This form is used in the event any part to this Agreement elects not to participate in a Horizontal Exploratory Well, the non-participating party shall, on commencement of operations for the well, relinquish to the participating party one hundred percent (100%) of its rights, title, and interests in and to that portion of the Contract Area included within the Drilling Unit for the well and one hundred percent (100%) of the party’s rights, title, and interests in and to that portion of the Contract Area.
Oregon Relinquishment Provision — Horizontal Well The Oregon Relinquishment Provision is a legal provision that pertains to horizontal well operations in the state of Oregon. This provision outlines the regulations and requirements for operators engaging in horizontal well drilling activities and the subsequent relinquishment of these wells. In the context of oil and gas drilling, a horizontal well is a type of well bore that is drilled horizontally or at an angle to the vertical direction. This technique allows for the extraction of hydrocarbons from reservoirs that would otherwise be inaccessible with traditional vertical drilling methods. Under the Oregon Relinquishment Provision for horizontal wells, operators are required to adhere to specific guidelines before, during, and after drilling operations. These guidelines aim to ensure responsible and sustainable well development, minimize environmental impact, and protect the rights and interests of landowners. The Oregon Relinquishment Provision also includes provisions for the relinquishment or abandonment of horizontal wells. After the completion of drilling and extraction operations, operators must follow specific procedures to properly close and secure the well. This includes sealing and abandoning the well bore, restoring the site to its original condition or an agreed-upon alternative, and addressing any potential environmental concerns. Different types of Oregon Relinquishment Provision — Horizontal Wells may include: 1. Conventional Horizontal Wells: These wells are typically drilled using conventional drilling techniques, where the well bore is steered horizontally through the target formation. 2. Multilateral Horizontal Wells: These wells involve multiple branches or laterals stemming from a single well bore. This technique allows for the extraction of hydrocarbons from multiple reservoirs or different sections of the same reservoir. 3. Extended Reach Horizontal Wells: These wells are drilled to considerable lengths horizontally from the surface location, allowing operators to access reservoirs that are located far away from the drill site. 4. Lateral-Only Horizontal Wells: These wells only consist of horizontal sections, without any vertical sections. They are typically used when operators need access to a specific formation or reservoir. The Oregon Relinquishment Provision — Horizontal Well aims to ensure that drilling operations in the state are carried out efficiently, responsibly, and with consideration for the environment. By providing clear guidelines and requirements, this provision sets the stage for sustainable energy development while safeguarding the interests of all stakeholders involved.
