This operating agreement exhibit takes effect if any party takes and disposes of less than its percentage interest share of gas (including casinghead gas) produced and saved during any calendar month. The volume not taken by that party may be taken by any other party or parties.
The Colorado Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a legal document that outlines the terms and conditions related to gas balancing in the state of Colorado. This agreement is a crucial component for gas operators and producers as it ensures the fair distribution and management of natural gas resources. Designed specifically for the operations related to gas balancing in Colorado, this exhibit serves as an essential tool for maintaining transparent and efficient practices within the gas industry. By utilizing this agreement, all parties involved can establish clear guidelines and procedures to optimize gas production and minimize discrepancies. The Colorado Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 encompasses various important aspects, including gas measurement, transportation, and allocation. Gas measurement is a critical aspect of the agreement as it ensures accurate determination of the quantity and quality of gas being produced. This allows for the fair and equitable distribution of gas resources among the involved parties. The agreement also provides guidelines for gas transportation, which detail the methods and infrastructure utilized for delivering the gas to various locations. This includes determining the pipelines, compressors, and other necessary equipment required to transport and distribute the gas efficiently. Furthermore, the Colorado Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 addresses the allocation of gas among the different parties involved. This includes determining the proportionate share of gas for each party based on their respective ownership interests or contractual arrangements. These allocations are crucial in ensuring fairness and preventing disputes regarding gas distribution. It is important to note that there may be different types or variations of the Colorado Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4, depending on the specific circumstances or requirements of the gas operators and producers. These variations may include specific contractual terms, additional provisions, or modifications to accommodate unique situations or preferences. Overall, the Colorado Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is an essential document that establishes the framework for gas balancing operations in Colorado. It promotes transparency, fairness, and efficient management of gas resources by outlining the necessary procedures and guidelines for gas measurement, transportation, and allocation.
