This form is used for the purposes of more effectively developing, producing, and operating the Unit Area in order to prevent surface and underground waste, and obtain the greatest ultimate recovery of production of oil and gas, promote conservation, and to afford each of the Parties the right to recover their fair and equitable share of the production to be obtained from the Unit Area, or to receive the attributable proceeds of such production.
A Maryland Gas Storage and Secondary Recovery Unit Agreement is a legal contract between a gas storage company and another party, typically a gas producer or supplier, for the usage and operation of a gas storage facility in Maryland. This agreement defines the terms and conditions under which the gas storage facility is made available to the other party, allowing them to store and recover natural gas in the facility. Gas storage facilities play a crucial role in the energy industry by providing a secure, reliable, and flexible storage solution for natural gas. The storage facility allows for the injection of excess natural gas during periods of low demand, such as during the summer months when gas consumption is lower. It also enables the withdrawal of stored gas during periods of high demand, such as during winter when gas demand for heating purposes increases. The Maryland Gas Storage and Secondary Recovery Unit Agreement typically cover various aspects of the facility's usage and operation. These may include the quantity of gas storage capacity allocated to the other party, the duration of the agreement, the terms for injection and withdrawal of gas, storage fees, and maintenance responsibilities. There can be different types of Maryland Gas Storage and Secondary Recovery Unit Agreements, tailored to meet the specific needs of the parties involved. Some common types include: 1. Capacity Reservation Agreement: This agreement grants the other party the right to reserve a specific amount of gas storage capacity within the facility for a specified duration. The reservation ensures the availability of storage capacity during peak demand periods. 2. Injection and Withdrawal Agreement: This type of agreement focuses on setting terms for the injection and withdrawal of gas from the facility. It outlines the procedures, timing, and quantities associated with the injection and withdrawal processes. 3. Multi-Party Agreement: In certain cases, multiple parties may enter into a Maryland Gas Storage and Secondary Recovery Unit Agreement to collectively utilize the storage facility. This allows for cost-sharing and efficient utilization of the available capacity. The Maryland Gas Storage and Secondary Recovery Unit Agreement aims to create a mutually beneficial relationship between the gas storage facility provider and the other party, promoting the efficient utilization of the storage capacity and ensuring a reliable supply of natural gas when required. By defining the rights, obligations, and responsibilities of each party, these agreements help establish a transparent and secure operational framework for gas storage in Maryland.A Maryland Gas Storage and Secondary Recovery Unit Agreement is a legal contract between a gas storage company and another party, typically a gas producer or supplier, for the usage and operation of a gas storage facility in Maryland. This agreement defines the terms and conditions under which the gas storage facility is made available to the other party, allowing them to store and recover natural gas in the facility. Gas storage facilities play a crucial role in the energy industry by providing a secure, reliable, and flexible storage solution for natural gas. The storage facility allows for the injection of excess natural gas during periods of low demand, such as during the summer months when gas consumption is lower. It also enables the withdrawal of stored gas during periods of high demand, such as during winter when gas demand for heating purposes increases. The Maryland Gas Storage and Secondary Recovery Unit Agreement typically cover various aspects of the facility's usage and operation. These may include the quantity of gas storage capacity allocated to the other party, the duration of the agreement, the terms for injection and withdrawal of gas, storage fees, and maintenance responsibilities. There can be different types of Maryland Gas Storage and Secondary Recovery Unit Agreements, tailored to meet the specific needs of the parties involved. Some common types include: 1. Capacity Reservation Agreement: This agreement grants the other party the right to reserve a specific amount of gas storage capacity within the facility for a specified duration. The reservation ensures the availability of storage capacity during peak demand periods. 2. Injection and Withdrawal Agreement: This type of agreement focuses on setting terms for the injection and withdrawal of gas from the facility. It outlines the procedures, timing, and quantities associated with the injection and withdrawal processes. 3. Multi-Party Agreement: In certain cases, multiple parties may enter into a Maryland Gas Storage and Secondary Recovery Unit Agreement to collectively utilize the storage facility. This allows for cost-sharing and efficient utilization of the available capacity. The Maryland Gas Storage and Secondary Recovery Unit Agreement aims to create a mutually beneficial relationship between the gas storage facility provider and the other party, promoting the efficient utilization of the storage capacity and ensuring a reliable supply of natural gas when required. By defining the rights, obligations, and responsibilities of each party, these agreements help establish a transparent and secure operational framework for gas storage in Maryland.
