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KENDRA OIL & GAS, INC. v. HOMCO, LTD.

No. 88-2926.

879 F.2d 240 (1989)

KENDRA OIL & GAS, INC., Plaintiff-Appellee, v. HOMCO, LTD. and John Homeier, Defendants-Appellants.

United States Court of Appeals, Seventh Circuit.

Decided June 26, 1989.

Attorney(s) appearing for the Case

John Malec, Martin, Bahn, Malec & Cervantes, St. Louis, Mo., for plaintiff-appellee Kendra Oil & Gas, Inc.

R. Edward Veltman, Jr., David M. Foreman, Crain, Cooksey & Veltman, Centralia, Ill., for defendant-appellant Homco, Ltd.

R. Edward Veltman, Jr., David M. Foreman, Leonard P. Cervantes, Centralia, Ill., for defendant-appellant John Homeier.

Before CUDAHY, FLAUM and EASTERBROOK, Circuit Judges.

EASTERBROOK, Circuit Judge.

Attempts to drain a pool of oil too fast, or at too many places, may diminish net extractions. States therefore limit access to proven oil fields. "Prorate" systems credit owners with part of the production from pools under their lands to compensate them for inability to drill their own wells. Illinois does not use a prorate system but establishes minimum distances between wells. If the top of the oil-bearing stratum lies between 4,000...

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