Bocardo SA v Star Energy UK Onshore Ltd & Anor [electronic resource]

[2008] EWHC 1756 (Ch), 24 July 2008. Oil wells passing under the substrata of an estate without the owner's consent counted as a trespass. Damages were calculated using a hypothetical negotiation between the parties and sought to calculate compensation in line with the Mines (Working Facilites and Support) Act 1966 for the sale of rights of access to allow for the oil extraction workings. Claimant landowner (B) claimed trespass against the defendant oil campanies (S) for extraction of oil lying in part under B's estate. The drilling had taken place over a sevetneen year period. There was nothing to indicate to B that drilling was taking place and when B asked S in 1992 to clarify whether drilling was taking place, S refused to say. In 2006 B found out that drilling was taking place and claimed for trespass. S held that there was no trespass as the drilling was taking place 800m below the estate and that enjoyment of it was not being prevented in any way. Argument also arose over the period of time to be considered in any judgement. Held: judgement for claimant. The court found that secondary trespass was in fact taking place, in relation to rights of access to drill for the oil. After a hypothetical negotiation the court found that B could claim from damages from 2000 and awarded 9% as the figure owed from current profits made as a result of the oil extraction and of all future profits until the wells were exhausted.