Energy/Oil and Gas Litigation

McKool Smith’s trial lawyers have productive, longstanding relationships with a wide range of participants in the energy sector. While we work toward early resolution of disputes whenever possible, we stand ready to vigorously represent our clients in jury trials, bench trials, arbitration proceedings, and government investigations. Armed with a thorough knowledge of the energy industry’s specific business considerations and complex regulatory environment, our lawyers handle a broad range of energy-related disputes of domestic and international origin, involving the upstream, midstream, downstream and oil field sectors of the oil and gas industry, including LNG and marketing and trading of commodities, and the power generation, distribution, and sale sector, including renewables and co-generation. Our lawyers also routinely represent energy companies in bankruptcy-related matters. We have litigated across the United States and around the world in both federal and state courts and in arbitration proceedings, sometimes in parallel with regulatory proceedings.

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Representative Matters

Our attorneys' energy-related litigation experience includes the following matters, among others:

• Sempra. Obtained a jury verdict on behalf of San Diego-based Sempra Generation following a four-week jury trial in a case challenging Sempra’s $6.6 billion energy supply contract with the California Department of Water Resources (“DWR”). Our lawyers also successfully defended Sempra in two AAA arbitration proceedings challenging the interpretation and implementation of Sempra’s contract with DWR.

• Alcoa. Representation of Alcoa Power Generating, Inc. as lead trial counsel in successfully defending against a suit filed by the State of North Carolina seeking ownership rights to submerged land and four hydropower dams that are built along the Yadkin River.

• Halliburton Oil Spill Litigation. Represented Halliburton and Sperry Sun, with focus on the development of expert and technical matters, in the MDL litigation related to the Macondo/Deepwater Horizon blowout.  The case is currently pending in the Eastern District of Louisiana.

• Apache Corporation. Successfully defended Apache Corporation in a class action brought by 30,000 royalty owners in Texas and New Mexico; the court denied the class action and then the case settled for a few pennies on the dollar.

• Apache Corporation. Successfully defended Apache Corporation in two consolidated lawsuits regarding gas supply issues in Western Australia; obtained dismissals on the ground of forum non conveniens.

• Gulf South Pipeline Company. Represented Gulf South Pipeline in an internal investigation concerning potential violations of the Natural Gas Pipeline Act.

• Chevron Corporation. Representation of Chevron in obtaining a multi-million dollar judgment against Shell Oil Company in a breach of contract case relating to rate charges for a refined petroleum products pipeline.

• Independent Crude Oil and Gas Producers. Representation of more than 80 independent Kansas, Oklahoma, and Texas crude oil and gas producers in litigation alleging that certain down-stream purchasers of crude oil and gas from SemCrude and its affiliates, including Goldman Sachs subsidiary J. Aron & Co. and British Petroleum subsidiary BP Oil Supply company, conspired with SemGroup to tortiously interfere with their contractual relationships and  defraud them.

• Halliburton. Defended Halliburton in a commercial litigation suit filed by MCR Oil Tools concerning contractual rights to oil field tools technology.

• Hunt Oil Company. Representation of Hunt Oil Company in defending claims by the surface owner of land in Catahoula Parish, Louisiana for environmental damage to the soil and groundwater as a result of oil and gas operations.

• Coral Energy. Representation of Coral Energy in obtaining a favorable multimillion dollar settlement after prosecuting the breach of a gas transportation agreement ,which was tied to a long-term take or pay gas purchase agreement.

• Dyna-Drill Technologies, Inc. Successfully defended Dyna-Drill Technologies against a damages claim by Kennametal (d/b/a Conforma Clad, Inc.) of nearly $60 million for alleged trade secret misappropriation, tortious interference, and breach of contract. After a 13 day trial, the jury found Dyna-Drill owed no damages.

• NL Shaffer. Representation of NL Shaffer in securing a complete defense verdict in a $300 million Texas Deceptive Trade Practices Act suit by ODECO Drilling concerning the sale of its equipment for incorporation into three offshore drilling rigs.