New Mexico Dissolution of Pooled Unit

• Category: Oil Gas and Minerals - Landman
• State: Multi-State
• Control #: US-OG-1276
• Format: Word; Rich Text

Description

This form is a dissolution of pooled unit. New Mexico Dissolution of Pooled Unit is a legal proceeding that allows the termination or dissolution of a pooled unit established for oil and gas development. It enables the landowners and working interest owners within the pooled unit to reclaim their rights to the minerals underlying their respective properties. In New Mexico, there are primarily two types of Dissolution of Pooled Unit: 1. Voluntary Dissolution: This type of dissolution occurs when all the working interest owners within the pooled unit agree to terminate the unit. Voluntary dissolution can be initiated for various reasons, such as the expiration of the lease, changes in development plans, or simply because the parties involved have agreed to dissolve the unit and separate their respective mineral interests. 2. Forced Dissolution: It is also possible to seek a forced dissolution of a pooled unit in certain circumstances. This process typically involves a hearing before the Oil Conservation Commission (OCC), where the party requesting the dissolution must provide evidence of non-compliance with the terms of the pooling agreement or demonstrate that the unit is no longer economically viable. The New Mexico Dissolution of Pooled Unit process involves several key steps: 1. Filing a Petition: The party seeking dissolution must file a petition with the OCC, providing a detailed explanation of the reasons for the dissolution and supporting evidence. 2. Notice and Objections: Once the petition is filed, the OCC will notify all working interest owners and other stakeholders within the pooled unit. Interested parties may object to the dissolution by filing their objections within a prescribed period. 3. Public Hearing: If objections are raised, the OCC will schedule a public hearing to allow all interested parties to present their arguments or evidence supporting their positions. The hearing ensures a fair and transparent evaluation of the dissolution petition. 4. OCC Decision: After analyzing all the evidence and arguments presented during the hearing, the OCC will make a decision on whether to approve or deny the dissolution petition. The decision will be based on the best interests of all parties involved and in accordance with the relevant state laws and regulations. 5. Implementation: If the OCC approves the dissolution, the working interest owners and landowners within the pooled unit regain control over their mineral interests. The parties can then proceed with new leases, develop their properties independently, or negotiate new pooling agreements if desired. The New Mexico Dissolution of Pooled Unit process aims to protect the rights and interests of all stakeholders involved in a pooled unit and provide a fair resolution to any disputes or changes in circumstances that may arise during oil and gas development.

New Mexico Dissolution of Pooled Unit is a legal proceeding that allows the termination or dissolution of a pooled unit established for oil and gas development. It enables the landowners and working interest owners within the pooled unit to reclaim their rights to the minerals underlying their respective properties. In New Mexico, there are primarily two types of Dissolution of Pooled Unit: 1. Voluntary Dissolution: This type of dissolution occurs when all the working interest owners within the pooled unit agree to terminate the unit. Voluntary dissolution can be initiated for various reasons, such as the expiration of the lease, changes in development plans, or simply because the parties involved have agreed to dissolve the unit and separate their respective mineral interests. 2. Forced Dissolution: It is also possible to seek a forced dissolution of a pooled unit in certain circumstances. This process typically involves a hearing before the Oil Conservation Commission (OCC), where the party requesting the dissolution must provide evidence of non-compliance with the terms of the pooling agreement or demonstrate that the unit is no longer economically viable. The New Mexico Dissolution of Pooled Unit process involves several key steps: 1. Filing a Petition: The party seeking dissolution must file a petition with the OCC, providing a detailed explanation of the reasons for the dissolution and supporting evidence. 2. Notice and Objections: Once the petition is filed, the OCC will notify all working interest owners and other stakeholders within the pooled unit. Interested parties may object to the dissolution by filing their objections within a prescribed period. 3. Public Hearing: If objections are raised, the OCC will schedule a public hearing to allow all interested parties to present their arguments or evidence supporting their positions. The hearing ensures a fair and transparent evaluation of the dissolution petition. 4. OCC Decision: After analyzing all the evidence and arguments presented during the hearing, the OCC will make a decision on whether to approve or deny the dissolution petition. The decision will be based on the best interests of all parties involved and in accordance with the relevant state laws and regulations. 5. Implementation: If the OCC approves the dissolution, the working interest owners and landowners within the pooled unit regain control over their mineral interests. The parties can then proceed with new leases, develop their properties independently, or negotiate new pooling agreements if desired. The New Mexico Dissolution of Pooled Unit process aims to protect the rights and interests of all stakeholders involved in a pooled unit and provide a fair resolution to any disputes or changes in circumstances that may arise during oil and gas development.