In Texas, oil and gas is big business, with many companies working directly or indirectly in the energy industry. At its core, the oil and gas industry is all about one thing: extracting energy sources and converting them into marketable products. As these natural resources are being extracted, they generally travel through three stages: upstream,…
For many businesses, planning is everything. This is especially true when it comes to those who work within the oil and gas industry. Beginning new projects, forecasting logistics, and accounting for the safety of all employees involves significant time and planning. For Kinder Morgan, this rings especially true as new city ordinances are causing unforeseen issues to arise.
Leases between mineral interest owners and oil and gas exploration companies should be symbiotic. Mineral interest owners obtain payments for the oil or natural gas sitting under their land while oil and gas companies turn a profit collecting, refining, and selling a finished product. However, one of the biggest areas of contention in lease disputes is the amount of deductions made on behalf of the oil and gas company.
Broker run auctions are a common method of buying and selling oil and gas assets. The auctions typically provide data rooms on the assets and rules for bidding and acceptance. A form Purchase and Sale Agreements is provided and required to executed to consummate a sale. However, a recent Texas appellate court decision found this process can be preempted by emails between a buyer and seller.