DAVIS OIL v. STEAMBOAT PETROLEUM

No. 91-C-0145.

583 So.2d 1139 (1991)

DAVIS OIL COMPANY v. STEAMBOAT PETROLEUM CORPORATION.

Supreme Court of Louisiana.

June 28, 1991.


Attorney(s) appearing for the Case

L. Linton Morgan, Robert L. Redfearn, Judy P. Martinez, Eddie L. Sapir, New Orleans, Servando Caesar Garcia, III, Metairie, for defendant-applicant.

Matthew J. Randazzo, III, Vernon L. Terrell, Jr., F. Henri Lapeyre, New Orleans, for plaintiff-respondent.

John M. McCollam, Margaret P. Sullivan, New Orleans, amicus curiae.

Donald W. Doyle, Clyde H. Jacob, III, New Orleans, amicus curiae.


DENNIS, Justice.

We are called upon to decide whether the operator of a forced drilling unit who initiated the unitization process may hold an adjacent lessee personally liable for dry hole well costs because the lessee requested the Commissioner to modify the proposed unit to include part of the lessee's leasehold. In the present case, in response to the adjacent lessee's counter-proposal, the Commissioner included parts of its leaseholds in two proposed units. Consequently...

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