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.
Houston, Texas is a vibrant city located in the southeastern part of the state. It is the fourth-largest city in the United States and serves as a major hub for various industries, including energy, healthcare, aerospace, and transportation. Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 is a crucial document that outlines the terms and conditions regarding gas balancing activities within the Houston, Texas area. This exhibit is typically included as part of the operating agreement between the parties involved in the gas industry. The Gas Balancing Agreement is designed to ensure the efficient management and distribution of natural gas throughout the Houston area. It establishes guidelines for monitoring and controlling the gas flow, ensuring that there is a balance between the demand and supply to meet the energy needs of the region. Key aspects covered in Houston Texas Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 may include: 1. Gas Allocation: This section details how the gas supply will be allocated amongst the various parties involved in the gas balancing agreement. It outlines the quantity and quality specifications, procedures for measurement, and provisions for the allocation of any excess gas. 2. Operational Procedures: This part of the agreement describes the day-to-day operational procedures for maintaining gas balance. It includes guidelines for metering, measurement, data reporting, and operational controls to prevent imbalances. 3. Imbalance Calculation and Settlement: The exhibit defines the methods for calculating imbalances and outlines the settlement provisions in case of any discrepancies. It may include penalties, payment terms, and processes for reconciling imbalances between the parties. 4. Communication and Reporting: The agreement may include requirements for regular communication and reporting between the parties involved. This ensures ongoing coordination and transparency in gas balancing activities. While the specific types of Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 may vary depending on the specific gas balancing agreement, they generally serve the purpose of ensuring a fair and efficient gas distribution system for Houston, Texas.Houston, Texas is a vibrant city located in the southeastern part of the state. It is the fourth-largest city in the United States and serves as a major hub for various industries, including energy, healthcare, aerospace, and transportation. Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 is a crucial document that outlines the terms and conditions regarding gas balancing activities within the Houston, Texas area. This exhibit is typically included as part of the operating agreement between the parties involved in the gas industry. The Gas Balancing Agreement is designed to ensure the efficient management and distribution of natural gas throughout the Houston area. It establishes guidelines for monitoring and controlling the gas flow, ensuring that there is a balance between the demand and supply to meet the energy needs of the region. Key aspects covered in Houston Texas Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 may include: 1. Gas Allocation: This section details how the gas supply will be allocated amongst the various parties involved in the gas balancing agreement. It outlines the quantity and quality specifications, procedures for measurement, and provisions for the allocation of any excess gas. 2. Operational Procedures: This part of the agreement describes the day-to-day operational procedures for maintaining gas balance. It includes guidelines for metering, measurement, data reporting, and operational controls to prevent imbalances. 3. Imbalance Calculation and Settlement: The exhibit defines the methods for calculating imbalances and outlines the settlement provisions in case of any discrepancies. It may include penalties, payment terms, and processes for reconciling imbalances between the parties. 4. Communication and Reporting: The agreement may include requirements for regular communication and reporting between the parties involved. This ensures ongoing coordination and transparency in gas balancing activities. While the specific types of Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 may vary depending on the specific gas balancing agreement, they generally serve the purpose of ensuring a fair and efficient gas distribution system for Houston, Texas.
