This form is used when the parties own undivided leasehold interests in the Lease as to depths from the surface of the ground to a Specific Depth. The parties acknowledge that the production from a well on the leasehold interest will be obtained from depths in which the ownership is not common. Thus, the parties find it necessary to enter into this Agreement to enable the parties to each be paid a proportionate part of the commingled production from the separate depths in which they own interests.
A Utah Commingling Agreement Among Working Owners as to Production from Different Formations Out of the Same Well Bore, Where Leasehold Ownership Varies as to Depth is a legal agreement that allows multiple parties holding different leasehold rights to jointly extract and produce resources from distinct geological formations within the same well bore when their leasehold ownership varies in depth. In Utah, there are various types of Commingling Agreements specifically tailored to accommodate the diverse ownership scenarios in the state's oil and gas industry. Some key variations include: 1. Depth-Specific Commingling Agreement: This type of agreement allows working interest owners with leasehold rights at specific depths to commingle their production from different formations within those depths. It ensures efficient resource extraction by eliminating the need for separate well bores. 2. Formation-Specific Commingling Agreement: With this agreement, working owners can commingle production from various formations irrespective of ownership depth. It enables operators to optimize production and minimize costs by efficiently utilizing existing well bores and infrastructure. 3. Partial Ownership Commingling Agreement: When several working owners have fractional ownership in both the well bore and leasehold rights, this agreement enables them to combine their production from different formations while considering their proportional interests. It helps streamline operations, enhances productivity, and avoids unnecessary duplication. 4. Depth-Range Commingling Agreement: This agreement encompasses a broader depth range, allowing working interest owners with leasehold rights within that range to commingle their production. It offers more flexibility in the selection of formations and aids in maximizing resource recovery. These various forms of Commingling Agreements help prevent waste, encourage efficient resource utilization, and foster collaboration among working owners in Utah's oil and gas industry. By pooling their resources together, operators can make the most of their assets and optimize production from different formations within the same well bore, despite differing leasehold ownership depths.A Utah Commingling Agreement Among Working Owners as to Production from Different Formations Out of the Same Well Bore, Where Leasehold Ownership Varies as to Depth is a legal agreement that allows multiple parties holding different leasehold rights to jointly extract and produce resources from distinct geological formations within the same well bore when their leasehold ownership varies in depth. In Utah, there are various types of Commingling Agreements specifically tailored to accommodate the diverse ownership scenarios in the state's oil and gas industry. Some key variations include: 1. Depth-Specific Commingling Agreement: This type of agreement allows working interest owners with leasehold rights at specific depths to commingle their production from different formations within those depths. It ensures efficient resource extraction by eliminating the need for separate well bores. 2. Formation-Specific Commingling Agreement: With this agreement, working owners can commingle production from various formations irrespective of ownership depth. It enables operators to optimize production and minimize costs by efficiently utilizing existing well bores and infrastructure. 3. Partial Ownership Commingling Agreement: When several working owners have fractional ownership in both the well bore and leasehold rights, this agreement enables them to combine their production from different formations while considering their proportional interests. It helps streamline operations, enhances productivity, and avoids unnecessary duplication. 4. Depth-Range Commingling Agreement: This agreement encompasses a broader depth range, allowing working interest owners with leasehold rights within that range to commingle their production. It offers more flexibility in the selection of formations and aids in maximizing resource recovery. These various forms of Commingling Agreements help prevent waste, encourage efficient resource utilization, and foster collaboration among working owners in Utah's oil and gas industry. By pooling their resources together, operators can make the most of their assets and optimize production from different formations within the same well bore, despite differing leasehold ownership depths.
