This form is used for the Designation of a Successor Operator pursuant to a specified Section of a Communitization Agreement. First Party is designated by Second Parties as Operator of the communitized area, and First Party desires to assume all the rights, duties, and obligations of Operator under the Communitization Agreement.
This Agreement is incorporated into this Designation by reference and made a part of it as fully and effectively as though the Agreement were expressly set forth in this Designation.
Georgia Designation of Successor Operator is a legal document that outlines the rights and responsibilities of a designated successor operator in the process of commoditization agreement. A commoditization agreement is entered into when multiple parties own separate tracts of land within a common oil or gas reservoir but wish to jointly develop and operate the reservoir as a single unit. The Georgia Designation of Successor Operator is crucial as it designates a specific party to act as the operator responsible for managing and coordinating operations on behalf of all the parties involved. The designated successor operator plays a significant role in the day-to-day operations, including drilling, production, and distribution activities. Keywords: Georgia, Designation of Successor Operator, Commoditization Agreement, legal document, rights and responsibilities, common oil or gas reservoir, jointly develop, operate, designated party, manage, coordinate, operations, drilling, production, distribution, day-to-day activities. Types of Georgia Designation of Successor Operator, Commoditization Agreement include: 1. Primary Designation of Successor Operator: This type of agreement designates a single operator to manage and operate the reservoir on behalf of all the parties involved. The primary designated successor operator is responsible for making decisions and executing various operational tasks with the understanding and consent of the other parties. 2. Co-Designation of Successor Operators: In some cases, multiple parties may wish to share the responsibilities of operating and managing the reservoir. In such instances, the commoditization agreement may include a provision for the co-designation of successor operators. These parties would collaborate and jointly make decisions regarding the operations, ensuring a shared responsibility and equal involvement among the designated operators. 3. Successive Designation of Successor Operators: This type of designation allows for the rotation or change of the successor operator over a predetermined period. Parties involved may agree to a scheduled rotation, ensuring fair participation and representation in the decision-making process. The commoditization agreement would outline the specific terms and conditions for the successive designation of successor operators, including criteria for selection and the duration of each operator's term. Keywords: Primary Designation of Successor Operator, Co-Designation of Successor Operators, Successive Designation of Successor Operators, manage, operate, collaboration, shared responsibility, equal involvement, rotation, change, predetermined period, scheduled rotation, fair participation, representation, decision-making process.
