Michigan Amendment to Oil, Gas and Mineral Lease (to Provide for Gas Storage)

• Category: Oil Gas and Minerals - Leases
• State: Multi-State
• Control #: US-OG-930
• Format: Word; Rich Text

Description

This form is an amendment to oil, gas and mineral lease to provide for gas storage. The Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) is a legal agreement that allows for the inclusion of provisions related to gas storage within existing leases for oil, gas, and mineral exploration and extraction in Michigan. This amendment is crucial in facilitating the development and operation of underground natural gas storage facilities throughout the state. By incorporating these provisions, lessees are granted the necessary rights and permissions to establish underground storage reservoirs for natural gas, enhancing energy supply stability and reliability. Such storage facilities play a crucial role in maintaining balance within the natural gas market, allowing for seasonal variations in demand and unforeseen emergencies. One type of Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) is the Surface Use Agreement. This specific provision outlines the terms under which the lessee can access and use the surface land for the construction, operation, and maintenance of gas storage facilities. It addresses concerns such as surface disturbance, easements, environmental protection, and compensation for landowners. Another important type is the Geological and Geophysical Data Agreement, which allows the lessee to conduct surveys and gather essential data to assess the suitability of geological formations for gas storage. This agreement may involve activities such as seismic testing, core drilling, and geophysical measurements to ensure the viability and safety of the storage reservoirs. The Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) also includes provisions related to royalties and storage capacity. These clauses define the calculation and payment of royalties to the lessor, ensuring fair compensation for the storage usage. They additionally establish the maximum storage capacity that the lessee can develop under the lease agreement. Furthermore, environmental and regulatory provisions are included in the amendment to ensure compliance with federal and state laws. These clauses address matters like groundwater protection, waste disposal, operating permits, and emergency response planning, reflecting Michigan's commitment to responsible energy development and environmental stewardship. Overall, the Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) offers a comprehensive framework that enables the establishment, operation, and regulation of gas storage facilities. By integrating these provisions into existing leases, Michigan aims to enhance energy security, promote economic growth, and ensure the responsible and sustainable use of its natural gas resources.

The Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) is a legal agreement that allows for the inclusion of provisions related to gas storage within existing leases for oil, gas, and mineral exploration and extraction in Michigan. This amendment is crucial in facilitating the development and operation of underground natural gas storage facilities throughout the state. By incorporating these provisions, lessees are granted the necessary rights and permissions to establish underground storage reservoirs for natural gas, enhancing energy supply stability and reliability. Such storage facilities play a crucial role in maintaining balance within the natural gas market, allowing for seasonal variations in demand and unforeseen emergencies. One type of Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) is the Surface Use Agreement. This specific provision outlines the terms under which the lessee can access and use the surface land for the construction, operation, and maintenance of gas storage facilities. It addresses concerns such as surface disturbance, easements, environmental protection, and compensation for landowners. Another important type is the Geological and Geophysical Data Agreement, which allows the lessee to conduct surveys and gather essential data to assess the suitability of geological formations for gas storage. This agreement may involve activities such as seismic testing, core drilling, and geophysical measurements to ensure the viability and safety of the storage reservoirs. The Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) also includes provisions related to royalties and storage capacity. These clauses define the calculation and payment of royalties to the lessor, ensuring fair compensation for the storage usage. They additionally establish the maximum storage capacity that the lessee can develop under the lease agreement. Furthermore, environmental and regulatory provisions are included in the amendment to ensure compliance with federal and state laws. These clauses address matters like groundwater protection, waste disposal, operating permits, and emergency response planning, reflecting Michigan's commitment to responsible energy development and environmental stewardship. Overall, the Michigan Amendment to Oil, Gas, and Mineral Lease (to Provide for Gas Storage) offers a comprehensive framework that enables the establishment, operation, and regulation of gas storage facilities. By integrating these provisions into existing leases, Michigan aims to enhance energy security, promote economic growth, and ensure the responsible and sustainable use of its natural gas resources.