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.
Florida Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 is a legal document commonly used in the energy industry to outline the terms and conditions related to gas balancing activities within the state of Florida. This exhibit is typically appended to an operating agreement and serves as a specific agreement regarding gas balancing. Gas balancing agreements are essential in situations where natural gas suppliers or producers need to reconcile any imbalances or discrepancies in the quantities of gas delivered and received. The purpose of Florida Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 is to establish clear guidelines and procedures for gas balancing activities among the parties involved, preventing disputes and ensuring smooth operations. The content of Florida Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 includes several key components. These elements are of utmost importance and are relevant in maintaining accurate gas measurements, preventing losses, and resolving imbalances effectively. Some relevant keywords associated with this exhibit are: 1. Gas Balancing: This refers to the process of reconciling the differences between the quantities of gas delivered and received by the parties to the agreement. Gas balancing aims to ensure accuracy and fairness in gas measurements. 2. Imbalances: Imbalances occur when there are discrepancies between the actual amount of gas delivered by the supplier and the amount received by the purchaser. These imbalances need to be resolved and accounted for to avoid financial losses. 3. Measurement: The exhibit outlines the specific measurement methods and devices used for gas volumes. This includes metering instruments, pressure gauges, and calculating the gas volumes based on industry standards. 4. Reconciliation Period: The agreement establishes a specific timeframe during which the imbalances should be resolved. This period allows the parties to reconcile the differences and make necessary adjustments accordingly. 5. Dispute Resolution: In case of any disputes or discrepancies arising from the gas balancing process, the exhibit specifies the mechanisms for resolution. It may include mediation, arbitration, or any other agreed-upon method to settle disputes. Different types or versions of Florida Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 may exist, depending on the specific requirements of the parties involved or any variations in state regulations. However, the general purpose and content of the exhibit remain consistent across different versions, focusing on gas balancing activities and related procedural guidelines. In summary, Florida Exhibit E to Operating Agreement Gas Balancing Agreement — Form 3 is a vital legal document within the energy industry. It ensures accurate gas measurements, resolves imbalances, and provides a framework for dispute resolution. This exhibit plays a crucial role in facilitating a smooth and fair functioning of gas balancing activities in Florida.
