08 Oct Arkansas’s Smackover Formation… by Brian T. Wittpenn
Arkansas’s Smackover Formation is a promising Lithium play that many companies are now making plans to develop.[1] At KMD, we have been researching and preparing to assist clients with their development plans in Arkansas, Louisiana, and Texas. In this first Arkansas Lithium article, we wanted to start at the beginning… so when did lithium become a mineral?
The Strohacker Doctrine
The question of whether a specific substance included within a grant or reservation falls within the meaning of “minerals” or “mineral deposits” is determined by the meaning of the word or phrase at the time that the deed or reservation took place. Was the substance generally regarded as a “mineral” when conveyed or reserved? This is the Strohacker Doctrine, which was held in Missouri Pac. Ry. Co. v. Strohacker, 152 SW.2d 557 (Ark. 1941).
Central to the Strohacker case were the following reservations made in 1898: “Reserving all coal and mineral deposits in and upon said lands with the right to said [grantor], its successors and assigns at any and all times to enter upon said lands and to mine and remove any and all coal and mineral deposits found thereon without any claim for damages on behalf of said [grantee], his heirs or assigns.” Strohacker, 152 SW.2d at 646, footnote 1. The Court held that because oil and gas was not, at the time of the reservations, were not commonly thought of as minerals. Id. at 656. “Our task is to decide what Iron Mountain meant when it reserved ‘all coal and mineral deposits.’ Although there were court decisions holding oil and gas to be minerals, such was not the general construction; and this was particularly true in a country where oil and gas were not given the slightest commercial consideration in connection with land values.” Id.
January 1, 1955
Subsequently, in 1955, bomine was discovered in brine water produced from the Smackover Formation. The recognition of the commercial value of the brine water was established January 1, 1955 as the pivotal date for determining whether a conveyance or reservation of “minerals” includes brine water, which in turn includes Lithium. It is important then to make the distinction. Conveyances or reservations of “minerals” prior to January 1, 1955 would not include Lithium, while conveyances or reservations of “minerals” subsequent to January 1, 1955 would include Lithium.
By Brian T. Wittpenn, Senior Attorney at KMD Law
[1] See Exxon Drilling First Lithium Well in Arkansas, https://corporate.exxonmobil.com/news/news-releases/2023/1113_exxonmobil-drilling-first-lithium-well-in-arkansas (November 13, 2023); Arkansas Lithium Project Finalized USD 225 Million Award, https://www.equinor.com/news/20250116-arkansas-lithium-usd-225-million-award (January 16, 2025); Chevron Enters Domestic Lithium Sector to Support U.S. Energy Security, https://www.chevron.com/newsroom/2025/q2/chevron-enters-domestic-lithium-sector-to-support-us-energy-security (June 17, 2025).