Logourl black
From our private database of 14,200+ case briefs...

NGC Energy Co. v. Mono Power Co.

Interior Board of Land Appeals
114 IBLA 141 (1990)


Facts

NGC Energy Co. (NGC) and Mono Power Co. (Mono) each owned a 25 percent interest in an oil and gas lease of a federal land. Mono also owned a portion of an adjacent lease. The Bureau of Land Management (BLM) found that a well on Mono’s adjacent leasehold had drained gas from NGC and Mono’s federally-owned leasehold. The BLM conceded based on data submitted in the proceeding that drilling an additional well on the land to protect against drainage would have been uneconomical. Nevertheless, the BLM assessed NGC and Mono compensatory royalties for breach of the implied covenant to protect against drainage. The BLM found that as a common owner, Mono had an absolute duty to unitize the tracts in order to protect against drainage. The BLM found that Mono’s failure to so unitize constituted a breach of the implied duty. The Colorado State Office of the BLM affirmed the decision. NGC and Mono appealed.

Rule of Law

Issue

Holding and Reasoning (Mullen, J.)

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 97,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.

  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.

Here's why 251,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 14,200 briefs, keyed to 189 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.