This form is used for the purposes of more effectively developing, producing, and operating the Unit Area in order to prevent surface and underground waste, and obtain the greatest ultimate recovery of production of oil and gas, promote conservation, and to afford each of the Parties the right to recover their fair and equitable share of the production to be obtained from the Unit Area, or to receive the attributable proceeds of such production.
Arkansas Gas Storage and Secondary Recovery Unit Agreement refers to a contractual agreement pertaining to the storage and secondary recovery of natural gas in the state of Arkansas, USA. This agreement involves multiple parties, typically including gas storage operators, leaseholders, and operators of secondary recovery units. The primary objective of the Arkansas Gas Storage and Secondary Recovery Unit Agreement is to facilitate the efficient and effective use of natural gas resources in the state. It establishes the terms and conditions for the operation, management, and maintenance of gas storage facilities and secondary recovery units. The agreement outlines the rights, responsibilities, and obligations of each party involved. It covers a wide range of aspects, such as the allocation of gas storage capacities, the injection and withdrawal of natural gas, the pricing and invoicing mechanisms, quality control standards, safety procedures, and environmental regulations. There are several types of Arkansas Gas Storage and Secondary Recovery Unit Agreements, each tailored to specific circumstances and requirements. Some notable types include: 1. Leaseholder Agreement: This agreement focuses on the relationship between the leaseholder, who owns the mineral rights, and the gas storage operator. It defines the terms related to gas storage and secondary recovery activities on the leaseholder's property, including lease duration, compensation, and access rights. 2. Operator Agreement: This is an agreement primarily between the gas storage operator and the operator of the secondary recovery unit. It covers the technical aspects of gas injection, reservoir monitoring, and overall coordination between the storage and recovery operations. 3. Transportation Agreement: This type of agreement is relevant when natural gas needs to be transported from the storage facility to the secondary recovery unit or vice versa. It specifies the terms related to transportation logistics, delivery schedules, and contractual arrangements between the involved parties. 4. Regulatory Agreement: This agreement focuses on compliance with regulatory requirements set forth by federal, state, and local authorities. It ensures adherence to safety standards, environmental regulations, reporting obligations, and other legal obligations related to gas storage and secondary recovery operations. Overall, the Arkansas Gas Storage and Secondary Recovery Unit Agreement plays a crucial role in regulating and maximizing the utilization of natural gas resources in Arkansas. It provides a framework for collaboration, sets clear guidelines, and ensures the efficient operation of storage and secondary recovery units while meeting legal and environmental obligations.
