Fort Worth-based Trinity East Energy said today it sued the city of Dallas, claiming city officials assured the company it would be able to drill on 3,600 acres it leased in west Dallas. The suit says the company "ultimately invested more than $30 million in an attempt to extract natural gas conveyed to the company through its lease purchases," including a $19 million signing bonus. It says Dallas City Council in August 2013 denied three of Trinity East's permits to drill on the city-owned land.
"We had a deal with the City of Dallas, and they went back on it," Trinity East President Stephen Fort says in a prepared release by the company. "The city made promises to us and took our money. They sold us minerals but then denied us the ability to extract them." The release says "the company's total losses over the lifetime of the wells exceed several hundred million dollars."
-- Jim Fuquay