This operating agreement exhibit takes effect if any party takes and disposes of less than its percentage interest share of gas (including casinghead gas) produced and saved during any calendar month. The volume not taken by that party may be taken by any other party or parties.
North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a legal document that outlines the specific terms and conditions related to gas balancing agreements in the state of North Dakota. This agreement is essential for ensuring the proper management and distribution of natural gas resources in the region. The North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 serves as a legally binding contract between two or more parties, typically gas producers, distributors, and operators. It establishes the guidelines, rules, and procedures for maintaining gas flow stability, minimizing imbalances, and resolving any discrepancies in gas supply and demand. Key provisions covered in the North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 include: 1. Gas Balancing Mechanism: This section defines how gas imbalances will be calculated, monitored, and ultimately resolved. It outlines the methodologies used to handle overruns or deficiencies in gas quantities. 2. Imbalance Settlement: The agreement stipulates the process for settling any imbalances between the actual gas production and nominations. It may include penalties or credits for gas imbalances and mechanisms for monetary settlements. 3. Payment and Invoicing: This aspect covers the procedures for invoicing gas transactions and settling payments for imbalances. It specifies the frequency, format, and timing of invoicing, as well as the acceptable payment methods. 4. Communications and Notifications: The agreement outlines how parties must communicate regarding gas balancing activities. It may require regular reports on gas nominations, actual production, and any changes or updates related to gas supply or demand. 5. Dispute Resolution: In case of disagreements or disputes arising from gas balancing activities, this section defines the methods for resolving conflicts and reaching a mutually acceptable resolution. It may include requirements for mediation, arbitration, or legal remedies. 6. Gas Balancing Agreement Term: The document specifies the agreed-upon term of the gas balancing agreement. It outlines the start and end dates along with any provisions for extensions or terminations. It's worth mentioning that while the term "North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4" may be specific to a particular instance or template, variations or additional forms with different exhibit letters (e.g., Exhibit A, Exhibit B) might exist. These additional forms may cover different aspects of the operating agreement, such as surface use agreements, environmental protections, or regulatory compliance. Overall, the North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a crucial legal document designed to ensure efficient and fair gas distribution and balancing in North Dakota. It serves to protect the interests of all parties involved while promoting reliable gas supply and reducing operational disruptions.North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a legal document that outlines the specific terms and conditions related to gas balancing agreements in the state of North Dakota. This agreement is essential for ensuring the proper management and distribution of natural gas resources in the region. The North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 serves as a legally binding contract between two or more parties, typically gas producers, distributors, and operators. It establishes the guidelines, rules, and procedures for maintaining gas flow stability, minimizing imbalances, and resolving any discrepancies in gas supply and demand. Key provisions covered in the North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 include: 1. Gas Balancing Mechanism: This section defines how gas imbalances will be calculated, monitored, and ultimately resolved. It outlines the methodologies used to handle overruns or deficiencies in gas quantities. 2. Imbalance Settlement: The agreement stipulates the process for settling any imbalances between the actual gas production and nominations. It may include penalties or credits for gas imbalances and mechanisms for monetary settlements. 3. Payment and Invoicing: This aspect covers the procedures for invoicing gas transactions and settling payments for imbalances. It specifies the frequency, format, and timing of invoicing, as well as the acceptable payment methods. 4. Communications and Notifications: The agreement outlines how parties must communicate regarding gas balancing activities. It may require regular reports on gas nominations, actual production, and any changes or updates related to gas supply or demand. 5. Dispute Resolution: In case of disagreements or disputes arising from gas balancing activities, this section defines the methods for resolving conflicts and reaching a mutually acceptable resolution. It may include requirements for mediation, arbitration, or legal remedies. 6. Gas Balancing Agreement Term: The document specifies the agreed-upon term of the gas balancing agreement. It outlines the start and end dates along with any provisions for extensions or terminations. It's worth mentioning that while the term "North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4" may be specific to a particular instance or template, variations or additional forms with different exhibit letters (e.g., Exhibit A, Exhibit B) might exist. These additional forms may cover different aspects of the operating agreement, such as surface use agreements, environmental protections, or regulatory compliance. Overall, the North Dakota Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a crucial legal document designed to ensure efficient and fair gas distribution and balancing in North Dakota. It serves to protect the interests of all parties involved while promoting reliable gas supply and reducing operational disruptions.
