Abandonment of Xxxxx. If a proposal to plug and abandon an Exploratory Well receives approval by Vote, the approved proposal binds all Parties. If any Participating Party fails to respond within the applicable response period for a proposal to plug and abandon an Exploratory Well, that Participating Party shall be deemed to have approved the plugging and abandonment of that Exploratory Well. If a rig is on location, a proposal to plug and abandon an Exploratory Well under either Article 10.3(a) or 10.3(b) does not receive approval by Vote, and if within twenty-four (24) hours (inclusive of Saturdays, Sundays, and federal holidays) after receipt of that proposal no other operation is proposed (and subsequently approved) for the well by a Party entitled to make a proposal, the Operator may nevertheless proceed to plug and abandon that Exploratory Well, and shall give each Participating Party notice of that fact. If the proposal to plug and abandon an Exploratory Well that has not produced Hydrocarbons (other than as a result of Production Testing) does not receive approval by Vote, but the Operator deems the well bore not to be safe or in sound enough condition for it to perform further operations, the Operator may nevertheless proceed to plug and abandon that Exploratory Well, and shall give each Participating Party notice of that fact.
Abandonment of Xxxxx. (a) Until the termination of the Production Payment, Grantor shall not, without first obtaining the written consent of Grantee, abandon any Subject Well heretofore or hereafter drilled and/or completed for production of Hydrocarbons on any of the Subject Lands and/or Leases attributable to the Subject Interests or surrender, abandon or release any Subject Lands and/or Leases or Subject Interest or any part thereof; provided, however, that, without the consent of Grantee:
(i) If and when, in Grantor's reasonable judgment, exercised in good faith and as would a prudent operator not burdened by the Production Payment, a well becomes no longer capable of producing Hydrocarbons in paying quantities (without regard to the burden of the Production Payment) and it would not be economically feasible (without regard to the burden of the Production Payment) to restore the productivity of such well by reworking, reconditioning, deepening, plugging back, or otherwise, Grantor shall have the right to abandon such well, subject to the provisions of Section 11.(c) of this Agreement.
(ii) Subject to the provisions of Section 11.(c), Grantor shall have the right to surrender and release any Subject Interest or part thereof when, in the reasonable judgment of Grantor exercised in good faith and as would a prudent operator not burdened by the Production Payment, there is no well located thereon which is capable of producing Hydrocarbons in paying quantities and the drilling of an additional well thereon would not, in Grantor's reasonable opinion, be economically feasible (without regard to the burden of the Production Payment).
(b) For all purposes of this Agreement, (i) a well shall be deemed to be capable of producing Hydrocarbons "in paying quantities" unless and until there arises a condition which reasonably appears to be permanent, such that the aggregate value of the Hydrocarbons which are being produced from such well, net of royalties and Taxes and appropriately risked and discounted but without regard to the burden of the Production Payment, no longer exceeds or will not exceed the costs and expenses directly related to the operation and maintenance of such well (including the costs and expenses incurred by the Operator under the joint operating agreement but excluding office and management overhead and similar charges), and (ii) the restoration of the productivity of a well or the drilling of a well shall be deemed to be "economically feasible" whenever the aggrega...
Abandonment of Xxxxx rig dismantling and site completion;
Abandonment of Xxxxx. In accordance with Article 12, ROC shall approve, amend or reject all or part of the Abandonment Plan:
(a) Notwithstanding the general requirements to undertake Abandonment and site restoration activities pursuant to Article 41.1, Contractor may at any time submit an application to ROCfor theAbandonmentof a Well.
(b) Contractor shall not commence Abandonment operations on a Well before approval is received. ROCshall respond to applications for Abandonment within thirty (30) days. Contractor shall justify the application for Abandonment of a Well with at least one of the following reasons:
(i) the Well is no longer safe to maintain in its current condition; and/or
(ii) the Well is no longer economically viable or otherwise required for Reservoir management.
(c) Unless otherwise allowed by ROC, Xxxxx not contemplated for future utilization shall be immediately plugged and abandoned by Contractor.
(d) If a Well is proposed for Abandonment, then ROC shall consider with other Governmental authorities the possibility of utilizing the Well for activities other than Petroleum Operations.ROC may elect to defer the Abandonment, in which case it shall remain liable for the Well and its ultimate Abandonment. Should ROC so elect, Contractor shall hand over the Well in a safe condition suitable for its future utilization.
Abandonment of Xxxxx. The Concessionaire shall previously notify ANP of the start of drilling of any well in the Concession Area.
Abandonment of Xxxxx. The Concessionaire shall provide the ANP with prior written notice concerning the commencement of drilling of any well in the Concession Area, in this event, submitting a work program to the ANP, with detailed information about the expected drilling Operations, as well as about the equipment and materials to be used.
