Unit Operations. If your lease, or any part of your lease, is subject to a unit agreement, the entire lease con- tinues for the term provided in the lease, and as long thereafter as any portion of your lease remains part of the unit area, and as long as operations continue the unit in effect. (1) If you drill, produce or perform well-workover operations on a lease within a unit, each lease, or part of a lease, in the unit will remain active in accordance with the unit agreement. Following a discovery, if your unit ceases drilling activities for a reason- able time period between the delinea- tion of one or more reservoirs and the initiation of actual development drill- ing or production operations and that time period would extend beyond your lease’s primary term or any extension under § 250.180, the unit operator must request and obtain BSEE approval of a suspension of production under § 250.170 in order to keep the unit from termi- nating. (2) When a lease in a unit agreement is beyond the primary term and the lease or unit is not producing, the lease will expire unless: (i) You conduct a continuous drilling or well reworking program designed to develop or restore the lease or unit pro- duction; or (ii) BSEE orders or approves a sus- pension of operations under § 250.170. (a) The Regional Supervisor may re- quire you to conduct development and production operations in a competitive reservoir under either a joint Competi- tive Reservoir Development Program submitted to BSEE or a unitization agreement. A competitive reservoir has one or more producing or producible well completions on each of two or more leases, or portions of leases, with different lease operating interests. For purposes of this paragraph, a produc- ible well completion is a well which is capable of production and which is shut in at the well head or at the surface but not necessarily connected to pro- duction facilities and from which the operator plans future production. (b) You may request that the Re- gional Supervisor make a preliminary determination whether a reservoir is competitive. When you receive the pre- liminary determination, you have 30 days (or longer if the Regional Super- visor allows additional time) to concur or to submit an objection with sup- porting evidence if you do not concur. The Regional Supervisor will make a final determination and notify you and the other lessees. (c) If you conduct drilling or produc- tion operations in a reservoir deter- mined competitive by the BSEE Re- gional Supervisor, you and the other affected lessees must submit for ap- proval a joint Competitive Reservoir Development Program. You must sub- mit the joint Competitive Reservoir Development Program within 90 days after the Regional Supervisor makes a final determination that the reservoir is competitive. The joint Competitive Reservoir Development Program must provide for the development and/or pro- duction of the reservoir. You may sub- mit supplemental Competitive Res- ervoir Development Programs for the Regional Supervisor’s approval. (d) If you and the other affected les- sees cannot reach an agreement on a joint Competitive Reservoir Develop- ment Program, submitted to BSEE within the approved period of time, each lessee must submit a separate Competitive Reservoir Development Program to the Regional Supervisor. The Regional Supervisor will hold a hearing to resolve differences in the separate Competitive Reservoir Devel- opment Programs. If the differences in the separate programs are not resolved at the hearing and the Regional Super- visor determines that unitization is necessary under § 250.1301(b), BSEE will initiate unitization under § 250.1304. [76 FR 64462, Oct. 18, 2011, as amended at 81 FR 36150, June 6, 2016] (a) You must file a request for a vol- untary unit with the Regional Super- visor. Your request must include: (1) A draft of the proposed unit agree- ment; (2) A proposed initial plan of oper- ation; (3) Supporting geological, geo- physical, and engineering data; and (4) Other information that may be necessary to show that the unitization proposal meets the criteria of § 250.1300. (b) The unit agreement must comply with the requirements of this part. BSEE will maintain and provide a model unit agreement for you to fol- low. If BSEE revises the model, BSEE will publish the revised model in the FEDERAL REGISTER. If you vary your unit agreement from the model agree- ment, you must obtain the approval of the Regional Supervisor. (c) After the Regional Supervisor ac- cepts your unitization proposal, you, the other lessees, and the unit operator must sign and file copies of the unit agreement, the unit operating agree- ment, and the initial plan of operation with the Regional Supervisor for ap- proval. (d) You must pay the service fee list- ed in § 250.125 of this part with your re- quest for a