Common use of Physical Condition of the Assets Clause in Contracts

Physical Condition of the Assets. The Assets have been used for oil and gas drilling and production operations, related oil field operations, and possibly, for the storage and disposal of waste materials or hazardous substances. Physical changes in or under the Leasehold Properties or adjacent lands may have occurred as a result of such uses. The Assets also may contain buried pipelines and other equipment, whether or not of a similar nature, the locations of which may not now be known by Seller nor readily apparent by a physical inspection of the property. Purchaser understands that Seller does not have the requisite information with which to determine the exact nature or condition of the Assets nor the effect any such use has had on the physical condition of the Assets. Pursuant to the Safe Water Drinking and Toxic Enforcement Act of 1986, Purchaser is hereby notified and assumes the risk that detectable amounts of chemicals known to cause cancer, birth defects and other reproductive harm may be found in, on or around the Assets. In addition, Purchaser acknowledges that some oil field production equipment may contain asbestos and/or naturally-occurring radioactive material (NORM). In this regard, Purchaser expressly understands that NORM may affix or attach itself to the inside of wellx, xxterials and equipment as scale or in other forms, and that wellx, xxterials and equipment located on the Assets described herein may contain NORM and that NORM-containing materials may be buried or have been otherwise disposed of on or under the Assets. Purchaser also expressly understands that special procedures may be required for the removal and disposal of asbestos and NORM from the Assets where it may be found, and that Purchaser assumes all liability and responsibility for such activities when and if performed.

Physical Condition of the Assets. The Assets have been used for oil and gas drilling and production operations, related oil field operationsoperations and, and possibly, for the storage and disposal of waste materials or hazardous substances. Physical changes in or under the Leasehold Properties or adjacent lands may have occurred as a result of such uses. The Assets also may contain buried pipelines and other equipment, whether or not of a similar nature, the locations of which may not now be known by Seller nor readily apparent by a physical inspection of the property. Purchaser understands that Seller does not have the requisite information with which to determine the exact nature or condition of the Assets nor the effect any such use has had on the physical condition of the Assets. Pursuant to the Safe Water Drinking and Toxic Enforcement Act of 1986, Purchaser is hereby notified and assumes the risk that detectable amounts of chemicals known to cause cancer, birth defects and other reproductive harm may be found in, on or around the Assets. In addition, Purchaser acknowledges that some oil field production equipment may contain asbestos and/or naturally-occurring radioactive material ("NORM"). In this regard, Purchaser expressly understands that NORM may affix or attach itself to the inside of wellx, xxterials and equipment as scale or in other forms, and that wellx, xxterials and equipment located on the Assets described herein may contain NORM and that NORM-containing materials may be buried or have been otherwise disposed of on or under the Assets. Purchaser also expressly understands that special procedures may be required for the removal and disposal of asbestos and NORM from the Assets where it may be found, and that Purchaser assumes all liability and responsibility for such activities when and if performed.

Physical Condition of the Assets. The A. Buyer acknowledges that the Assets have been used for oil and gas drilling and production operations, related oil field operations, operations and possibly, possibly for the storage and disposal of waste materials or hazardous substancessubstances related to standard oil field operations. Physical changes in or under the Leasehold Properties Assets or adjacent lands may have occurred as a result of such uses. The Assets also may contain previously plugged and abandoned wxxxx, buried pipelines pipelines, storage tanks and other equipment, whether or not of a similar nature, the locations of which may not now be known by Seller nor or be readily apparent by a physical inspection of the propertyAssets. Purchaser Buyer understands that Seller does not have the requisite information with which to determine the exact nature or condition of the Assets nor the effect any such use has had on the physical condition of the Assets. Pursuant to the Safe Drinking Water Drinking and Toxic Enforcement Act of 1986, Purchaser Buyer is hereby notified and assumes the risk that detectable amounts of chemicals known to cause cancer, birth defects and other reproductive harm may be found in, on or around the Assets. In additionSubject to Section 5.4 B, Purchaser acknowledges upon consummation of the Closing, Buyer shall be deemed to have assumed the risk of expense, claim, damage or liability arising from any such matter referred to in this section, including without limitation the risk that some oil field production equipment the Assets may contain asbestos and/or naturally-occurring radioactive material (NORM)waste or contaminants and that adverse physical conditions, including the presence of waste or contaminants, may not have been revealed by Buyer’s investigation. In this regardSubject to Section 14.2, Purchaser expressly understands that NORM may affix or attach itself consummation of the Closing shall transfer all responsibility and liability related to the inside of wellxdisposal, xxterials and equipment as scale spills, waste or in other formscontamination from, and that wellx, xxterials and equipment located on or below the Assets described herein may contain NORM and that NORM-containing materials may be buried or have been otherwise disposed of on or under the Assets. Purchaser also expressly understands that special procedures may be required for the removal and disposal of asbestos and NORM from the Assets where it may be found, and that Purchaser assumes all liability and responsibility for such activities when and if performedSeller to Buyer.