Primary Term and Termination Date Clause Samples
Primary Term and Termination Date. (i) The primary term of this Drilling Contract shall be for a firm period of three (3) years beginning on the Term Commencement Date (the “Primary Term”), except as may be extended or terminated by the provisions of this Drilling Contract. Unless extended or terminated pursuant to the other provisions of this Drilling Contract, the term of this Drilling Contract shall automatically end upon the latest to occur of (A) the expiration of the Primary Term, (B) the expiration of any Extension Term, or (C) completion of Operator’s last Designated Well (drilled to its planned total depth, unless otherwise modified by Operator in its sole discretion) commenced during the Primary Term, or any Extension Term, as applicable, when the Rig is moved to the Demobilization Point and all of Contractor’s Items have been loaded and all of Operator’s Items have been off-loaded, whereupon this Drilling Contract shall terminate.
(ii) The Primary Term and any Extension Term shall be extended automatically from day to day for the time necessary to complete any single particular well (drilled to its planned total depth, unless otherwise modified by Operator in its sole discretion) or related operation in progress. A “well” is a single hole drilled to a predefined final spatial target (provided that multiple holes may be drilled in pursuit of the same target). Any remedial deviations, re-drilling or sidetracking of the hole shall be restricted to operations required to reach such target. Any such action taken to achieve a new spatial target or any re-spudding after reaching the initial target to reach such new target shall be considered a new well, unless otherwise agreed by Contractor in writing. Operator shall not commence Work on a new well or perform operations on an existing well (including, but not limited to, multilaterals, sidetracks, completions, workovers, well tests, abandonments, etc.) that is expected to take longer than sixty (60) days to complete beyond the Primary Term, or any Extension Term, as applicable, without Contractor’s prior consent. For purposes of this paragraph, “commencement of Work” on a new well or “performance of operations” on an existing well shall not be deemed to have occurred until the date and time the Rig is on the relevant location and the bottom hole assembly is ready to spud in at the mud line.
Primary Term and Termination Date. (i) The primary term of this Drilling Contract shall be for a firm period of three (3) years beginning on the Term Commencement Date (the “Primary Term”), as may be extended by the provisions of this Drilling Contract. Unless extended or terminated pursuant to the other provisions of this Drilling Contract, the term of this Drilling Contract shall automatically end upon the later to occur of (A) the expiration of the Primary Term, (B) the expiration of any Extension Term, or (C) completion of Operator’s last Designated Well (drilled to its planned total depth, unless otherwise modified by Operator in its sole discretion) commenced during such term, or extension, when the Rig is moved to the Demobilization Point and all of Contractor’s Items have been loaded and all of Operator’s Items have been off-loaded, whereupon this Drilling Contract shall terminate.
(ii) The Primary Term and any Extension Term shall be extended automatically from day to day for the time necessary to complete any particular well (drilled to its planned total depth, unless otherwise modified by Operator in its sole discretion) or related operation in progress.
Primary Term and Termination Date. The “Primary Term” shall be for a firm period of two (2) years, as may be extended by the provisions of this Drilling Contract. The term of this Drilling Contract shall automatically end upon the later to occur of (i) the Primary Term, or (ii) completion of Operator’s last well commenced during such term, or extension, when all of Operator’s and Operator’s third-party equipment is off-loaded, the last anchor bolstered (if anchored), and the Rig is towed to a mutually agreed demobilization location. However, if upon completion of the term of this Drilling Contract, Contractor has contracted with a third-party for use of the Rig commencing immediately upon termination of this Drilling Contract, Contractor shall move the Rig one-thousand (1000) feet from Operator’s last location, whereupon the Drilling Contract shall automatically terminate. The term of the Drilling Contract and any extension thereof, shall be extended automatically from day to day for the time necessary to complete any particular well or related operation in progress, which shall not include more than one (1) geological sidetrack, upon scheduled expiration of the term of the Drilling Contract, and any extension thereof.