Our energy clients come from all across Texas and around the world. Our services are engaged when they buy into or exit from domestic oil or gas operations or the occasional international concession. As their counsel, we are here to help identify the potential risks involved with the purchase or sale and assist them in reaching their goals. Our lawyers have decades of experience representing operators and investors in negotiating and preparing leases, conveyance instruments, operating agreements and other contracts relating to the acquisition and disposition of oil and gas properties. And we understand the challenges they face on a business level—we have been in their shoes.
With our comprehensive business and legal experience, we provide guidance at every stage of a trade. We negotiate and draft the necessary documents and perform the due diligence review of the assets being purchased. We understand that, to be a viable acquisition, any producing property must have certain characteristics. Our lawyers evaluate everything, including regulatory compliance, liens and encumbrances, consent requirements, preferential rights and breaches or failures of conditions affecting the overall status of title to or ownership of the real or personal property at issue, and engineering reports, economic projections and other financial information affecting the revenue stream being purchased. But no deal is perfect, and we help our clients discern whether imperfections can be overcome or compel withdrawing from the trade.
Our attorneys have negotiated, documented and closed a variety of energy transactions including:
We know the unique risks associated with oil and gas collateral. Our clients must make certain unavoidable assumptions when analyzing the reservoir engineer’s report and ultimately determining the present worth of and potential future revenues from any oil and gas property securing their loans. Our lawyers carefully evaluate conveyance instruments, regulatory filings, historical revenue receipts and other information to ensure that our clients’ interests are protected by adequately valued and unencumbered collateral.
This experience benefits our borrower-clients as well. Because we understand the lender’s needs, we help borrowers navigate the lending process as efficiently as possible, providing guidance as to any records, books, reports or other information that must be produced before closing.
Our corporate clients must comply with certain statutory requirements relating to business organizations in general. A significant part of our representation involves forming, registering and ensuring that our clients operate their businesses in accordance with applicable laws.
Much of our work in this area also stems from unusual but important issues arising after the lease is granted, facilities are constructed and pipelines are laid. We have counseled clients on issues relating to the termination of easements and leases, the rights of a mineral owner under a pooling agreement, mineral trusts and the duties of the trustee, environmental matters and surface damage.