Nature of the Case
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Facts
Avanti was the lessee under an oil and gas lease on property owned by Anderson (P). Avanti drilled a well on P's land and produced gas from the Stalnaker reservoir. Native gas was at sometime produced in the reservoir, and after it was depleted, Beech (D) bought gas from interstate pipelines and injected it into the reservoir through wells on its property. D stored this gas for later use at its plant. The gas that Avanti was producing was the gas that D was storing. The reservoir underlies the land of D and the adjoining P farm. D does not hold a lease, license or other permit for use of the part of the reservoir that underlies P's farm. P sued to quiet title and recover for damages for slander of title and trespass and for an accounting. The District Court granted a motion for P on the issue of the quiet title action and held that P's were entitled to produce any non-native gas injected for storage by D which entered P's property. D appealed on an interlocutory appeal.
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