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Energy leasehold operator alleges working interest owner breached contract

SOUTHEAST TEXAS RECORD

Wednesday, December 4, 2024

Energy leasehold operator alleges working interest owner breached contract

Oildrill 06

GALVESTON — An Oklahoma oil and gas well operator is suing a Texas company, alleging failure to timely make payments of more than $30,000.

Chaparral Energy LLC of Oklahoma City filed a lawsuit Oct. 28 in Galveston County District Court against Magnum Producing LP, alleging failure to comply with the joint operating agreement.

According to the complaint, Chaparral Energy has incurred expenses for the services, goods, materials and supplies necessary for the operation of the James E. Chapman well in Galveston County. Despite regular demands for payment of $31,879.77, Chaparral has not receive any payment from the defendant. 

The plaintiff alleges Magnum Producing has failed and refuses to pay its outstanding balance for its share for the leasehold operating expenses.

Chaparral Energy seeks trial by jury, actual damages, attorney fees and court costs, pre- and post-judgment interest and all other relief. It is represented by attorney Curt M. Covington of Lamberth Ratcliffe Covington PLLC in Rockwall.

Galveston County District Court Case number 16-cv-1276

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