Title: Gas migration in India: examining the interplay between the rule of capture and the public trust doctrine
Título: Migración del gas en La India: examinando la interacción entre la regla de captura y la doctrina del fideicomiso público
Author: Raghava Parthasarathy, Research Scholar, Gujarat National Law University, Gandhinagar, Gujarat, India. Email: raghavaphd202036@gnlu.ac.in
Author: Prof. Sanjeevi Shanthakumar, Director, Gujarat National Law University, Gandhinagar, Gujarat, India. Email: vc@gnlu.ac.in
Fecha de recepción: 12/05/2025
Fecha de aceptación: 03/06/2025
Fecha de modificación: 09/06/2025
DOI: https://doi.org/10.56398/ajacieda.00425
Documento complete: “Gas migration in India: examining the interplay between the rule of capture and the public trust doctrine”
Abstract:
In a recent decision delivered by the High Court of Delhi, India, an interesting legal precedent was set. The issue arose out of a Production Sharing Contract between the Government of India and Reliance Industries, for exploration and extraction of gas in contracted areas. It was for the first time that the Courts in India had an opportunity to deal with the concept of gas migration and its legal implications. In this article, author has attempted to explore the legal nuances of the doctrine of public trust as against the rule of capture from the perspective migrating gas. The adjudication of dispute, commencing from Three member arbitral tribunal, to be challenged before the Single Judge and later on appealed before the Two Judge bench at High Court of Delhi, traverses through an interesting path over a period of 7 years from 2018 till 2025. Understanding various nuances of migration of gas, from sovereign rights of the Government to resource management and equitable distribution assumes critical importance in overall management of resources.
Resumen:
En una reciente decisión dictada por el Tribunal Superior de Delhi, India, se sentó un interesante precedente jurídico. La cuestión surgió a raíz de un contrato de reparto de la producción entre el Gobierno de la India y Reliance Industries, para la exploración y extracción de gas en las zonas contratadas. Era la primera vez que los tribunales indios tenían la oportunidad de abordar el concepto de migración de gas y sus implicaciones jurídicas. En este artículo, el autor ha intentado explorar los matices jurídicos de la doctrina de la confianza pública frente a la regla de la captura desde la perspectiva de la migración del gas. La adjudicación de la controversia, a partir de tres miembros del tribunal arbitral, para ser impugnada ante el juez único y más tarde apelado ante el banco de dos jueces en el Tribunal Superior de Delhi, atraviesa a través de un camino interesante en un período de 7 años desde 2018 hasta 2025. La comprensión de los diversos matices de la migración del gas, desde los derechos soberanos del Gobierno hasta la gestión de los recursos y la distribución equitativa asume una importancia crítica en la gestión global de los recursos.
Palabras clave: Regla de captura. Doctrina de la confianza pública. Migración de gas. Constitución de la India. Disgorgement. Enriquecimiento injusto.
Keywords: Rule of Capture. Doctrine of public trust. Gas migration. Constitution of India. Disgorgement. Unjust enrichment.
Index:
- Introduction
- What is Rule of Capture?
- Disgorgement Notice and Arbitral Proceedings
- Challenge to Arbitral Award before High Court of Delhi
- Intra-Court Appeal
- Conclusion
- Bibliography
Índice:
- Introducción
- Qué es la regla de captura?
- Notificación de Indemnización y Procedimiento Arbitral
- Impugnación del laudo arbitral ante el Tribunal Superior de Delhi
- Recurso intrajudicial
- Conclusión
- Bibliografía
Bibliografía:
Association of Natural Gas & Others V. Union of India. (2004) 4 SCC 489.
CLAES DH. SOVEREIGNTY AND OWNERSHIP. IN: The Politics Of Oil: Controlling Resources, Governing Markets And Creating Political Conflicts. Cheltenham (UK): Edward Elgar Publishing; 2018. p. 1–24. https://doi.org/10.4337/9781785360183. See this link.
COLEMAN J. THE THIRD AGE OF OIL AND GAS LAW. Ind. Law J. 2020;95(2):[2]. See this link.
Common Cause v. Union of India. (2017) 9 SCC 499.
Delhi Metro Rail Corporation Ltd v. Delhi Airport Metro Express Pvt. Ltd, (2024) 6 SCC 357.
Directorate of Geology & Mining, Assam. (n.d.). PNG Rules, 1959. See this link.
HARDWICKE RE. The rule of capture and its implications as applied to oil and gas. Tex Law Rev. 1935;13:391–3.
HOSSAIN Z, KUMAR AP. The new jurisprudence of scarce natural resources: An analysis of the Supreme Court’s judgment in Reliance Industries Limited v. Reliance Natural Resources Limited (2010) 7 SCC 1. Indian J Const. Law. 2010;4: 105–14. See this link.
India. Constitution of India. Art. 297. See this link.
India. The Arbitration and Conciliation Act, 1996. No. 26 of 1996. New Delhi: Government of India. See this link.
KRAMER BM, ANDERSON OL. The rule of capture – an oil and gas perspective. Environ Law. 2005 Fall;35(4):899–954. See this link.
M.C. Mehta v. Kamal Nath, (1997) 1 SCC 388.
Ministerio de Justicia. Act 29/1998, of 13 July, regulating the contentious-administrative jurisdiction. Madrid: Ministerio de Justicia; 2015. See this link.
Ministry of Petroleum and Natural Gas (India). Office Memorandum No. F.No. O-22013/17/2015-ONGC.DV. New Delhi: Government of India; 2015 Dec 15. See this link.
Ministry of Petroleum and Natural Gas (India). Production Sharing Contract for Offshore Areas. New Delhi: Government of India; 2000 Apr 12. See this link.
ONGC Ltd v. Saw Pipes Ltd, (2003) 5 SCC 705.
ONGC v. Union of India, W.P. (C) No. 3054/2014. Delhi High Court; 2015 Sep 10. See this link.
PSA Sical Terminals Pvt. Ltd. v. Board of Trustees of V.O. Chidambaranar Port Trust Tuticorin, (2023) 15 SCC 781.
Punjab State Civil Supplies Corporation Ltd and Another v. Sanman Rice Mills and Others, 2024 SCC OnLine SC 2362.
Reliance Natural Resources Limited v. Reliance Industries Limited. (2010) 7 SCC 1.
Threesiamma Jacob & Others v. Geologist, Department of Mining & Geology & Others, [2013] 7 SCR 863.
Union of India v. Reliance Industries Ltd & Others, FAO(OS)(COMM) No. 201/2023. Delhi High Court; 2025 Feb 14. See this link.
Union of India v. Reliance Industries Ltd & Others, O.M.P. (COMM) No. 487/2018. Delhi High Court; 2023 May 9. See this link.
