This operating agreement exhibit takes effect if any party takes and disposes of less than its percentage interest share of gas (including casinghead gas) produced and saved during any calendar month. The volume not taken by that party may be taken by any other party or parties.
Mississippi Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 is a legal document that outlines the terms and conditions related to gas balancing in Mississippi. This agreement is a crucial part of the overall operating agreement, as it helps to ensure that gas production and distribution activities are conducted efficiently and adhere to certain guidelines. The Mississippi Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 typically includes the following key provisions: 1. Gas Balancing Procedures: This section provides a detailed description of how gas balancing should be carried out in Mississippi. It outlines the methods and calculations used to determine gas imbalances and sets forth the procedures for correcting and reconciling these imbalances. 2. Measurement and Reporting: This section specifies the requirements for accurate measurement and reporting of gas volumes. It includes details about the meters, measurement techniques, and reporting frequency to ensure transparency and accountability. 3. Imbalance Charges and Penalties: The agreement may outline the charges and penalties associated with gas imbalances. These charges are usually calculated based on the difference between the actual gas volume delivered and the nominated gas volume. 4. Dispute Resolution: In the event of disputes arising from gas balancing issues, this section lays out the methods for resolving them. It may require the parties involved to engage in negotiation, mediation, or arbitration to reach a satisfactory resolution. 5. Confidentiality and Non-disclosure: This part of the agreement emphasizes the importance of maintaining confidentiality and non-disclosure of sensitive information related to gas balancing operations. It aims to protect trade secrets, proprietary data, and other confidential information. Different types of Mississippi Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4 may exist depending on the specific parties involved or the unique requirements of the gas field. For example, there might be variations in gas balancing procedures, measurement methods, or dispute resolution mechanisms. It is important for all parties involved in gas production and distribution activities in Mississippi to carefully review and understand the specific terms and provisions of the Exhibit E to Operating Agreement Gas Balancing Agreement — Form 4. Compliance with these agreements ensures efficient and transparent gas operations, promoting a fair and balanced system for all stakeholders.
