Lillibridge v. Mesa Petroleum Co.

BRORBY, Circuit Judge.

This is an appeal from a summary judgment wherein the trial court held that oil and gas leases were new oil and gas leases rather than an extension or renewal of an existing lease, thus depriving appellants of an overriding royalty interest that had been carved out of the original lease.

In May 1972 the mineral owners executed and delivered to Robert Gutru an oil and gas lease. This lease covered 800 acres, had a primary term of ten years and provided a landowner’s royalty of twelve and one-half percent (one-eighth). Mr. Gu-tru, through a series of assignments, assigned…