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Landowners want restoration of $24 million verdict

FRANKFORT, Ky. (AP) - A group of southern Kentucky landowners has asked the state's high court to restore a $24.7 million verdict over oil and gas royalties.

The landowners say the Kentucky Court of Appeals erred in January when it threw out the judgment against Texas-based Atmos Energy, which stood accused of failing to pay promised royalties for drilling on their lands.

The landowners initially signed royalty contracts with two attorneys and an entity known as Park City. Park City later reached an agreement with Atmos Energy, which did the drilling and distributed the money.

Atmos overestimated the amount of gas in the fields, which produced for about a year in 2008 and 2009, but not nearly in the quantities projected.

The justices did not indicate if they would hear the case or when.

(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)


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