Chesapeake Energy Corp., the Oklahoma City-based gas driller, has lost an appeal attempting to reverse a multi-million dollar award to a leaseholder in Texas. The company is facing multiple claims from mineral rights holders over the cancellation of offers for oil and gas leases.<\/p>\n
In a 2011 decision in U.S. District Court, the Plano, Texas-based Peak Energy Corp. was awarded $19.7 million. The U.S. Court of Appeals in New Orleans agreed, holding that Chesapeake was wrong to cancel an agreement over drilling rights.<\/p>\n
As gas prices have decreased, Chesapeake has attempted to cancel hundreds of agreements with landowners to buy oil and gas rights from Pennsylvania to Texas. District Court Judge John Ward had held that Chesapeake’s attempt to abandon the deal with family-owned Peak Energy was a breach of contract. Chesapeake’s unsuccessful argument on appeal was that the letter of intent that both companies signed was not a valid (more…)<\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":" Chesapeake Energy Corp., the Oklahoma City-based gas driller, has lost an appeal attempting to reverse a multi-million dollar award to a leaseholder in Texas. The company is facing multiple claims from mineral rights holders over the cancellation of offers for…<\/span><\/p>\n