voluntary unitization pro- posal or the expansion of a previously approved voluntary unit to include ad- ditional acreage. Additionally, you must pay the service fee listed in § 250.125 with your request for unitiza- tion revision. (a) If the Regional Supervisor deter- mines that unitization of operations within a proposed unit area is nec- xxxxxx to prevent waste, conserve nat- ural resources of the OCS, or protect correlative rights, including Federal royalty interests, the Regional Super- visor may require unitization. (b) If you ask BSEE to require unit- ization, you must file a request with the Regional Supervisor. You must in- clude a proposed unit agreement as de- scribed in §§ 250.1301(d) and 250.1303(b); a proposed unit operating agreement; a proposed initial plan of operation; sup- porting geological, geophysical, and engineering data; and any other infor- mation that may be necessary to show that unitization meets the criteria of § 250.1300. The proposed unit agreement must include a counterpart executed by each lessee seeking compulsory unitization. Lessees who seek compul- sory unitization must simultaneously serve on the nonconsenting lessees cop- ies of: (1) The request; (2) The proposed unit agreement with executed counterparts; (3) The proposed unit operating agreement; and (4) The proposed initial plan of oper- ation. (c) If the Regional Supervisor initi- ates compulsory unitization, BSEE will serve all lessees of the proposed unit area with a proposed unitization plan and a statement of reasons for the pro- posed unitization. (d) The Regional Supervisor will not require unitization until BSEE pro- vides all lessees of the proposed unit area written notice and an opportunity for a hearing. If you want BSEE to hold a hearing, you must request it
Appears in 2 contracts
Unit Operations. If your lease, or any part of your lease, is subject to a unit agreement, the entire lease con- tinues for the term provided in the lease, and as long thereafter as any portion of your lease remains part of the unit area, and as long as operations continue the unit in effect.
(1) If you drill, produce or perform well-workover operations on a lease within a unit, each lease, or part of a lease, in the unit will remain active in accordance with the unit agreement. Following a discovery, if your unit ceases drilling activities for a reason- able time period between the delinea- tion of one or more reservoirs and the initiation of actual development drill- ing or production operations and that time period would extend beyond your lease’s primary term or any extension under § 250.180, the unit operator must request and obtain BSEE approval of a suspension of production under § 250.170 in order to keep the unit from termi- nating.
(2) When a lease in a unit agreement is beyond the primary term and the lease or unit is not producing, the lease will expire unless:
(i) You conduct a continuous drilling or well reworking program designed to develop or restore the lease or unit pro- duction; or
(ii) BSEE orders or approves a sus- pension of operations under § 250.170.
(a) The Regional Supervisor may re- quire you to conduct development and production operations in a competitive reservoir under either a joint Competi- tive Reservoir Development Program submitted to BSEE or a unitization agreement. A competitive reservoir has one or more producing or producible well completions on each of two or more leases, or portions of leases, with different lease operating interests. For purposes of this paragraph, a produc- ible well completion is a well which is capable of production and which is shut in at the well head or at the surface but not necessarily connected to pro- duction facilities and from which the operator plans future production.
(b) You may request that the Re- gional Supervisor make a preliminary determination whether a reservoir is competitive. When you receive the pre- liminary determination, you have 30 days (or longer if the Regional Super- visor allows additional time) to concur or to submit an objection with sup- porting evidence if you do not concur. The Regional Supervisor will make a final determination and notify you and the other lessees.
(c) If you conduct drilling or produc- tion operations in a reservoir deter- mined competitive by the BSEE Re- gional Supervisor, you and the other affected lessees must submit for ap- proval a joint Competitive Reservoir Development Program. You must sub- mit the joint Competitive Reservoir Development Program within 90 days after the Regional Supervisor makes a final determination that the reservoir is competitive. The joint Competitive Reservoir Development Program must provide for the development and/or pro- duction of the reservoir. You may sub- mit supplemental Competitive Res- ervoir Development Programs for the Regional Supervisor’s approval.
