How far below the ground surface do property rights extend? This question is being addressed in Texas Supreme Court and could result in the emergence of a new field of law. The case involves contamination from an oil and gas wastewater injection well that appears to have migrated onto adjacent farmland, according to a New York Times article.

Chemicals reportedly associated with oil and gas development have shown up in a saltwater aquifer located beneath a nearby rice farm. The farm is claiming Environmental Processing Services – the company that drilled the well – should pay restitution for trespassing on their property.

“This is the classic battle between the two quintessential values that are in direct conflict with each other,” said Matthew J. Festa, a professor at the South Texas College of Law. “On a lot of different levels, this case could make some new law.” – New York Times

The oil and gas industry has taken notice because the recent US hydrocarbon production boom can only be sustained by drilling thousands of new wells, the flowback water from which needs to be disposed, and underground injection wells are a major disposal method.

“Because the ability to produce oil and gas is inextricably tied to the availability of injection wells,” the Texas Oil and Gas Association says in a brief, “a new common law cause of action that threatens operation of injection wells likely threatens oil and gas production.” – New York Times