Common use of Pooling and Unitization Clause in Contracts

Pooling and Unitization. Lessee shall have the right, at its sole option and at any time, to pool or unitize Geothermal Resources from the Property and from other properties, whether or not adjacent or contiguous, provided Lessee first obtains Landowner’s consent, which shall not be withheld unreasonably. In determining the reasonableness of Landowner’s withholding of consent, Landowner may consider the financial condition, litigation history, operating history, safety record and technical experience and expertise of the proposed assignee. Lessee shall have the right at any time to increase or decrease the size of the Property and other lands included in the Property. Any change in the amount of Landowner’s royalties resulting from the unitization of all or part of the Property or an increase or decrease of the Property within the Property shall not be retroactive. Not less than sixty (60) days before commencement of commingling of Geothermal Resources from other properties, Lessee shall deliver to Landowner a detailed written description of Lessee’s pooling or unitization plan. Lessee’s pooling or unitization of the Property with other lands shall not discharge, diminish, release, replace, supersede or waive any of Lessee’s obligations or Landowner’s rights under this Agreement, except as expressly agreed to in a writing executed by Landowner in accordance with these same formalities as this Agreement is executed.