The Age of Allocation: The End of Pooling As We Know it?
Date
2012
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Texas Tech Law Review
Abstract
Examines horizontal-well environment and the inability to secure pooling authority that redirects lessees down a new path. When a compromise on pooling authority is considered impossible or too costly, operators have adopted a strategy of seeking permits to drill allocation wells. Reviews the debate centered on the narrow legal standard of whether a lessee has a good-faith claim to the right to drill an allocation well. But wide differences of opinion belie this narrow standard, and due to the novelty of the issue, direct guidance from the courts and the legislature is thin.
Description
Keywords
Klotzman (Allocation) #1H, Allocation vs. pooling, Established legal principles for horizontal and allocation wells, Nature of horizontal wells, Actions against allocation-well lessee, Permitting standard for allocation wells, Established commission policy, Rule 40 Permissiveness, Defining "pooling", Wellbore Pooling, Weighing the merits of the implied-pooling argument, Multi-completion commingling, Surface commingling, Judicial treatment of commingling regulation, Intra-lease allocation
Citation
Clifton A. Squibb, The Age of Allocation: The End of Pooling As We Know it?, 45 Tex. Tech L. Rev. 929 (2012-2013)