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FRENCH v. OCCIDENTAL PERMIAN LTD.

No. 12-1002.

440 S.W.3d 1 (2014)

Marcia Fuller FRENCH, et al., Petitioners, v. OCCIDENTAL PERMIAN LTD., Respondent.

Supreme Court of Texas.

June 27, 2014.

Rehearing Denied October 3, 2014.

Attorney(s) appearing for the Case

Sean D. Jordan , Sutherland Asbill & Brennan LLP, Austin, TX, for Amicus Curiae American Petroleum Institute.

Dominic Jude Ricotta , Hicks Thomas LLP, Houston, TX, for Amicus Curiae Apache Corporation.

Cory Pomeroy , Texas Oil & Gas Assoc'n, Austin, TX, for Amicus Curiae Texas Oil & Gas Association.

Brent Barton Hamilton , Brady & Hamilton, L.L.P., Lubbock, TX, Clark Rucker , Robert C. Grable , Marianne M. Auld , Kelly Hart & Hallman LLP, Fort Worth, TX, for Petitioner, Marcia Fuller French, et al.

Dennis Cameron , Gable & Gotwals, Tulsa, OK, Ernest E. Smith III , University of Texas School of Law, Austin, TX, John A. "Jad" Davis Jr. , Davis, Gerald & Cremer, P.C., Midland, TX, Marie R. Yeates , Vinson & Elkins LLP, Houston, TX, Michael Andrew Heidler , Vinson & Elkins LLP, Austin, TX, for Respondent Occidental Permian Ltd.

Chief Justice HECHT delivered the opinion of the Court.

One method of enhanced oil recovery is to inject carbon dioxide (CO2) into a reservoir to sweep the oil to the production wells. The CO2 returns to the surface entrained in casinghead gas produced with the oil.1 In this case, royalty owners contend that the royalty due on the casinghead gas under the parties' agreements must be determined...

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