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MATTER OF FELMONT NATURAL GAS STORAGE CO., INC. v. HUDACS

175 A.D.2d 565 (1991)

In the Matter of Felmont Natural Gas Storage Company, Inc., Respondent, v. John F. Hudacs, as Commissioner of General Services, et al., Appellants

Appellate Division of the Supreme Court of the State of New York, Fourth Department.

July 12, 1991

Judgment unanimously affirmed with costs.

Memorandum:

In 1964, Felmont Oil Corporation leased from the State of New York gas storage rights for a reservoir underlying a portion of Allegany State Park. Gas storage rights include subsurface rights, as well as certain surface rights to the land over the reservoir and a buffer zone. The 1964 lease contained the following provision: "Further, in the event new reservoir engineering studies based on additional drilling...

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