Newman v. RAG Wyoming Land Company
Wyoming Supreme Court
53 P.3d 540 (2002)
- Written by Colette Routel, JD
Facts
Ownership of the mineral interests on certain lands in Campbell County, Wyoming, was divided between different persons. RAG Wyoming Land Co. (RAG) (defendant) owned the coal and “minerals commingled with coal that may be mined or extracted in association therewith or in conjunction with such coal operation.” Mary Newman and other individuals (collectively, Newman) (plaintiffs) owned the oil and gas beneath the same estate. Long after this division of the mineral interests occurred, it became profitable to extract coalbed methane, which is gas found within coal seams. The company extracting the coalbed methane did so by creating wells that released the gas and then paid royalties to RAG (the owner of minerals commingled with coal), not to Newman (the owner of the gas). Newman sued RAG to recover those royalties. The district court found for RAG, and Newman appealed.
Rule of Law
Issue
Holding and Reasoning (Kite, J.)
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