Total Tries To Hold Off $3.5M In Oil Royalty Payments

Law360, New York (October 5, 2009, 2:13 PM EDT) -- The U.S. unit of French oil giant Total SA has sued Kerr-McGee Oil & Gas Corp. and several individuals with overriding royalty interests in an offshore oil block worth more than $3.5 million, claiming it does not have to pay royalties until the Gulf of Mexico endeavor yields more than 87.5 million barrels.

The complaint — filed Friday in the U.S. District Court for the Eastern District of Louisiana — argues that under the Outer Continental Shelf Deep Water Royalty Relief Act, the defendants are not...
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