This form is a Texas Lease agreement wherein Lessor grants, leases, and lets exclusively to Lessee the lands described within for the purposes of conducting seismic and geophysical operations, exploring, drilling, mining, and operating for, producing and owning oil, gas, sulfur, and all other minerals whether or not similar to those mentioned (collectively the oil or gas ), and the right to make surveys, lay pipelines, establish and utilize facilities for surface or subsurface disposal of salt water, construct roads and bridges, dig canals, build tanks, power stations, power lines, telephone lines, and other structures on the Lands, necessary or useful in Lessee's operations on the Lands or any other land adjacent to the Lands. This lease is a paid up lease and provides for pooling.
The Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision is a contractual agreement that allows multiple oil and gas lease owners in Amarillo, Texas to combine their leased acreages into a single pooled unit for more efficient drilling and production operations. This pooling provision is specifically designed for leases governed by the Producers 88 (8/99) model form. With the Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision, leaseholders can voluntarily join forces to form a unified unit, maximizing the chances of finding and extracting valuable hydrocarbon reserves. Combining leased acreages and pooling resources also reduces the costs associated with exploration and development, making it a mutually beneficial arrangement for participating landowners. Under this provision, leaseholders who choose to participate become co-owners of the pooled unit, sharing in the costs, risks, and profits resulting from oil and gas production on the unit. Each co-owner's proportionate share is determined by factors such as the size of their leased acreage and the proportionate amount of investment made towards the pooled operations. The Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision operates on the concept of "paid-up" leases, where leaseholders have already paid a lump sum or a pre-determined amount in advance, ensuring they are not required to make additional lease payments for the pooling arrangement. This provides financial certainty to participants, allowing them to focus on effective production without worrying about ongoing lease payments. It's important to note that there may be different variations or modifications to the Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision based on the specific circumstances and negotiations between leaseholders. Some additional types or terms of this provision may include: 1. Specialized Pooling Agreement: This involves customized terms and conditions within the pooling provision to address unique requirements or preferences of the involved leaseholders. It allows for a more tailored arrangement to suit specific operational aspects. 2. Modified Allocation Structure: In some cases, co-owners may agree upon an alternative allocation structure that deviates from the default proportionate sharing formula outlined in the standard provision. This could involve considerations such as anticipated production capabilities, technology investments, or risk-sharing arrangements. 3. Allowed Drilling Depths: The pooling provision may specify any restrictions or permissions related to the drilling depths allowed within the pooled unit. This ensures a comprehensive understanding of the operational parameters and potential reserves throughout the depths. 4. Additional Unitization Clauses: The provision may include clauses related to unitization, which refer to combining multiple leases and properties beyond just pooling acreages. Such unitization clauses can address sharing production infrastructure, operating costs, and decision-making among leaseholders when multiple fields or contiguous areas are involved. In summary, the Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision facilitates collaboration among oil and gas leaseholders in Amarillo, Texas to improve operational efficiency and cost-effectiveness. Depending on the specific circumstances, there may be variations or additional terms to ensure a tailored arrangement for the involved parties.The Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision is a contractual agreement that allows multiple oil and gas lease owners in Amarillo, Texas to combine their leased acreages into a single pooled unit for more efficient drilling and production operations. This pooling provision is specifically designed for leases governed by the Producers 88 (8/99) model form. With the Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision, leaseholders can voluntarily join forces to form a unified unit, maximizing the chances of finding and extracting valuable hydrocarbon reserves. Combining leased acreages and pooling resources also reduces the costs associated with exploration and development, making it a mutually beneficial arrangement for participating landowners. Under this provision, leaseholders who choose to participate become co-owners of the pooled unit, sharing in the costs, risks, and profits resulting from oil and gas production on the unit. Each co-owner's proportionate share is determined by factors such as the size of their leased acreage and the proportionate amount of investment made towards the pooled operations. The Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision operates on the concept of "paid-up" leases, where leaseholders have already paid a lump sum or a pre-determined amount in advance, ensuring they are not required to make additional lease payments for the pooling arrangement. This provides financial certainty to participants, allowing them to focus on effective production without worrying about ongoing lease payments. It's important to note that there may be different variations or modifications to the Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision based on the specific circumstances and negotiations between leaseholders. Some additional types or terms of this provision may include: 1. Specialized Pooling Agreement: This involves customized terms and conditions within the pooling provision to address unique requirements or preferences of the involved leaseholders. It allows for a more tailored arrangement to suit specific operational aspects. 2. Modified Allocation Structure: In some cases, co-owners may agree upon an alternative allocation structure that deviates from the default proportionate sharing formula outlined in the standard provision. This could involve considerations such as anticipated production capabilities, technology investments, or risk-sharing arrangements. 3. Allowed Drilling Depths: The pooling provision may specify any restrictions or permissions related to the drilling depths allowed within the pooled unit. This ensures a comprehensive understanding of the operational parameters and potential reserves throughout the depths. 4. Additional Unitization Clauses: The provision may include clauses related to unitization, which refer to combining multiple leases and properties beyond just pooling acreages. Such unitization clauses can address sharing production infrastructure, operating costs, and decision-making among leaseholders when multiple fields or contiguous areas are involved. In summary, the Amarillo Texas Producers 88 (8/99) Paid Up Lease Pooling Provision facilitates collaboration among oil and gas leaseholders in Amarillo, Texas to improve operational efficiency and cost-effectiveness. Depending on the specific circumstances, there may be variations or additional terms to ensure a tailored arrangement for the involved parties.
