What Is A Farmout Agreement

State:
Multi-State
Control #:
US-OG-224
Format:
Word; 
Rich Text
Instant download

Description Farmout

A farmout agreement is used when the "farmor" agrees to assign acreage to the "farmee" in return for the "farmee" performing specified drilling and testing obligations, with the "farmor" also reserving an interest in the acreage assigned and in the production from the wells drilled by the second company.

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What Is A Farmout Agreement