(d) If you and the other affected les- sees cannot reach an agreement on a joint Competitive Reservoir Develop- ment Program, submitted to BSEE within the approved period of time, each lessee must submit a separate Competitive Reservoir Development Program to the Regional Supervisor. The Regional Supervisor will hold a hearing to resolve differences in the separate Competitive Reservoir Devel- opment Programs. If the differences in the separate programs are not resolved at the hearing and the Regional Super- visor determines that unitization is necessary under § 250.1301(b), BSEE will initiate unitization under § 250.1304. [76 FR 64462XX 00000, Oct. Xxx. 18, 2011, as amended at 81 FR 36150, June 6, 2016]
(a) You must file a request for a vol- untary unit with the Regional Super- visor. Your request must include:
(1) A draft of the proposed unit agree- ment;
(2) A proposed initial plan of oper- ation;
(3) Supporting geological, geo- physical, and engineering data; and
(4) Other information that may be necessary to show that the unitization proposal meets the criteria of § 250.1300.
(b) The unit agreement must comply with the requirements of this part. BSEE will maintain and provide a model unit agreement for you to fol- low. If BSEE revises the model, BSEE will publish the revised model in the FEDERAL REGISTER. If you vary your unit agreement from the model agree- ment, you must obtain the approval of the Regional Supervisor.
(c) After the Regional Supervisor ac- cepts your unitization proposal, you, the other lessees, and the unit operator must sign and file copies of the unit agreement, the unit operating agree- ment, and the initial plan of operation with the Regional Supervisor for ap- proval.
(d) You must pay the service fee list- ed in § 250.125 of this part with your re- quest for a voluntary unitization pro- posal or the expansion of a previously approved voluntary unit to include ad- ditional acreage. Additionally, you must pay the service fee listed in § 250.125 with your request for unitiza- tion revision.
(a) If the Regional Supervisor deter- mines that unitization of operations within a proposed unit area is nec- xxxxxx to prevent waste, conserve nat- ural resources of the OCS, or protect correlative rights, including Federal royalty interests, the Regional Super- visor may require unitization.
(b) If you ask BSEE to require unit- ization, you must file a request with the Regional Supervisor. You must in- clude a proposed unit agreement as de- scribed in §§ 250.1301(d) and 250.1303(b); a proposed unit operating agreement; a proposed initial plan of operation; sup- porting geological, geophysical, and engineering data; and any other infor- mation that may be necessary to show that unitization meets the criteria of § 250.1300. The proposed unit agreement must include a counterpart executed by each lessee seeking compulsory unitization. Lessees who seek compul- sory unitization must simultaneously serve on the nonconsenting lessees cop- ies of:
(1) The request;
(2) The proposed unit agreement with executed counterparts;
(3) The proposed unit operating agreement; and
(4) The proposed initial plan of oper- ation.
(c) If the Regional Supervisor initi- ates compulsory unitization, BSEE will serve all lessees of the proposed unit area with a proposed unitization plan and a statement of reasons for the pro- posed unitization.
(d) The Regional Supervisor will not require unitization until BSEE pro- vides all lessees of the proposed unit area written notice and an opportunity for a hearing. If you want BSEE to hold a hearing, you must request it
Appears in 1 contract
Samples: Unit Operating Agreement
Unit Operations. If your lease, or any part of your lease, is subject to a unit agreement, the entire lease con- tinues for the term provided in the lease, and as long thereafter as any portion of your lease remains part of the unit area, and as long as operations continue the unit in effect.
(1) If you drill, produce or perform well-workover operations on a lease within a unit, each lease, or part of a lease, in the unit will remain active in accordance with the unit agreement. Following a discovery, if your unit ceases drilling activities for a reason- able time period between the delinea- tion of one or more reservoirs and the initiation of actual development drill- ing or production operations and that time period would extend beyond your lease’s primary term or any extension under § 250.180, the unit operator must request and obtain BSEE approval of a suspension of production under § 250.170 in order to keep the unit from termi- nating.
(2) When a lease in a unit agreement is beyond the primary term and the lease or unit is not producing, the lease will expire unless:
(i) You conduct a continuous drilling or well reworking program designed to develop or restore the lease or unit pro- duction; or
(ii) BSEE orders or approves a sus- pension of operations under § 250.170.
(a) The Regional Supervisor may re- quire you to conduct development and production operations in a competitive reservoir under either a joint Competi- tive Reservoir Development Program submitted to BSEE or a unitization agreement. A competitive reservoir has one or more producing or producible well completions on each of two or more leases, or portions of leases, with different lease operating interests. For purposes of this paragraph, a produc- ible well completion is a well which is capable of production and which is shut in at the well head or at the surface but not necessarily connected to pro- duction facilities and from which the operator plans future production.
