This operating agreement is used when the Parties to this Agreement are owners of Oil and Gas Leases and/or Oil and Gas Interests in the lands identified in Exhibit A to the Agreement. The Parties have reached an agreement to explore and develop the Leases and/or Oil and Gas Interests for the production of Oil and Gas to the extent and as provided for in this Agreement.
Kansas Joint Operating Agreement 89-03 Revised is a legally binding contract entered into by oil and gas exploration and production companies in Kansas. This agreement outlines the necessary terms and conditions for cooperative operations within a specified area or leasehold. The Kansas Joint Operating Agreement 89-03 Revised governs the relationship between multiple operators who agree to jointly exploit and develop oil and gas resources in accordance with the terms agreed upon. It typically covers various aspects such as the rights and obligations of each party, cost sharing arrangements, decision-making processes, and risk allocation. One important aspect of this agreement is the allocation of costs and expenses related to drilling, testing, completing, and producing wells. It provides a framework for sharing the financial burden proportionally, based on each party's working interest or ownership in the leasehold. This ensures fair distribution of costs and promotes collaboration among operators. Furthermore, the Kansas Joint Operating Agreement 89-03 Revised explicitly addresses the decision-making process. Operators consult and work collectively to make important operational choices, including drilling locations, well designs, production techniques, and other key decisions. This cooperative decision-making mechanism encourages consensus and prevents conflicts among operators. In addition, the agreement covers the handling of revenues generated from oil and gas operations. It outlines how proceeds from production will be distributed among the participating parties based on their working interests, after deducting applicable royalties, taxes, and expenses. While the Kansas Joint Operating Agreement 89-03 Revised is a comprehensive document, it is worth mentioning that there might be variations or modifications to the original terms. Some additional types of joint operating agreements that might exist include: 1. Kansas Joint Operating Agreement 89-03 Revised with Supplementary Agreements: This refers to the primary agreement supplemented by additional contractual arrangements addressing specific matters, such as drilling obligations, preferential rights, or dispute resolution procedures. 2. Kansas Joint Operating Agreement 89-03 Revised with Farm out Agreement: In this scenario, the primary agreement is combined with a farm out agreement, which allows one party (farmer) to acquire an interest in the leasehold from another party (armor). This arrangement enables the farmer to assume certain drilling or development obligations. In summary, the Kansas Joint Operating Agreement 89-03 Revised is a comprehensive legal document that governs the cooperative exploration and production activities of oil and gas companies in Kansas. It establishes the rights, obligations, cost-sharing mechanisms, decision-making processes, and revenue distributions for the parties involved. Additional variations may exist depending on the specific arrangements and supplementary agreements executed by the participating operators.Kansas Joint Operating Agreement 89-03 Revised is a legally binding contract entered into by oil and gas exploration and production companies in Kansas. This agreement outlines the necessary terms and conditions for cooperative operations within a specified area or leasehold. The Kansas Joint Operating Agreement 89-03 Revised governs the relationship between multiple operators who agree to jointly exploit and develop oil and gas resources in accordance with the terms agreed upon. It typically covers various aspects such as the rights and obligations of each party, cost sharing arrangements, decision-making processes, and risk allocation. One important aspect of this agreement is the allocation of costs and expenses related to drilling, testing, completing, and producing wells. It provides a framework for sharing the financial burden proportionally, based on each party's working interest or ownership in the leasehold. This ensures fair distribution of costs and promotes collaboration among operators. Furthermore, the Kansas Joint Operating Agreement 89-03 Revised explicitly addresses the decision-making process. Operators consult and work collectively to make important operational choices, including drilling locations, well designs, production techniques, and other key decisions. This cooperative decision-making mechanism encourages consensus and prevents conflicts among operators. In addition, the agreement covers the handling of revenues generated from oil and gas operations. It outlines how proceeds from production will be distributed among the participating parties based on their working interests, after deducting applicable royalties, taxes, and expenses. While the Kansas Joint Operating Agreement 89-03 Revised is a comprehensive document, it is worth mentioning that there might be variations or modifications to the original terms. Some additional types of joint operating agreements that might exist include: 1. Kansas Joint Operating Agreement 89-03 Revised with Supplementary Agreements: This refers to the primary agreement supplemented by additional contractual arrangements addressing specific matters, such as drilling obligations, preferential rights, or dispute resolution procedures. 2. Kansas Joint Operating Agreement 89-03 Revised with Farm out Agreement: In this scenario, the primary agreement is combined with a farm out agreement, which allows one party (farmer) to acquire an interest in the leasehold from another party (armor). This arrangement enables the farmer to assume certain drilling or development obligations. In summary, the Kansas Joint Operating Agreement 89-03 Revised is a comprehensive legal document that governs the cooperative exploration and production activities of oil and gas companies in Kansas. It establishes the rights, obligations, cost-sharing mechanisms, decision-making processes, and revenue distributions for the parties involved. Additional variations may exist depending on the specific arrangements and supplementary agreements executed by the participating operators.
