Energy Law and Contracts

Catalog description

An examination of the law that applies to acquiring the property rights for exploration and drilling of energy sources. This course examines the area of energy law and contracts, which is crucial to successful drilling in natural gas and oil properties. The course begins with a description of ownership and rights in the mineral estate, and how those rights have evolved over time. Students will be instructed in the how different types of land affect legal rights, and the details of the law of capture. They will also review the Statute of Frauds and examine how it applies to land drilling contracts. The second part of the course presents the basic tenents of real estate law, examining the seminal cases in this area. It will review the standard oil and gas lease used in the United States. Issues reviewed will include the nature of lease clauses and implied covenants, as well as farmout and joint operating agreements. It will also examine how royalty payments can be structured. Environmental regulation is a critical component of energy exploration. To address this topic, students will be introduced to the regulatory process. They will study regulatory compliance and how to deal with government officials. They will also be instructed in corporate liability for property clean up and pollution, and in strategies for minimizing both that liability and harm to the environment. In addition, the course will review topics of environmental due diligence and the joint and several nature of environmental liability.