Delaware Relinquishment Provision - All offset Wells

State:
Multi-State
Control #:
US-OG-716
Format:
Word; 
Rich Text
Instant download

Description

This clause addresses the responsibilites in the event any Party elects not to participate in the drilling of a well and provides for the relinquishment of interest and assignments by that party.

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FAQ

Oil wells, after initial separation, produce crude oil and associated (also called casinghead) gas. Gas wells, after initial separation, produce gas well (nonassociated) gas and condensate.

?Offset? means a well drilled on a forty-acre [16.19-hectare] tract cornering or contiguous to a forty-acre [16.19-hectare] tract having an existing oil well, or a well drilled on a one hundred sixty-acre [64.75-hectare] tract cornering or contiguous to a one hundred sixty acre [64.75-hectare] tract having an existing ...

An offset well is an existing wellbore that may be used as a guide for planning a well. Many offsets could be referred to in the planning of a well, to identify subsurface geology and pressures. Offset well data may be combined with seismic data and prior experience.

View videos of the most common well drilling methods: air rotary, bucket auger, cable tool, down-the-hole, and reverse circulation. Videos are courtesy of Sir Sanford Fleming College. Driven wells. Driven wells are constructed by driving a small-diameter pipe into shallow water-bearing sand or gravel.

Key Takeaways. A development well is drilled after an area has been proven to hold oil or gas reserves and is typically the final phase of the oil drilling process. An exploratory well is an effort to determine if oil or gas reserves are present.

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Delaware Relinquishment Provision - All offset Wells