This form is used when the parties own undivided leasehold interests in the Lease as to depths from the surface of the ground to a Specific Depth. The parties acknowledge that the production from a well on the leasehold interest will be obtained from depths in which the ownership is not common. Thus, the parties find it necessary to enter into this Agreement to enable the parties to each be paid a proportionate part of the commingled production from the separate depths in which they own interests.
Maryland Commingling Agreement Among Working Owners As to Production from Different Formations Out of the Same Well Bore, Where Leasehold Ownership Varies As to Depth In the state of Maryland, the Commingling Agreement Among Working Owners As to Production from Different Formations Out of the Same Well Bore addresses the scenario where leasehold ownership varies as to depth. This agreement is designed to govern the commingling of oil or gas production from different formations within the same well bore, considering the various interests and rights held by different working owners. Key Features of the Maryland Commingling Agreement: 1. Leasehold Ownership Varies As to Depth: This agreement specifically deals with the situation when leasehold ownership differs in terms of depth. It allows working owners with various leasehold rights to combine production from multiple formations in a single well bore within their respective depths. 2. Commingling of Production: The agreement permits the commingling of oil or gas production from different formations within the same well bore. This allows for the efficient extraction and utilization of resources from multiple reservoirs, maximizing the overall productivity of the well. 3. Allocation of Production: The Maryland Commingling Agreement outlines the method and formula for allocating the commingled production among the working owners based on their respective leasehold interests. This ensures a fair distribution of the proceeds from the production based on each owner's stake in the well. 4. Reporting and Documentation: The agreement mandates comprehensive reporting and documentation of all production activities and volumes from each formation. This includes keeping accurate records of the amounts produced from different depths and formations, enabling transparency and verification of production allocation. Types of Maryland Commingling Agreement Among Working Owners: There can be several types of Maryland Commingling Agreements among working owners with varying leasehold ownership. These may include: 1. Vertical Well Commingling Agreement: This agreement allows the commingling of production from different formations within the same vertical well bore when the leasehold ownership varies as to depth. 2. Horizontal Well Commingling Agreement: This type of agreement deals with horizontal wells, permitting the commingling of production from different formations along the horizontal well bore, considering leasehold ownership variations as to depth. 3. Geologically Defined Commingling Agreement: In some cases, the agreement may be specifically tailored to commingle production from geologically defined formations or reservoirs within the same well bore, taking into account the varying leasehold rights in terms of depth. Overall, the Maryland Commingling Agreement Among Working Owners As to Production from Different Formations Out of the Same Well Bore, Where Leasehold Ownership Varies As to Depth provides a framework for cooperation and efficient resource extraction among working owners with diverse interests in oil or gas production.Maryland Commingling Agreement Among Working Owners As to Production from Different Formations Out of the Same Well Bore, Where Leasehold Ownership Varies As to Depth In the state of Maryland, the Commingling Agreement Among Working Owners As to Production from Different Formations Out of the Same Well Bore addresses the scenario where leasehold ownership varies as to depth. This agreement is designed to govern the commingling of oil or gas production from different formations within the same well bore, considering the various interests and rights held by different working owners. Key Features of the Maryland Commingling Agreement: 1. Leasehold Ownership Varies As to Depth: This agreement specifically deals with the situation when leasehold ownership differs in terms of depth. It allows working owners with various leasehold rights to combine production from multiple formations in a single well bore within their respective depths. 2. Commingling of Production: The agreement permits the commingling of oil or gas production from different formations within the same well bore. This allows for the efficient extraction and utilization of resources from multiple reservoirs, maximizing the overall productivity of the well. 3. Allocation of Production: The Maryland Commingling Agreement outlines the method and formula for allocating the commingled production among the working owners based on their respective leasehold interests. This ensures a fair distribution of the proceeds from the production based on each owner's stake in the well. 4. Reporting and Documentation: The agreement mandates comprehensive reporting and documentation of all production activities and volumes from each formation. This includes keeping accurate records of the amounts produced from different depths and formations, enabling transparency and verification of production allocation. Types of Maryland Commingling Agreement Among Working Owners: There can be several types of Maryland Commingling Agreements among working owners with varying leasehold ownership. These may include: 1. Vertical Well Commingling Agreement: This agreement allows the commingling of production from different formations within the same vertical well bore when the leasehold ownership varies as to depth. 2. Horizontal Well Commingling Agreement: This type of agreement deals with horizontal wells, permitting the commingling of production from different formations along the horizontal well bore, considering leasehold ownership variations as to depth. 3. Geologically Defined Commingling Agreement: In some cases, the agreement may be specifically tailored to commingle production from geologically defined formations or reservoirs within the same well bore, taking into account the varying leasehold rights in terms of depth. Overall, the Maryland Commingling Agreement Among Working Owners As to Production from Different Formations Out of the Same Well Bore, Where Leasehold Ownership Varies As to Depth provides a framework for cooperation and efficient resource extraction among working owners with diverse interests in oil or gas production.
