A PYMNTS Company

US: Federal antitrust suit filed over natural gas royalties

 |  February 25, 2015

Two Marcellus Shale natural gas companies have been accused of attempting to monopolize, to the detriment of royalty payments, certain natural gas services in the Marcellus Shale region of northcentral and northeastern Pennsylvania.

The allegation against Chesapeake Energy Corp. and Access Midstream Partners is contained in a civil suit filed last week in US Middle District Court by more than 90 landowners and other owners of royalty interests in gas.

The plaintiffs allege transactions between Chesapeake and Midstream artificially inflated the cost of gas gathering services by eliminating competition, resulting in a $5 billion windfall for Chesapeake and underpayment of royalties.

 

Full Content: The Patriot News

 

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.