This form is used when royalty owners are the owners of royalty and mineral interests in Tracts 1 and 2, subject to the terms of Lease 1 and Lease 2. Recognizing that each of the Royalty Owners may not own an Interest in both Tracts 1 and 2, or may not own an identical Interest in Tracts 1 and 2, it is their desire, together with Lessee, to pool and unitize these two Tracts for oil and gas operations.
Santa Clara, California Pooling Agreement Between Lessee and Royalty Owners on Two Tracts, With Depth Limitation. A pooling agreement is a legal contract that allows multiple owners of mineral rights on different tracts of land to pool their resources together for the purpose of more efficient and profitable oil and gas extraction. In Santa Clara, California, there are various types of pooling agreements that are commonly used, one of which is the pooling agreement between lessee and royalty owners on two tracts, with depth limitation. This type of pooling agreement is specifically designed for situations where there are two separate tracts of land, each owned by different royalty owners, who wish to combine their ownership interests in the purpose of oil and gas exploration and production. The agreement ensures that both parties have a fair and equitable share of the proceeds from the extraction activities. One key aspect of this pooling agreement is the depth limitation. This means that the agreement only applies to a specific depth or depth range, beyond which the pooling does not apply. This depth limitation can be based on geological considerations, technical feasibility, or any other factors that the parties involved deem necessary. It ensures that each party retains control over their respective rights for potential future developments or reserves existing at different depths. The pooling agreement typically outlines the terms and conditions under which the lessee can pool the interests of the two tracts, ensuring that proper consent and compensation are provided to the royalty owners. It may specify the percentage of ownership interests each party will hold in the pooled tract, as well as any additional payments or royalties that the royalty owners may receive as compensation. Furthermore, the agreement may address various operational and administrative aspects, including how costs will be shared, how drilling activities will be conducted, and how revenues will be distributed. Provisions related to environmental protection, safety regulations, and dispute resolution may also be included. Overall, the Santa Clara, California pooling agreement between lessee and royalty owners on two tracts, with depth limitation, provides a legal framework for efficient and fair utilization of oil and gas resources. It allows multiple parties to combine their interests, maximizing the potential for exploration and production while ensuring that each owner's rights and compensation are protected.Santa Clara, California Pooling Agreement Between Lessee and Royalty Owners on Two Tracts, With Depth Limitation. A pooling agreement is a legal contract that allows multiple owners of mineral rights on different tracts of land to pool their resources together for the purpose of more efficient and profitable oil and gas extraction. In Santa Clara, California, there are various types of pooling agreements that are commonly used, one of which is the pooling agreement between lessee and royalty owners on two tracts, with depth limitation. This type of pooling agreement is specifically designed for situations where there are two separate tracts of land, each owned by different royalty owners, who wish to combine their ownership interests in the purpose of oil and gas exploration and production. The agreement ensures that both parties have a fair and equitable share of the proceeds from the extraction activities. One key aspect of this pooling agreement is the depth limitation. This means that the agreement only applies to a specific depth or depth range, beyond which the pooling does not apply. This depth limitation can be based on geological considerations, technical feasibility, or any other factors that the parties involved deem necessary. It ensures that each party retains control over their respective rights for potential future developments or reserves existing at different depths. The pooling agreement typically outlines the terms and conditions under which the lessee can pool the interests of the two tracts, ensuring that proper consent and compensation are provided to the royalty owners. It may specify the percentage of ownership interests each party will hold in the pooled tract, as well as any additional payments or royalties that the royalty owners may receive as compensation. Furthermore, the agreement may address various operational and administrative aspects, including how costs will be shared, how drilling activities will be conducted, and how revenues will be distributed. Provisions related to environmental protection, safety regulations, and dispute resolution may also be included. Overall, the Santa Clara, California pooling agreement between lessee and royalty owners on two tracts, with depth limitation, provides a legal framework for efficient and fair utilization of oil and gas resources. It allows multiple parties to combine their interests, maximizing the potential for exploration and production while ensuring that each owner's rights and compensation are protected.
