated the relators-landowners’… Continue Reading

Recent Ohio Oil and Gas Decisions

Posted in Energy
Over the last several weeks, Ohio courts issued a few decisions involving oil and gas issues that we wanted to briefly mention: Schillo v. Chesapeake Exploration, LLC (Harrison Cty. C.P., Oct. 16, 2017) – Here, the dispute was whether the lessee properly extended an oil and gas lease through the tender of delay rental payments. … Continue Reading

Eclipse Res.—Ohio, LLC v. Madzia

Posted in Energy
Last week, the United States Sixth Circuit Court of Appeals issued its decision in Eclipse Res.—Ohio, LLC v. Madzia, concerning a dispute between a landowner and a lessee regarding the latter’s drilling rights.  Among other things, the court found: The lease, which conveyed to the lessee a broad grant of rights to use the landowner’s… Continue Reading

Supreme Court of Ohio to Hear Landman Licensing Case

Posted in Energy
In March, we posted about Dundics v. Eric Petroleum Corp., a decision by Ohio’s Seventh District Court of Appeals ruling that landmen were required to obtain real estate broker’s licenses in order to sue for compensation for brokering deals between landowners and oil and gas companies.  Today, the Supreme Court of Ohio agreed to review… Continue Reading

Ohio Court Elaborates on Paying Quantities Test

Posted in Energy
On June 16, 2017, Ohio’s Seventh District Court of Appeals issued its decision in Paulus v. Beck Energy Corp. 2017-Ohio-5716, which addresses a number of issues concerning Ohio’s standard for determining whether an oil and gas lease is producing in “paying quantities,” a test that must ordinarily be met in order to continue a lease during its… Continue Reading

Court Clarifies which References are “Specific” for Purposes of Applying the Ohio Marketable Title Act

Posted in Energy
Ohio’s Seventh District Court of Appeals recently interpreted a statutory exception to “marketable record title” under Ohio’s Marketable Title Act (R.C. 5301.47 et seq.) (OMTA). In Blackstone v. Moore, 2017-Ohio-5704, the court held that whether a reference to an interest inherent in the muniments of the chain of record title is “specific” – and thus… Continue Reading

Appellate Court Holds a Recorded Release of an Oil and Gas Lease is a “Savings Event” under the Ohio Dormant Mineral Act

Posted in Energy
In Davis v. Consolidation Coal Company, 2017-Ohio-5703, Ohio’s Seventh District Court of Appeals held that a recorded release of an oil and gas lease qualifies as a “savings event” under the Ohio Dormant Mineral Act (R.C. 5301.56) (ODMA). One of the six savings events under the ODMA occurs whenever the mineral interest has been the subject… Continue Reading

Bohlen v. Anadarko

Posted in Energy
On June 1, 2017, the Supreme Court of Ohio issued its decision in Bohlen v. Anadarko. We summarized the facts of this case in our earlier post: The Bohlens entered into a lease with Alliance in 2006 for a one year primary term.  Paragraph 3 of the lease contained a delay rental provision: This lease,… Continue Reading

Ohio Court Rules Landmen Need to be Licensed Real Estate Brokers to Receive Compensation

Posted in Energy
Ohio’s Seventh District Court of Appeals recently held that landmen are subject to the requirements of R.C. Chapter 4735 requiring real estate broker’s licenses in order to be entitled to compensation for brokering deals with landowners on behalf of oil and gas companies. In Dundics v. Eric Petroleum Corp., plaintiff landmen alleged that they were… Continue Reading

Bohlen v. Anadarko

Posted in Energy
Earlier this week, the Supreme Court of Ohio heard oral arguments in Bohlen v. Anadarko.  The Bohlens entered into a lease with Alliance in 2006 for a one year primary term.  Paragraph 3 of the lease contained a delay rental provision: This lease, however, shall become null and void and all rights of either party… Continue Reading

New Pipelines to Increase Ohio Natural Gas Takeaway Capacity

Posted in Energy
Ohio producers will soon be able to transport more natural gas out of the state.  In a recent article, the U.S. Energy Information Administration (EIA) summarized several pipeline projects that are in various stages of development.  According to the EIA, these projects could add an additional 6.8 billion cubic feet per day (Bcf/d) of takeaway… Continue Reading

Sixth Circuit Dismisses Oil and Gas Leasing Complaint against MWCD

Posted in Energy
In a recent decision, Harper v. Muskingum Watershed Conservancy Dist., the Sixth Circuit Court of Appeals dismissed a qui tam action brought under the False Claims Act (FCA), 31 U.S.C. 3729, against the Muskingum Watershed Conservancy District (MWCD).  MWCD received property through a deed from the United States government.  The deed contained restrictions providing that the… 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