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West Virginia: Non-profit groups file federal lawsuit against Chesapeake for allegedly taking gas without lease

Wednesday, May 13, 2015 by

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Several West Virginia non-profit groups filed a lawsuit against Chesapeake Energy May 1, claiming that the oil and gas company took natural gas without a lease. According to The Intelligencer / Wheeling News-Register, the groups believe that Chesapeake Appalachia, the local operating unit, committed fraud and trespassing.

The newspaper reports that The Parks System Trust Fund of Wheeling, Ohio Valley Medical Center, Elmhurst House of Friendship, Vance Memorial Presbyterian Church, the Children’s Home of Wheeling and the YWCA filed the lawsuit. These organizations hold ownership interest in 224 acres in Ohio County.

West Virginia Department of Environmental Protection documents show that Chesapeake pooled 27 leases together for one drilling pad. The plaintiffs in the lawsuit believe that Chesapeake drew from under their acreage into other drilling units without leasing the property. In 2014, Chesapeake sold its operations in West Virginia to Southwestern Energy Co. for $5 billion. According to a Southwestern spokeswoman, Chesapeake is liable for actions before the transaction was complete.

Via: The Intelligencer / Wheeling News-Register > Non-Profit Groups Claim Chesapeake Energy Took Gas Without Leases

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