This operating agreement exhibit provides that each party has the right to take in kind its share of gas produced from the Contract Area and market or otherwise dispose of its gas. In the event any party is not, at any time, taking or marketing its share of gas, or has contracted to sell its share of gas produced from the Contract Area to a purchaser which does not, at any time, take the full share of gas attributable to the interest of the party, then the terms of this agreement shall automatically become operative.
Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 is a legal document that outlines the terms and conditions for gas balancing agreements in the state of Oklahoma. This agreement is essential for establishing a fair and efficient process to manage discrepancies in gas production and consumption. Here, we will provide a detailed description of this exhibit, highlighting its key components and relevant keywords. 1. Purpose: The Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 serves as an addendum to the operating agreement between parties involved in gas production and distribution within Oklahoma. Its main aim is to establish a framework for managing imbalances that may occur during gas operations. 2. Parties Involved: This exhibit identifies the parties involved in the gas balancing agreement, including the gas producers, operators, and other stakeholders. It provides their names, addresses, and other relevant details. 3. Gas Balancing: The agreement outlines the procedures and methodologies for gas balancing. It defines how discrepancies between actual gas quantities produced and consumed will be calculated, recorded, and resolved. This may include the use of measurement equipment, calculation formulas, and data submission requirements. 4. Balancing Standards: The exhibit sets the standards for balancing gas quantities and ensures fairness among the parties involved. It establishes acceptable imbalance thresholds, maximum balancing periods, and any penalties or remedies for exceeding these thresholds. 5. Imbalance Settlement: The document describes the process for resolving gas imbalances, including how settlement statements will be prepared, submitted, and reviewed. It may also outline the timeline for resolving imbalances and any associated financial transactions. 6. Reporting and Record keeping: The exhibit specifies the requirements for reporting gas production, consumption, and balancing data. It may include provisions on frequency, format, and submission deadlines for such reports. Additionally, it highlights the record keeping obligations of the parties involved, ensuring transparency and traceability of gas transactions. 7. Amendments and Termination: This section explains how the exhibit can be amended or terminated by mutual agreement between the parties. It may outline the notice period, conditions, and procedures for making changes to the agreement. Different types or variations of the Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 can exist based on specific contractual arrangements between parties. Additional exhibits or amendments may be attached to address unique considerations, such as gas composition, transportation, or other specific requirements. In conclusion, the Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 provides a comprehensive framework for managing gas imbalances in Oklahoma. By establishing clear guidelines for calculation, reporting, and settlement, it ensures fair practices and fosters a smooth operation among gas producers and consumers in the state.Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 is a legal document that outlines the terms and conditions for gas balancing agreements in the state of Oklahoma. This agreement is essential for establishing a fair and efficient process to manage discrepancies in gas production and consumption. Here, we will provide a detailed description of this exhibit, highlighting its key components and relevant keywords. 1. Purpose: The Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 serves as an addendum to the operating agreement between parties involved in gas production and distribution within Oklahoma. Its main aim is to establish a framework for managing imbalances that may occur during gas operations. 2. Parties Involved: This exhibit identifies the parties involved in the gas balancing agreement, including the gas producers, operators, and other stakeholders. It provides their names, addresses, and other relevant details. 3. Gas Balancing: The agreement outlines the procedures and methodologies for gas balancing. It defines how discrepancies between actual gas quantities produced and consumed will be calculated, recorded, and resolved. This may include the use of measurement equipment, calculation formulas, and data submission requirements. 4. Balancing Standards: The exhibit sets the standards for balancing gas quantities and ensures fairness among the parties involved. It establishes acceptable imbalance thresholds, maximum balancing periods, and any penalties or remedies for exceeding these thresholds. 5. Imbalance Settlement: The document describes the process for resolving gas imbalances, including how settlement statements will be prepared, submitted, and reviewed. It may also outline the timeline for resolving imbalances and any associated financial transactions. 6. Reporting and Record keeping: The exhibit specifies the requirements for reporting gas production, consumption, and balancing data. It may include provisions on frequency, format, and submission deadlines for such reports. Additionally, it highlights the record keeping obligations of the parties involved, ensuring transparency and traceability of gas transactions. 7. Amendments and Termination: This section explains how the exhibit can be amended or terminated by mutual agreement between the parties. It may outline the notice period, conditions, and procedures for making changes to the agreement. Different types or variations of the Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 can exist based on specific contractual arrangements between parties. Additional exhibits or amendments may be attached to address unique considerations, such as gas composition, transportation, or other specific requirements. In conclusion, the Oklahoma Exhibit E to Operating Agreement Gas Balancing Agreement — Form 2 provides a comprehensive framework for managing gas imbalances in Oklahoma. By establishing clear guidelines for calculation, reporting, and settlement, it ensures fair practices and fosters a smooth operation among gas producers and consumers in the state.
