Hydrocarbon Management, Inc. v. Tracker Exploration, Inc.

BOYD, Justice.

Appellants 1 were lessees on two leases known as the “Barnes” and “Newcomer” leases located in Lipscomb County, Texas. Appellees 2 are the joint owners and lessors of the working interest in the Barnes and Newcomer leases. Contending the leases had terminated by their own terms, appellees filed suit in January 1990 seeking a declaratory judgment that title to the leasehold was vested in them. Following a bench trial, the trial court entered judgment that the two leases had terminated by their own terms in October 1989, and accordingly ordered payment of all production proceeds…