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 Los Angeles California Commingling Agreement Among Working Owners as to Production from Different Formations out of the Same Well Bore refers to a legal agreement that governs the collaborative extraction of oil or gas resources from distinct geological formations using a shared well. This agreement becomes necessary when leasehold ownership of the land varies in terms of depth, meaning different owners have rights to different formations underground. Keywords: Los Angeles, California, commingling agreement, working owners, production, different formations, same well bore, leasehold ownership, varies, depth In the context of Los Angeles, California, there are various types of commingling agreements among working owners related to production from different formations out of the same well bore, where leasehold ownership varies as to depth. These can include: 1. Formation-Specific Commingling Agreement: This type of agreement allows working owners to collaborate and extract hydrocarbon resources from specific geological formations within the same well bore. Each owner's leasehold rights are respected based on the depth at which their ownership begins. 2. Depth-Based Commingling Agreement: Here, the agreement focuses on depth as the primary factor for commingling production. Working owners can pool their resources and extract oil or gas from different formations, as long as the production takes place at a mutually agreed depth or range. The leasehold ownership varies based on this depth criterion. 3. Joint Development Agreement: This agreement goes beyond commingling production and encompasses the collaborative development of multiple formations within the same well bore. Working owners combine their leasehold rights, resources, and expertise to maximize the overall production potential. The leasehold ownership varies not only as per depth but also based on the ownership boundaries of different formations. 4. Well Allocation Agreement: In cases where leasehold ownership is fragmented, and ownership rights vary both vertically and horizontally, a well allocation agreement might be employed. This agreement specifies a predetermined distribution and allocation of well bore space among the working owners, allowing them to extract resources from their respective formations within the shared well. It is important to note that the names and specifics of these agreements may differ within the Los Angeles, California oil and gas industry, depending on specific operators, geological formations, and legal considerations.A Los Angeles California Commingling Agreement Among Working Owners as to Production from Different Formations out of the Same Well Bore refers to a legal agreement that governs the collaborative extraction of oil or gas resources from distinct geological formations using a shared well. This agreement becomes necessary when leasehold ownership of the land varies in terms of depth, meaning different owners have rights to different formations underground. Keywords: Los Angeles, California, commingling agreement, working owners, production, different formations, same well bore, leasehold ownership, varies, depth In the context of Los Angeles, California, there are various types of commingling agreements among working owners related to production from different formations out of the same well bore, where leasehold ownership varies as to depth. These can include: 1. Formation-Specific Commingling Agreement: This type of agreement allows working owners to collaborate and extract hydrocarbon resources from specific geological formations within the same well bore. Each owner's leasehold rights are respected based on the depth at which their ownership begins. 2. Depth-Based Commingling Agreement: Here, the agreement focuses on depth as the primary factor for commingling production. Working owners can pool their resources and extract oil or gas from different formations, as long as the production takes place at a mutually agreed depth or range. The leasehold ownership varies based on this depth criterion. 3. Joint Development Agreement: This agreement goes beyond commingling production and encompasses the collaborative development of multiple formations within the same well bore. Working owners combine their leasehold rights, resources, and expertise to maximize the overall production potential. The leasehold ownership varies not only as per depth but also based on the ownership boundaries of different formations. 4. Well Allocation Agreement: In cases where leasehold ownership is fragmented, and ownership rights vary both vertically and horizontally, a well allocation agreement might be employed. This agreement specifies a predetermined distribution and allocation of well bore space among the working owners, allowing them to extract resources from their respective formations within the shared well. It is important to note that the names and specifics of these agreements may differ within the Los Angeles, California oil and gas industry, depending on specific operators, geological formations, and legal considerations.
