Oil and Gas Update
All three benchmarks for natural gas spot prices in Appalachia hit $3/MMBtu or more since our last report (and did so for the first time in a long time), trending alongside a spike in oil prices following the Syrian airstrike and a rising rig count.
“Mineral Interests” Under OH Dormant Mineral Act Include Royalty Interests that can be Abandoned.
A court of appeals in Ohio concluded in a case of first impression that the term “mineral interests” as used in Ohio’s Dormant Mineral Act include “royalty interests” such that royalty interests may be abandoned under the provisions of the statute. Devitis v. Draper, — N.E.3d —, No. 13-MO-0017 (Ohio Ct. App., Mar. 20, 2017).
OH Mineral Owner Preserved Oil and Gas Rights Under Dormant Mineral Act.
A court of appeals in Ohio concluded that a mineral owner preserved oil and gas rights by filing detailed affidavits as notice of the challenge to a surface owner’s attempt to reunite the surface estate and the severed minerals pursuant to the state’s Dormant Mineral Act, concluding that while the trial court incorrectly held that the surface owner botched the notice-of-abandonment procedure, the error didn’t matter because the surface owner’s notice of intent to maintain the mineral rights satisfied the statute. Paul v. Hannon, — N.E.3d —, No. 2017-Ohio-1261, 2017 WL 1231743 (Ohio Ct. App., March 31, 2017).
Originally posted on April 11, 2017 by Cozen O’Connor at Lexology.comClick here to return to our blog