This operating agreement exhibit states the intent of the Parties that each Party shall have the right to take in kind and separately dispose of its proportionate share of gas (including casinghead gas) produced from each formation in each well located on the acreage (the "Contract Area") covered by the Operating Agreement.
Clark Nevada Exhibit E is a crucial component of the Gas Balancing Agreement — Form 3 in the operating agreement. It outlines the specific terms and conditions associated with the gas balancing activities in the Clark Nevada project. Gas balancing refers to the process of managing gas supply and demand to ensure appropriate levels of pressure and flow throughout the system. Exhibit E provides a detailed description of the procedures, responsibilities, and obligations concerning gas balancing in the Clark Nevada project. The agreement covers various key aspects, including: 1. Gas balancing procedures: This section highlights the specific steps and methods used for gas balancing in the Clark Nevada project. It outlines the requirements for monitoring, adjusting, and maintaining appropriate gas levels to ensure smooth and efficient operations. 2. Measurement and reporting: The agreement specifies the measurement methods, equipment, and standards used for gas balancing. It also details the reporting requirements, including the frequency and format for providing gas balance data. 3. Operating tolerances: This section outlines the acceptable variances and tolerances allowed in gas balancing activities. It clarifies the limits within which gas balancing adjustments can be made before additional actions or notifications are required. 4. Allocation of costs and liabilities: The agreement describes how costs, expenses, and liabilities related to gas balancing activities are allocated among the parties involved. It ensures a fair distribution based on predefined criteria, such as gas production volumes or ownership interests. 5. Dispute resolution: In case of any disagreements or disputes related to gas balancing, the agreement may include a dispute resolution mechanism. This can involve negotiation, mediation, or arbitration to reach a mutually acceptable solution. Different variations or versions of Clark Nevada Exhibit E may exist, depending on specific agreements and circumstances. These variations could be tailored to meet the unique requirements of different gas balancing projects or operational setups. Overall, Clark Nevada Exhibit E serves as a crucial document within the Gas Balancing Agreement — Form 3, providing a comprehensive framework for effective gas balancing in the Clark Nevada project. It ensures adherence to defined procedures, promotes efficient operations, and facilitates fair allocation of costs and liabilities among the parties involved in the agreement.Clark Nevada Exhibit E is a crucial component of the Gas Balancing Agreement — Form 3 in the operating agreement. It outlines the specific terms and conditions associated with the gas balancing activities in the Clark Nevada project. Gas balancing refers to the process of managing gas supply and demand to ensure appropriate levels of pressure and flow throughout the system. Exhibit E provides a detailed description of the procedures, responsibilities, and obligations concerning gas balancing in the Clark Nevada project. The agreement covers various key aspects, including: 1. Gas balancing procedures: This section highlights the specific steps and methods used for gas balancing in the Clark Nevada project. It outlines the requirements for monitoring, adjusting, and maintaining appropriate gas levels to ensure smooth and efficient operations. 2. Measurement and reporting: The agreement specifies the measurement methods, equipment, and standards used for gas balancing. It also details the reporting requirements, including the frequency and format for providing gas balance data. 3. Operating tolerances: This section outlines the acceptable variances and tolerances allowed in gas balancing activities. It clarifies the limits within which gas balancing adjustments can be made before additional actions or notifications are required. 4. Allocation of costs and liabilities: The agreement describes how costs, expenses, and liabilities related to gas balancing activities are allocated among the parties involved. It ensures a fair distribution based on predefined criteria, such as gas production volumes or ownership interests. 5. Dispute resolution: In case of any disagreements or disputes related to gas balancing, the agreement may include a dispute resolution mechanism. This can involve negotiation, mediation, or arbitration to reach a mutually acceptable solution. Different variations or versions of Clark Nevada Exhibit E may exist, depending on specific agreements and circumstances. These variations could be tailored to meet the unique requirements of different gas balancing projects or operational setups. Overall, Clark Nevada Exhibit E serves as a crucial document within the Gas Balancing Agreement — Form 3, providing a comprehensive framework for effective gas balancing in the Clark Nevada project. It ensures adherence to defined procedures, promotes efficient operations, and facilitates fair allocation of costs and liabilities among the parties involved in the agreement.
