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Androvett Blog

by Robert Tharp at 4:31:54 pm

Natural gas bonanza carries legal risks in states without production history

Thompson & Knight oil and gas attorney Michael Byrd warns wildcatters to beware in states without production caselaw
Natural gas fever is rising in the most unexpected places, thanks to drilling technology that allows production companies to extract natural gas from shale. One of the

promising energy plays involves the Marcellus Shale in New York and surrounding states. But attorney Michael Byrd warns that there's reason to proceed with caution in this virgin territory. For one, these states don't have the case law established to provide guidance in the complicated land deals, transactions, production and marketing that goes along with the natural gas industry. "Companies doing deals in the Marcellus should consider a legal review of all documentation to clarify the meanings of all provisions. No one wants to be the guinea pig that helps the court system develop this body of law." To interview Mr. Byrd, contact Barry Pound at 800-559-4534 or barry@androvett.com.