PONTCHARTRAIN NATURAL GAS SYSTEM, K/D/S PROMIX, L.L.C, AND ACADIAN GAS PIPELINE SYSTEM
TEXAS BRINE COMPANY, LLC
Appeal from the Twenty -Third Judicial District Court In and
for the Parish of Assumption State of Louisiana Docket No.
34, 265 Honorable Thomas J. Kliebert, Jr., Judge Presiding
Leopold Z. Sher James M. Garner Peter L. Hilbert, Jr. Jeffrey
D. Kessler New Orleans, Louisiana Attorneys for
Appellant/Defendant/ Third -Party Plaintiff, Texas Brine
Ryland Percy, III Gonzales, Louisiana Travis J. Turner
Gonzales, Louisiana Glen E. Mercer Kourtney Twenhafel New
Orleans, Louisiana Attorneys for Appellee/Third-Party
Defendant, Steadfast Insurance Company, as alleged insurer of
Adams Resources Exploration Company
S. Johnson Chad J. Mollere Mandeville, Louisiana Attorneys
for Appellees/ Third-Party Defendants, AIG Specialty
Insurance Company, Lexington Insurance Company, and National
Union Fire Insurance Company of Pittsburgh, PA, as alleged
insurers of Adams Resources Exploration Company
Matthew J. Randazzo, III Christopher B. Bailey Will Montz
Lafayette, Louisiana Attorneys for Appellee/Defendant/ Third
-Party Defendant, Browning Oil Company, Inc.
A. Stern Leigh Ann Schell Raymond P. Ward Jeffrey E.
Richardson Sara C. Valentine New Orleans, Louisiana Attorneys
for Appellees/Defendants, Occidental Chemical Corporation
Occidental Petroleum Corporation, and Oxy USA, Inc.
Cheatwood Kent A. Lambert Adam B. Zuckerman Paul C.
Thibodeaux Colleen C. Jarrott Matthew S. Chester Matthew C.
Juneau New Orleans, Louisiana Tony M. Clayton Port Allen,
Louisiana Attorneys for Appellee/ Third-Party
Defendant/Third-Party Plaintiff, Legacy Vulcan, LLC
BEFORE: HIGGINBOTHAM,  PENZATO, AND LANIER, JJ.
Brine Company, LLC, appeals a judgment dismissing its claims
against Steadfast Insurance Company, AIG Specialty Insurance
Company, Lexington Insurance Company, and National Union Fire
Insurance Company of Pittsburgh, Pa., in their respective
capacities as insurers of Adams Resources Exploration
Company (collectively "Adams Resources'
insurers"), on a motion for involuntary dismissal. For
the reasons that follow, we affirm.
AND PROCEDURAL HISTORY
underlying litigation in this matter involves the sinkhole in
Assumption Parish that resulted when the site of a former
brine cavern, known as the Oxy Geismar No. 3 well (OG3)
collapsed. Numerous plaintiffs filed suit against several
defendants, including Texas Brine, for damages to their
property. Texas Brine drilled a brine well known as OG3 on
land owned by Occidental Chemical Corporation (Oxy) in 1982.
In 1983, Oxy leased a portion of the land to Colorado Crude
Company (Colorado Crude Lease) for the purpose of drilling an
oil well thereon. In 1986, Adams Resources, an assignee of
the Colorado Crude Lease, drilled an oil and gas well on the
property that became known as Adams-Hooker No. 1 well (AH1
well). In May 1986, before any actual production
from the AH1 well, Adams Resources assigned its operating
interest in the well to HECI Exploration Company, LLC. The
ALU well produced until it was permanently shut-in in 2001,
approximately 11 years before the development of the sinkhole
on or about August 3, 2012.
plaintiffs filed suit against Texas Brine and other
defendants for alleged damages arising from the sinkhole.
Texas Brine asserted third-party demands against Adams
Resources and its insurers, pursuant to the Louisiana Direct
Action Statute, La R.S. 22:1269. On October 9, 2017, at the
close of Texas Brine's case on the bifurcated liability
trial, the Adams Resources' insurers moved for an
involuntary dismissal, which the district court originally
deferred. On November 11, 2017, the district court granted
the involuntary dismissal and signed a judgment in accordance
therewith. It is from this judgment that Texas Brine appeals.