Feds Can't Defend $2M Gas Royalty Payment Order, Oxy Says

By Clark Mindock (October 27, 2021, 8:25 PM EDT) -- Occidental Petroleum Corp. says the federal government has failed to defend a $2 million retroactive royalty demand against one of its units, and wants a lower court's backing of the sum tossed aside.

Occidental told the Tenth Circuit on Tuesday that it should reject the Office of Natural Resources Revenue's defenses of the lower court's order, saying the federal government had set royalty rates decades ago and was attempting to dodge scrutiny of the decision to abruptly change course and implement a new charging regime. Upholding the lower court's order rejecting decades of industry practice would "inject substantial uncertainty to royalty...

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