This form of declaration provides notice that the unit owner pools, unitizes, and combines the Unit Leases, including all renewals, extensions, ratifications, and amendments of the Unit Leases and the lands covered by those Leases and the mineral and/or royalty estates in the lands subject to the Leases into a unit for the exploration, development, and production of oil, gas, and associated hydrocarbons (the Unit ).
The Guam Declaration of Pooled Unit — Long Form is a legal document that outlines the terms and conditions for creating a pooled unit, which refers to the consolidation of several oil or gas leases into a single production unit. This declaration is specific to Guam, a U.S. territory in the Western Pacific Ocean. It provides a legal framework for resource development and ensures fair distribution of royalties and profits among the contributing leaseholders. The Guam Declaration of Pooled Unit — Long Form establishes the criteria for determining the size and boundaries of the pooled unit, taking into account geologic and economic factors. It also sets forth the rights and responsibilities of the participating leaseholders, operator, and governing body, usually a regulatory authority or development agency. This declaration includes provisions for the distribution of royalty payments among the pooled unit's leaseholders, which is typically based on the proportion of contributing acreage or production. Additionally, it outlines guidelines for the deposit, retention, and accounting of funds generated from the production of hydrocarbons within the pooled unit. Different types of Guam Declaration of Pooled Unit — Long Form can vary based on specific situations and requirements. For example, there may be declarations tailored for different types of hydrocarbon resources, such as oil or gas. Furthermore, the declaration could differ depending on the size and complexity of the pooled unit, with variations in the rules and procedures for decision-making, operational management, and dispute resolution. In summary, the Guam Declaration of Pooled Unit — Long Form is a crucial legal document that regulates the creation and operation of a pooled unit in Guam, ensuring equitable distribution of benefits among participating leaseholders. By adhering to this declaration, the territory promotes efficient resource development and fosters a transparent and accountable system for managing oil and gas production.
