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.
Nebraska 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 within an operating agreement in the state of Nebraska. This agreement is crucial for any parties entering into a gas balancing arrangement, ensuring a fair and efficient distribution of gas resources. The Nebraska exhibit E serves as an attachment to the operating agreement, providing a comprehensive framework for gas balancing activities. It ensures that gas production, allocation, and transportation processes are conducted in accordance with the established guidelines and regulations. Key terms and provisions covered in Nebraska Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 include: 1. Gas Balancing Procedure: This section outlines the specific steps and procedures to be followed for gas balancing. It provides detailed instructions on how gas imbalances will be resolved, including measurement, allocation, and settlement processes. 2. Measurement and Reporting: This section emphasizes the importance of accurate measurement and reporting of gas quantities. It defines the methods and standards to be used for measurement, ensuring consistency and transparency among all parties involved. 3. Allocation Methodology: This portion describes the methodology for allocating gas production among different wells or fields. It establishes the criteria for allocation, taking into account factors such as well capacity, historical performance, and contractual obligations. 4. Penalties and Disputes: This segment governs the penalties and dispute resolution mechanisms related to gas balancing. It specifies the consequences for non-compliance with the gas balancing agreement and provides a framework for resolving any disputes that may arise. Different types of Nebraska Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 may exist depending on the specific gas balancing arrangements being made. Some common variations include: 1. Nebraska Exhibit E for Onshore Gas Balancing: This form is tailored for gas balancing agreements specific to onshore gas fields within Nebraska. It may contain additional provisions related to onshore operations, such as wellhead pressure requirements or compression considerations. 2. Nebraska Exhibit E for Offshore Gas Balancing: This version is designed for gas balancing agreements involving offshore gas production and transportation. It may include provisions related to offshore drilling regulations, safety measures, or platform infrastructure requirements. 3. Nebraska Exhibit E for Joint Ventures: In cases where multiple parties collaborate in gas production and balancing, this form is used. It incorporates specific provisions that address the rights, responsibilities, and profit-sharing arrangements among the joint venture partners. In summary, Nebraska Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a vital legal document that ensures fair and efficient gas balancing practices in Nebraska. It outlines procedures for gas measurement, allocation, and dispute resolution, providing a framework to address imbalances and maintain a harmonious relationship among all parties involved in gas production and transportation.Nebraska 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 within an operating agreement in the state of Nebraska. This agreement is crucial for any parties entering into a gas balancing arrangement, ensuring a fair and efficient distribution of gas resources. The Nebraska exhibit E serves as an attachment to the operating agreement, providing a comprehensive framework for gas balancing activities. It ensures that gas production, allocation, and transportation processes are conducted in accordance with the established guidelines and regulations. Key terms and provisions covered in Nebraska Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 include: 1. Gas Balancing Procedure: This section outlines the specific steps and procedures to be followed for gas balancing. It provides detailed instructions on how gas imbalances will be resolved, including measurement, allocation, and settlement processes. 2. Measurement and Reporting: This section emphasizes the importance of accurate measurement and reporting of gas quantities. It defines the methods and standards to be used for measurement, ensuring consistency and transparency among all parties involved. 3. Allocation Methodology: This portion describes the methodology for allocating gas production among different wells or fields. It establishes the criteria for allocation, taking into account factors such as well capacity, historical performance, and contractual obligations. 4. Penalties and Disputes: This segment governs the penalties and dispute resolution mechanisms related to gas balancing. It specifies the consequences for non-compliance with the gas balancing agreement and provides a framework for resolving any disputes that may arise. Different types of Nebraska Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 may exist depending on the specific gas balancing arrangements being made. Some common variations include: 1. Nebraska Exhibit E for Onshore Gas Balancing: This form is tailored for gas balancing agreements specific to onshore gas fields within Nebraska. It may contain additional provisions related to onshore operations, such as wellhead pressure requirements or compression considerations. 2. Nebraska Exhibit E for Offshore Gas Balancing: This version is designed for gas balancing agreements involving offshore gas production and transportation. It may include provisions related to offshore drilling regulations, safety measures, or platform infrastructure requirements. 3. Nebraska Exhibit E for Joint Ventures: In cases where multiple parties collaborate in gas production and balancing, this form is used. It incorporates specific provisions that address the rights, responsibilities, and profit-sharing arrangements among the joint venture partners. In summary, Nebraska Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a vital legal document that ensures fair and efficient gas balancing practices in Nebraska. It outlines procedures for gas measurement, allocation, and dispute resolution, providing a framework to address imbalances and maintain a harmonious relationship among all parties involved in gas production and transportation.
