Petropro, Ltd. v. Upland Resources, Inc.
Texas Court of Appeals
279 S.W.3d 743 (Tex. App. 2007)
L & R Energy acquired, and later assigned to Petropro, Ltd. (plaintiff), rights limited to "the wellbore of the King 'F' No. 2 Well" from KCS Medallion Resources and MB Operating Co. (defendants); Upland Resources (defendant) drilled three separate gas wells nearby in the same pooled unit. Petropro sued for trespass and conversion, claiming an exclusive right to gas throughout the pooled unit at the King well's depth and a right to rework the King wellbore to reach other depths; the trial court granted Upland summary judgment.
Whether an oil and gas assignment that assigns rights in only the wellbore of a given well assigns an estate that extends only to the physical limits of the wellbore, together with all appurtenant rights incident to the underlying lease.