Abandonment of Xxxxx. Until the termination of the Production Payment, Grantor shall not, without first obtaining the written consent of Grantee, abandon any Well or surrender, abandon or release any Lease or Subject Interest or any part thereof; provided, however, that, without the consent of Grantee:
(i) If and when, in Grantor's reasonable judgment exercised in good faith and as would a prudent operator not burdened by the Production Payment, any Well becomes no longer capable of producing Oil in paying quantities (without regard to the burden of the Production Payment) and it would not be economically feasible (without regard to the burden of the Production Payment) to restore the productivity of such Well by reworking, reconditioning, deepening, plugging back, or otherwise, Grantor shall have the right to abandon such Well;
(ii) Grantor shall have the right to surrender and release any Subject Interest or part thereof when, in the reasonable judgment of Grantor exercised in good faith and as would a prudent operator not burdened by the Production Payment, there is no Well located thereon which is capable of producing Oil in paying quantities and the drilling of an additional well thereon would not, in Grantor's reasonable opinion, be economically feasible (without regard to the burden of the Production Payment); and
(iii) Grantor shall have the right to plug any Well if required by applicable law, rule or regulation or the terms of any Lease.
Abandonment of Xxxxx. Any Participating Party may propose the permanent plugging and abandonment of a well that has produced Hydrocarbons (other than as a result of Production Testing) by notifying the other Participating Parties. Any Participating Party that fails to respond within the applicable response period shall be deemed to have approved the permanent plugging and abandonment of the well. If the permanent plugging and abandonment proposal is unanimously agreed to by the Participating Parties in that well, the well shall be permanently plugged and abandoned under the applicable regulations at the Cost and risk of the Participating Parties. If the Participating Parties do not unanimously agree to permanently plug and abandon the well, the Operator shall prepare an estimate of the Costs of the permanent plugging and abandonment of the well less the estimated salvage value of the well, as determined under Exhibit “C,” and the Participating Party desiring to permanently plug and abandon the well shall pay the Operator, for the benefit of the non-abandoning Participating Parties, its share of that estimate within thirty (30) days of its receipt of the estimate. If an abandoning Participating Party’s respective share of the estimated salvage value is greater than its share of the estimated Costs of the permanent plugging and abandonment, the Operator, on behalf of the non-abandoning Participating Parties, shall pay to the abandoning Participating Party a sum equal to the deficiency within thirty (30) days of the abandoning Participating Party’s receipt of the estimate. Each Participating Party desiring to abandon a well shall assign to each non-abandoning Participating Party in that well a portion of its Working Interest in that well and the equipment therein and the Hydrocarbon production therefrom equal to the non-abandoning Party’s Participating Interests in that well divided by the entire Participating Interests of the non-abandoning Parties in that well. That assignment shall be effective as of the date of the abandoning Party’s response to the well abandonment proposal. The abandoning Party shall assume and be liable for all obligations pertaining to that well, except liability for payments under this Article 18.1, prior to the effective date of its assignment to the non-abandoning Parties. The abandoning Party shall not assume and be liable for any obligations pertaining to that well, except liability for payments under this Article 18.1, as of the effective date of its...
Abandonment of Xxxxx. Any Party may propose the abandonment of a well by notifying the other Parties. No Producible Well or producing zone shall be abandoned without the mutual consent of the Participating Parties therein.The Participating Parties not consenting to the abandonment shall pay to each Party desiring to abandon, the amount, if any, by which its share of the current value of the well's salvageable material and equipment as determined pursuant to Exhibit "C" exceeds the estimated current costs of salvaging same and of plugging and abandoning the well as determined by the Participating Parties. In the event that estimated costs of salvage, plugging and abandonment exceed the value of such salvageable material and equipment, the abandoning Party shall pay its share of such excess to the Operator, for the benefit of the Participating Parties (Non-Abandoning Parties).
Abandonment of Xxxxx. 1. Abandonment of Dry Holes: Except for any well Drilled or Deepened pursuant to Article VI.B.2., any well which has been drilled or Deepened under the terms of this agreement and is proposed to be completed as a dry hole shall not be plugged and abandoned without the consent of all parties. Should Operator, after diligent effort, be unable to contact any party, or should any party fail to reply within forty-eight (48) hours (exclusive of Saturday, Sunday and legal holidays) after delivery of notice of the proposal to plug and abandon such well, such party shall be deemed to have consented to the proposed abandonment. All such xxxxx shall be plugged and abandoned in accordance with applicable regulations and at the cost, risk and expense of the parties who participated in the cost of drilling or Deepening such well. Any party who objects to plugging and abandoning such well by notice delivered to Operator within forty-eight (48) hours (exclusive of Saturday, Sunday and legal holidays) after delivery of notice of the proposed plugging shall take over the well as of the end of such forty-eight (48) hour notice period and conduct further operations in search of Oil and/or Gas subject to the provisions of Article VI.B.; failure of such party to provide proof reasonably satisfactory to Operator of its financial capability to conduct such operations or to take over the well within such period or thereafter to conduct operations on such well or plug and abandon such well shall entitle Operator to retain or take possession of the well and plug and abandon the well. The party taking over the well shall indemnify Operator (if Operator is an abandoning party) and the other abandoning parties against liability for any further operations conducted on such well except for the costs of plugging and abandoning the well and restoring the surface, for which the abandoning parties shall remain proportionately liable.
