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BLUESTONE NATURAL RESOURCES II v. RANDLE

No. 19-0459.

620 S.W.3d 380 (2021)

BLUESTONE NATURAL RESOURCES II, LLC, Petitioner v. Walker Murray RANDLE, et al., Respondents.

Supreme Court of Texas.

OPINION DELIVERED: March 12, 2021.

Attorney(s) appearing for the Case

Russell R. Barton , Fort Worth, Michael K. Reer , Jon-William Nathaniel James , Andrew D. Sims , Fort Worth, for Respondents Pomykal, Sherry E. Marshall, Sundance Minerals, LP, Langdon, Sandra Wilson, Marshall, Ardis Elaine, Marshall Scherer Ranch, LP, Putteet, Nancy, Langdon, Joseph Steadman, Massey, Jr., Stetson, Putteet, Gary M., Langdon, Jr., James Calhoun, Langdon, Karen Rae, Scherer, Deborah Lou Marshall, Randle, Walker Murray, Marshall Pomykal Ranch, LP, Massey, Jo Ann Randle.

John Henderson Bennett , Houston, Jane M. N. Webre , Robert Green Hargrove , Austin, for Petitioner.

Dana B. Deaton , Robert M. Park , for Amici Curiae Texas Pacific Land Trust, National Association of Royalty Owners-Texas, Texas Land & Mineral Owners Association.

Ryan D. Clinton , Austin, for Amicus Curiae Texas Oil & Gas Association.

This oil and gas dispute presents two contract-construction issues affecting the calculation of gas royalty payments: (1) whether the mineral lease permits deduction of postproduction costs from sales proceeds before royalties are computed; and (2) whether the lease's "free use" clause authorizes...

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