This form is used for the purposes of more effectively developing, producing, and operating the Unit Area in order to prevent surface and underground waste, and obtain the greatest ultimate recovery of production of oil and gas, promote conservation, and to afford each of the Parties the right to recover their fair and equitable share of the production to be obtained from the Unit Area, or to receive the attributable proceeds of such production.
Missouri Gas Storage and Secondary Recovery Unit Agreement is a legal contract that establishes the terms and conditions for utilizing gas storage and secondary recovery services in the state of Missouri. This agreement serves as a comprehensive agreement, enabling companies to access natural gas storage facilities and engage in secondary recovery operations. The primary purpose of a Missouri Gas Storage and Secondary Recovery Unit Agreement is to provide a framework for the management and utilization of underground storage facilities, specifically designed to receive, inject, store, and withdraw natural gas. These facilities enable businesses to store excess gas during times of low demand and withdraw it when the demand increases, ensuring a consistent supply of natural gas to consumers. Different types of Missouri Gas Storage and Secondary Recovery Unit Agreements can be categorized based on the specific terms and conditions outlined within them. Some common types include: 1. Standard Storage Agreement: This type of agreement sets out the basic terms and conditions for storage services, including injection and withdrawal rights, rates, capacity obligations, and operating procedures. It outlines the responsibilities and liabilities of both the storage service provider and the customer. 2. Interruptible Storage Agreement: This type of agreement offers storage services with more flexible terms than standard agreements. Customers may have less priority during periods of high demand and may be subject to interruptions in service. In return, they typically pay lower rates and have fewer capacity obligations. 3. Secondary Recovery Unit Agreement: In addition to storage services, this type of agreement provides for secondary recovery operations. It allows customers to inject gas into underground reservoirs to enhance the production of natural gas or oil from existing wells. The agreement defines the specific terms for secondary recovery, including injection and withdrawal rights, cost allocation, and operational procedures. 4. Capacity Reservation Agreement: This type of agreement allows customers to reserve a specific amount of storage capacity for a fixed duration. It may provide additional benefits, such as priority service and the ability to rent out excess capacity to other parties. The agreement typically outlines the reservation terms, fees, and conditions. 5. Swing Storage Agreement: This type of agreement provides customers with the ability to adjust their storage levels within predefined ranges to accommodate varying demand patterns. It offers flexibility by allowing customers to inject and withdraw gas based on market conditions, ensuring a reliable supply of natural gas during peak periods. A Missouri Gas Storage and Secondary Recovery Unit Agreement is a vital contractual document that enables efficient and reliable utilization of gas storage facilities. By entering into such agreements, companies can better manage their natural gas supply needs, enhance production, and contribute to the overall stability of the energy market in Missouri.
