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.
Tennessee Relinquishment Provision - Horizontal Well
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State:
Multi-State
Control #:
US-OG-718
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Word;
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FAQ
Like the name, horizontal wells are drilled from the side. Vertical wells drill downward, but horizontal well is drilled off of a vertical borehole. Specifically, a well is horizontal if it's dug at an angle of at least eighty degrees to a vertical wellbore.
A directional well is the oil industry term for an oil well with a borehole that deviates from a vertically straight line. This is normally done with the intention of hitting several target sands, for instance.
The horizontal directional drilling process has three basic stages: pilot drilling, expanding the drilling hole, and pulling the production pipe. First, the horizontal directional drill bores a pilot hole or bore path. They use a drill bit and drill pipe assembly to drill a small-diameter hole.
A horizontal well is a type of directional drilling technique where an oil or gas well is dug at an angle of at least eighty degrees to a vertical wellbore.
A horizontal well may be defined as a well which is drilled to an inclination of 90°, and maintains this inclination for a significant distance. Owing to the need for special equipment and the longer drilling times that must be expected, horizontal wells are considerably more expensive than conventional deviated wells.
