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Supreme Court rejects DOI appeal of Anadarko case

10/12/2009
By Nick Snow
The US Supreme Court rejected a US Department of the Interior appeal of a lower court's ruling in an offshore royalty case that DOI said could cost the federal government $19 billion.Justices declined, on Oct. 5 without comment, to hear DOI's appeal of the Fifth US Circuit Court of Appeals in New Orleans Jan. 12 ruling that Anadarko Petroleum Corp. does not have to pay $350 million of royalties on eight federal Gulf of Mexico deepwater leases it holds.Kerr-McGee Oil & Gas Corp., which originally obtained the leases and that Anadarko acquired when it bought the Oklahoma City-based producer in 2006, argued in a legal challenge that the 1995 Deepwater Royalty Relief Act waived payments u...
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