Royalty suit filed against BP over oil & gas lease in Jefferson County

By David Yates | Mar 17, 2011

Several area residents have come together and filed suit against BP and Cimarex Energy, alleging the companies are refusing to pay royalties on an oil & gas lease.

Plaintiffs Thomas Lee Jr., Margaret and Janet Isaacks, Lucy Lamme, Lana Cureton, Donna Lee and Irene Pagan filed the suit March 14 in Jefferson Court District Court.

Court records show that on June 2, 2009, BP leased 560.36 acres of land in Jefferson County to Cimarex Energy for the purpose of developing and producing oil and gas.

The plaintiffs share a portion of a one-sixteenth reserved royalty interest "of all the oil produced and saved" from 156.68 acres included in their nonparticipating royalty interest, which was established in 1933, under the BP/Cimarex lease, the suit states.

Since November 2009, Cimarex has drilled two wells covered by the plaintiffs' mineral rights, producing and selling both gas and oil products generated from the wells.

"Nonetheless, BP and Cimarex have failed and refused to honor plaintiffs' nonparticipating royalty interest and have refused to pay any royalty to plaintiffs," the suit states.

The plaintiffs are seeking declaratory relief and an award of damages sustained.

They are represented in part by Houston attorney Mano Deayala of Buck Keenan.

Judge Bob Wortham, 58th District Court, has been assigned to the case.

Case No. A189-586

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