Energy Firm Accuses Shale JV Partner Of Bad Budgeting

Law360, Washington (February 6, 2012, 6:57 PM EST) -- An energy exploration firm sued a joint venture partner Monday in Oklahoma federal court over shale drilling plans, accusing the partner of faulty budgeting that potentially doubled the expected $85 million cost.

Shalco Energy Delaware LLC and West Star Exploration and Production Co. planned to explore the Woodford Shale in Oklahoma, with West Star drilling 41 wells in the area and Shalco raising investment funds. But less than a year into the agreement, West Star has already spent over 40 percent of the budget on a...
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