Trans-Western Petroleum, Inc. v. United States Gypsum Co.

HOLLOWAY, Circuit Judge.

I. INTRODUCTION

This case involves a dispute over which of two energy companies, Trans-Western Petroleum, Inc., or Wolverine Gas and Oil Corp., currently holds a valid oil and gas lease on a portion of land in Utah. Trans-Western asserts that it has a valid lease with a lease term beginning on August 17, 2004. Wolverine acknowledges that the primary term of its lease expired on August 17, 2004. However, Wolverine asserts that its placement of the lands covered by the lease into a “unit” — a group of separately leased lands covering a common supply of oil or gas — has…