Nature Of Ownership In Oil And Gas

Question 0

Correlative rights

Answer 0

Each owner has the right to his fair share of oil and gas under his land as well as protection from negligent damage from the producing formation

Question 1

Rule of capture

Answer 1

Absent negligence, landowners have the right to produce migratory minerals without being liable to their neighbors

Question 2

Ownership in place

Answer 2

(TX, NM, CO, KS) you own the subsurface minerals but ownership can be taken away under the rule of capture

Question 3

Ownership after production

Answer 3

Oklahoma, Louisiana, California

You do not own any oil and gas until it has been captured and brought to the surface

Question 4

Elliff v. Texon

Answer 4

Texas
The blowout was due to negligence with the drilling mud and based on the correlative rights doctrine the defendant was liable for damages

Question 5

Northern natural gas v. L.D drilling

Answer 5

Kansas

The rule of capture does not protect the production of non-native gas