For traditional manufacturers, the Inflation Reduction Act of 2022 (IRA) offers a mixed bag of carrots and sticks to support its green energy goals. Signed by President Biden on Aug. 16, 2022, the bill includes numerous tax credits and other incentives promoting clean energy investment. One of the IRA’s stated purposes is to incentivize and revitalize domestic manufacturing, and many of its tax credits and incentives are focused on clean energy manufacturing. The IRA directs some specific tax outcomes, like tax credits for manufacturing green components. Other outcomes may be consequential or ..read more

The U.S. Interior Department recently announced that it is awarding Louisiana with about $47 million to be used to plug and abandon the orphaned well sites throughout the state.  This is part of phase one of many under the Infrastructure Investment and Jobs Act, which was signed by President Biden in November. Louisiana first turned its attention to orphaned well sites in 1993, when the Louisiana Department of Natural Resources (LDNR) created the Louisiana Oilfield Site Restoration Program (“OSR Program”) to address a growing number of unrestored orphaned oilfield sites throughout the st ..read more

On December 22, 2021, Taylor Energy Company LLC (“Taylor Energy”), a Louisiana based oil and gas company, and the United States Department of Justice reached a settlement concerning Taylor Energy’s role in the longest running oil spill in United States history. The oil spill began in September 2004 when Hurricane Ivan crossed the northeastern Gulf of Mexico. The hurricane caused a seafloor shift that toppled one of Taylor Energy’s oil and gas production platforms in the Mississippi Canyon Area, Block 20 (“MC-20”), approximately 10 miles off the coast of Louisiana, initiating an oil discharge ..read more

A panel of 12 lawyers from around the world recently proposed a legal definition for a new crime: ecocide. For years, the panel, along with various international groups, has sought to amend the Rome Statute of the International Criminal Court to include ecocide as one of the crimes within the court’s jurisdiction. Currently, the ICC prosecutes only four crimes: genocide, crimes against humanity, crimes of aggression, and war crimes. The addition of ecocide would enable the court prosecute parties responsible for major ecological harms, which could include businesses, governments, and their re ..read more

Throughout Joe Biden’s campaign, he made clear that climate change, the environment, and “Clean Energy” were going to be anchors of his Presidential platform. What was less clear was how his administration would treat oil and gas beyond the expected counterbalance to the Trump Administration’s regulatory rollbacks – especially with respect to GHG emissions. On the big ticket items – drilling, fracking, leasing on federal lands, etc. – the campaign messages were mixed. Between Biden’s election and his inauguration, the speculation only increased about how moderate or progressive his approach w ..read more

On December 21, 2020 Congress passed the lengthiest piece of legislation in its history—nearly 5600 pages. While most Americans are focused on the provisions of the “Consolidated Appropriations Act, 2021” related to coronavirus response and recovery, it also included provisions that will directly impact pipeline operators. The “Protecting Our Infrastructure of Pipelines and Enhancing Safety Act of 2020” appears at page 2634. The Act contains two provisions which will expand federal regulation of the natural gas pipeline industry. First, the Act requires PHMSA to, “Not later than 90 days after ..read more

On October 20, 2020, the Louisiana Supreme Court issued a major decision in an ad valorem (property) tax case involving oil and gas wells.  D90 Energy, LLC v. Jefferson Davis Parish Board of Review, 2020-C-200 (La. 10/20/2020). D90 Energy, an independent oil and gas operator, purchased from Goldking two gas wells and one salt-water disposal well for $100,000.  Facing an assessment of over $3 million, the producer paid over $100,000 in taxes under protest for two of the tax years and appealed the Assessor’s decision.  The Louisiana Tax Commission reduced the assessed value to $2 ..read more

Every few weeks, another news outlet reports that a wave of energy-related bankruptcy cases is on the way.  See links below if you need some examples.[1]  A recent decision in the Alta Mesa bankruptcy case about pipeline contracts has some important lessons for producers and midstream companies evaluating how future bankruptcy cases may affect their costs and revenue. Alta Mesa Holdings, LP filed an adversary proceeding against one of its major midstream partners, Kingfisher Midstream, LLC, seeking a declaratory judgment that two gas gathering agreements between the parties did not ..read more

Pipeline companies may not exercise their powers of eminent domain granted under the federal Natural Gas Act (NGA) in federal courts when seeking to acquire state-owned lands.   On September 10, 2019, in In re: PennEast Pipeline Company, LLC, the United States Court of Appeals for the Third Circuit ruled in favor of New Jersey finding that its sovereign immunity under the 11th Amendment prohibited PennEast Pipeline from condemning property owned by the State of New Jersey. PennEast Pipeline Company, LLC obtained federal approval to construct a pipeline through Pennsylvania and New J ..read more

Over the past few years, Energy Intelligence Group (“EIG”) – the New York and London-based publisher of 15 newsletters for the oil and gas industry – has sued more than a dozen energy companies and investment houses, alleging violations of federal copyright law.  The alleged violations result from buying subscriptions to its publications (sent by email) and sharing with nonsubscribers in the office via email distribution.  EIG has reached confidential settlements in nearly all the cases.  The settlements reportedly include an agreement to buy more subscriptions. One subscriber ..read more