(b) You may request that the Re- gional Supervisor make a preliminary determination whether a reservoir is competitive. When you receive the pre- liminary determination, you have 30 days (or longer if the Regional Super- visor allows additional time) to concur or to submit an objection with sup- porting evidence if you do not concur. The Regional Supervisor will make a final determination and notify you and the other lessees.
(c) If you conduct drilling or produc- tion operations in a reservoir deter- mined competitive by the BSEE Re- gional Supervisor, you and the other affected lessees must submit for ap- proval a joint Competitive Reservoir Development Program. You must sub- mit the joint Competitive Reservoir Development Program within 90 days after the Regional Supervisor makes a final determination that the reservoir is competitive. The joint Competitive Reservoir Development Program must provide for the development and/or pro- duction of the reservoir. You may sub- mit supplemental Competitive Res- ervoir Development Programs for the Regional Supervisor’s approval.
(d) If you and the other affected les- sees cannot reach an agreement on a joint Competitive Reservoir Develop- ment Program, submitted to BSEE within the approved period of time, each lessee must submit a separate Competitive Reservoir Development Program to the Regional Supervisor. The Regional Supervisor will hold a hearing to resolve differences in the separate Competitive Reservoir Devel- opment Programs. If the differences in the separate programs are not resolved at the hearing and the Regional Super- visor determines that unitization is necessary under § 250.1301(b), BSEE will initiate unitization under § 250.1304. [76 FR 64462, Oct. 18, 2011, as amended at 81 FR 36150, June 6, 2016]
(a) You must file a request for a vol- untary unit with the Regional Super- visor. Your request must include:
(1) A draft of the proposed unit agree- ment;
(2) A proposed initial plan of oper- ation;
(3) Supporting geological, geo- physical, and engineering data; and
(4) Other information that may be necessary to show that the unitization proposal meets the criteria of § 250.1300.
(b) The unit agreement must comply with the requirements of this part. BSEE will maintain and provide a model unit agreement for you to fol- low. If BSEE revises the model, BSEE will publish the revised model in the FEDERAL REGISTER. If you vary your unit agreement from the model agree- ment, you must obtain the approval of the Regional Supervisor.
(c) After the Regional Supervisor ac- cepts your unitization proposal, you, the other lessees, and the unit operator must sign and file copies of the unit agreement, the unit operating agree- ment, and the initial plan of operation with the Regional Supervisor for ap- proval.
(d) You must pay the service fee list- ed in § 250.125 of this part with your re- quest for a voluntary unitization pro- posal or the expansion of a previously approved voluntary unit to include ad- ditional acreage. Additionally, you must pay the service fee listed in § 250.125 with your request for unitiza- tion revision.
(a) If the Regional Supervisor deter- mines that unitization of operations within a proposed unit area is nec- xxxxxx to prevent waste, conserve nat- ural resources of the OCS, or protect correlative rights, including Federal royalty interests, the Regional Super- visor may require unitization.
(b) If you ask BSEE to require unit- ization, you must file a request with the Regional Supervisor. You must in- clude a proposed unit agreement as de- scribed in §§ 250.1301(d) and 250.1303(b); a proposed unit operating agreement; a proposed initial plan of operation; sup- porting geological, geophysical, and engineering data; and any other infor- mation that may be necessary to show that unitization meets the criteria of § 250.1300. The proposed unit agreement must include a counterpart executed by each lessee seeking compulsory unitization. Lessees who seek compul- sory unitization must simultaneously serve on the nonconsenting lessees cop- ies of:
(1) The request;
(2) The proposed unit agreement with executed counterparts;
(3) The proposed unit operating agreement; and
(4) The proposed initial plan of oper- ation.
(c) If the Regional Supervisor initi- ates compulsory unitization, BSEE will serve all lessees of the proposed unit area with a proposed unitization plan and a statement of reasons for the pro- posed unitization.
(d) The Regional Supervisor will not require unitization until BSEE pro- vides all lessees of the proposed unit area written notice and an opportunity for a hearing. If you want BSEE to hold a hearing, you must request it
Appears in 1 contract
Samples: Unit Agreement
