The United States District Court for the Middle District of Pennsylvania entered summary judgment in favor of producer-lessees Callon (Marcellus) LLC, Reliance Holdings, and BKV against a class of lessors who asserted royalty payment claims under identical production and valuation terms in oil and gas leases.  (See Mem. Op. dated February 7, 2023, Slamon and Lewis v. Carrizo (Marcellus) LLC, et al., M.D. Pa. Case No. 3:16-CV-2187) (Robert D. Mariani, Judge).  In rejecting claims that royalties were underpaid, Judge Mariani found that each contract between the producer-lessees and DTE Energy Trading, Inc. and/or Concord Energy, LLC to sell gas at or near the wellhead constituted valid, arms-length sales to unaffiliated third parties.  Thus, the producer-lessees’ royalty payment methodology was consistent with the terms of the leases.  The Middle District’s Memorandum Opinion is attached. [Mem. Op. dated Feb. 7, 2023].