Calvert v. Union Producing Company

Respondent is an oil and gas company having wells producing gas in the Carthage Field. The gas which it produces contains liquid hydrocarbons produced with and as an integral part of the gas. A part of these liquid hydrocarbons called “condensates” can be taken from the gas at the mouth of the well by means of a separator. In fact, this is sometimes done, and the condensate thus separated is sold in the field by the producer or operator of the well. However, certain of these liquid hydrocarbons may only be produced by means of mechanical processes which must be done in a plant erected for…