This operating agreement exhibit is used in the event any party is not able to take its share of gas, or has contracted to sell its share of gas produced from the Contract Area to a purchaser which is unable at any time while the Operating Agreement is in effect to take the share of gas attributable to the interest of the party.
Minnesota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 1 is a crucial element in the oil and gas industry in the state of Minnesota. This exhibit serves as an attachment to the Operating Agreement Gas Balancing Agreement and provides specific details and requirements related to gas balancing activities within the state. Gas balancing refers to the process of maintaining equilibrium in the distribution of gas supplies between various parties involved in the production, transportation, and storage of natural gas. It ensures that each party receives their fair share of the gas resources based on predetermined allocation and utilization criteria. The Minnesota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 1 outlines the terms and conditions for gas balancing within the state. It covers important aspects such as gas measurement, reporting procedures, allocation methods, and dispute resolution mechanisms. The exhibit contains several sections that address different aspects of gas balancing. These sections may include: 1. Gas Measurement: This section specifies the standards and procedures for accurately measuring and quantifying the gas supplies. It outlines the equipment, methodologies, and calibration requirements necessary for precise measurements. 2. Reporting Procedures: This section details the reporting obligations of the parties involved in gas balancing. It outlines the frequency, format, and content of the reports required to track gas production, consumption, and transportation activities. 3. Allocation Methods: This section describes the mechanisms used to allocate gas resources among the parties. It may include methodologies like pro rata allocation, market-based allocation, or agreed-upon formulas based on each party's contractual entitlements. 4. Imbalance Management: This section outlines the procedures for managing imbalances in gas supplies among the parties. It may include provisions for penalties, offsetting of imbalances, or scheduling adjustments to maintain overall balance. 5. Dispute Resolution: This section establishes the procedures for resolving disputes related to gas balancing. It may entail mediation, arbitration, or other alternative dispute resolution mechanisms to ensure fair and timely resolution. It is important to note that the specific content and sections of Minnesota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 1 may vary depending on the specific requirements, contractual arrangements, and regulations applicable within the state.Minnesota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 1 is a crucial element in the oil and gas industry in the state of Minnesota. This exhibit serves as an attachment to the Operating Agreement Gas Balancing Agreement and provides specific details and requirements related to gas balancing activities within the state. Gas balancing refers to the process of maintaining equilibrium in the distribution of gas supplies between various parties involved in the production, transportation, and storage of natural gas. It ensures that each party receives their fair share of the gas resources based on predetermined allocation and utilization criteria. The Minnesota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 1 outlines the terms and conditions for gas balancing within the state. It covers important aspects such as gas measurement, reporting procedures, allocation methods, and dispute resolution mechanisms. The exhibit contains several sections that address different aspects of gas balancing. These sections may include: 1. Gas Measurement: This section specifies the standards and procedures for accurately measuring and quantifying the gas supplies. It outlines the equipment, methodologies, and calibration requirements necessary for precise measurements. 2. Reporting Procedures: This section details the reporting obligations of the parties involved in gas balancing. It outlines the frequency, format, and content of the reports required to track gas production, consumption, and transportation activities. 3. Allocation Methods: This section describes the mechanisms used to allocate gas resources among the parties. It may include methodologies like pro rata allocation, market-based allocation, or agreed-upon formulas based on each party's contractual entitlements. 4. Imbalance Management: This section outlines the procedures for managing imbalances in gas supplies among the parties. It may include provisions for penalties, offsetting of imbalances, or scheduling adjustments to maintain overall balance. 5. Dispute Resolution: This section establishes the procedures for resolving disputes related to gas balancing. It may entail mediation, arbitration, or other alternative dispute resolution mechanisms to ensure fair and timely resolution. It is important to note that the specific content and sections of Minnesota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 1 may vary depending on the specific requirements, contractual arrangements, and regulations applicable within the state.
