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.
Lima Arizona 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 designed to address the complexities that arise when multiple working owners have varying leasehold ownership interests in different formations within the same well bore. This agreement allows for the efficient utilization of resources while ensuring fair distribution of revenues among the working owners. In Lima Arizona, there may be different types of commingling agreements based on specific conditions and requirements. Some of these agreements may include: 1. Formation-Specific Commingling Agreement: This type of agreement allows for the comingling of production from specific formations within a well bore, while ownership interests in other formations remain separate. It provides a framework for calculating and allocating revenues based on the production from each formation. 2. Depth-Based Commingling Agreement: In situations where leasehold ownership varies based on depth, this agreement allows for production from different formations at specific depths to be commingled. It provides guidelines for determining the proportionate interests of working owners in each formation, taking into account their leasehold ownership as to depth. 3. Integrated Commingling Agreement: Some Lima Arizona commingling agreements may integrate both formation-specific and depth-based provisions. This type of agreement enables working owners to commingle production from different formations at varying depths within the same well bore, while balancing leasehold ownership interests. Keywords: Lima Arizona, commingling agreement, working owners, production, different formations, same well bore, leasehold ownership, varies, depth.Lima Arizona 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 designed to address the complexities that arise when multiple working owners have varying leasehold ownership interests in different formations within the same well bore. This agreement allows for the efficient utilization of resources while ensuring fair distribution of revenues among the working owners. In Lima Arizona, there may be different types of commingling agreements based on specific conditions and requirements. Some of these agreements may include: 1. Formation-Specific Commingling Agreement: This type of agreement allows for the comingling of production from specific formations within a well bore, while ownership interests in other formations remain separate. It provides a framework for calculating and allocating revenues based on the production from each formation. 2. Depth-Based Commingling Agreement: In situations where leasehold ownership varies based on depth, this agreement allows for production from different formations at specific depths to be commingled. It provides guidelines for determining the proportionate interests of working owners in each formation, taking into account their leasehold ownership as to depth. 3. Integrated Commingling Agreement: Some Lima Arizona commingling agreements may integrate both formation-specific and depth-based provisions. This type of agreement enables working owners to commingle production from different formations at varying depths within the same well bore, while balancing leasehold ownership interests. Keywords: Lima Arizona, commingling agreement, working owners, production, different formations, same well bore, leasehold ownership, varies, depth.
