R.J.B. Gas Pipeline v. Colorado Interstate Gas

1 This case involves claims brought by RJB Gas Pipeline Company (Plaintiff/Appellee) and thirty-three other Plaintiffs against Colorado Interstate Gas Co. (Defendant/Appellant) for alleged breach of the take-or-pay provisions of seven gas purchase agreements. The thirty-four Plaintiffs claim to be the working interest owners in gas wells covered by the seven gas purchase agreements. The seven gas purchase agreements, referred to as Contract Nos. 337, 338, 651, 662, 834, 840A and 995, cover eighteen different gas wells located in southeastern Colorado from which CIG purchases gas. Defendant is an interstate natural gas pipeline company, and is regulated by the Federal Energy Regulatory Commission ("FERC"). The wells are directly connected to CIGs pipeline system. Plaintiff Samson Oil Company ("Samson") acts as the operator of the wells.