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4 Joule: Duq. Energy & Envtl. L.J. [i] (2016)

handle is hein.journals/joule4 and id is 1 raw text is: Who Owns the Right to Store Gas: A Survey of Pore Space Ownership in U.S. Jurisdictions Stefanie L. Burt' INTRODUCTION I. THE MAJORITY OR AMERICAN RULE II. THE MINORITY OR ENGLISH RULE III. LEGISLATION IV. KEY UNDECIDED OIL AND GAS PRODUCING JURISDICTIONS V. FEDERAL LANDS CONCLUSION INTRODUCTION This article addresses the issue of pore space ownership under both state and federal law. Pore space is the term used to refer to depleted subsurface geological formations that are used as storage reservoirs for the storage of natural gas or other minerals. Because the owner of the depleted geological formation is entitled to compensation for use of the formation as a storage reservoir for natural gas, the ownership of pore space is an issue that consistently arises regarding natural gas storage fields. Natural gas storage fields are located in the depleted subsurface formations, the pore space, where natural gas was previously extracted. These storage reservoirs are characterized by porous and permeable underground formations that are largely surrounded by impermeable formations, rock, or other barriers.2 After the native natural gas has been extracted, the operator of the storage field injects non-native natural gas into the depleted formation for later distribution and use. Natural gas storage fields located in these depleted subsurface geological strata are certificated and regulated by the Federal Energy Regulatory Commission (FERC). There are 185 federally certificated natural gas storage fields located in 22 states and at depths ranging from 1,000 feet to 5,000 feet below the surface of the earth.3 Generally, the operator of a natural gas storage field is vested with powers of eminent domain via the Natural Gas Act to acquire the property interests necessary to operate and protect the storage field. 4 However, an operator may avoid 1 Stefanie L. Burt is an energy and natural resources attorney at Reed Smith LLP. Attorneys Thomas J. Galligan and Jennifer M. Cully assisted with this article. 2 Natural Gas Storage - Storage Fields, FERC (Mar. 30, 2016, 12:10 PM), https://www.ferc.gov/industries/gas/indus-act/storage/fields.asp. 3 id. 4 15 U.S.C. § 717-717z (2012).

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