Kan. Gas Leaseholders Get Piece Of Condemnation Award

Law360, New York (July 8, 2015, 5:20 PM EDT) -- A Kansas federal judge on Wednesday said oil and gas leases on 9,100 acres of land acquired through condemnation by Northern Natural Gas Co. were valid at the time of condemnation and leaseholders were entitled to a cut of the proceeds.

Omaha, Nebraska-based Northern Natural Gas, which was ordered to pay $7.3 million for the land in southern Kansas in accordance with a 2011 Federal Energy Regulatory Commission order that authorized the expansion of its natural gas storage property, took control of the land in 2012.

Affected landowners argued that several oil and gas leases held by companies including L.D. Drilling,...

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