Common use of Pooling and Unitization Clause in Contracts

Pooling and Unitization. The Borrower has the right, and is hereby authorized, to pool or unitize all or any part of any tract of land described in Exhibit "A", insofar as relates to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the Borrower, it is necessary or advisable to do so in order to form a drilling unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, or to comply with the requirements of any law or governmental order or regulation relating to the spacing of wells or proration of the production therefrom; provided, howe▇▇▇, that the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall not be entitled to form any such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgage. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately after formation of any such unit, the Borrower shall furnish to the Lender a true copy of the pooling agreement, declaration of pooling or other instrument creating such unit, in such number of counterparts as the Lender may reasonably request. The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property and shall be subject to the Lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower therein were specifically described in Exhibit "A". The Borrower may enter into pooling or unitization agreements not hereinabove authorized only with the prior written consent of the Lender.

Pooling and Unitization. The Borrower has Mortgagor shall have the right, and is hereby authorized, to pool or unitize all or any part of any tract of land the lands described in Exhibit "A", insofar as relates to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the BorrowerMortgagor, it is necessary or advisable to do so in order to form a drilling and/or production unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, or to comply with the requirements of any law Applicable Law or governmental order or regulation relating to the spacing of wells or proration of the production therefrom; provided, howehowever, t▇▇▇ ▇ny unit so formed for the production of oil shall not substantially exceed 160 acres, and any unit so formed for the production of gas shall not substantially exceed 640 acres, unless a larger area is required to conform to an Applicable Law or governmental order or regulation relating to the spacing of wells or to obtain the maximum allowable production under any Applic▇▇▇, ▇ Law or governmental order or regulation relating to the proration of production therefrom; and further provided that the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall not be entitled to form any such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgagea uniform manner consistently applied. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately Promptly after formation of any such unit, the Borrower Mortgagor shall furnish to the Lender Beneficiary and each Secured Debt Representative a true copy of the pooling agreement, declaration of pooling or other instrument creating such unit, in such number of counterparts as the Lender may reasonably request. The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property and shall be subject to the Lien lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower Mortgagor therein were specifically described in Exhibit "A"A. Mortgagor is further authorized to amend, modify or terminate any pooling or unitization agreement or order to which Mortgagor is a party or the Mortgaged Property is subject, provided that such action does not conflict with the provisions of this Mortgage, including this Section 6.1. The Borrower Mortgagor may enter into into, or amend, modify or terminate, pooling or unitization agreements not hereinabove authorized only with as permitted under the prior written consent of the LenderSecured Debt Documents.

Pooling and Unitization. The Borrower has Mortgagor shall have the right, and is hereby authorized, to pool or unitize all or any part of any tract of land the lands described in Exhibit "A", insofar as relates to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the BorrowerMortgagor, it is necessary or advisable to do so in order to form a drilling and/or production unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, or to comply with the requirements of any law Applicable Law or governmental order or regulation relating to the spacing of wells or proration of the production therefrom; provided, howehowever, ▇▇▇▇ any unit so formed for the production of oil shall not substantially exceed 160 acres, and any unit so formed for the production of gas shall not substantially exceed 640 acres, unless a larger area is required to conform to an Applicable Law or governmental order or regulation relating to the spacing of wells or to obtain the maximum allowable production under any ▇▇▇▇▇cable Law or governmental order or regulation relating to the proration of production therefrom; and further provided that the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall not be entitled to form any such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgagea uniform manner consistently applied. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately after formation of any such unit, the Borrower Mortgagor shall furnish to the Lender Trustees and the Agent a true copy of the pooling agreement, declaration of pooling or other instrument creating such unit, in such number of counterparts as the Lender Trustees may reasonably request. The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property and shall be subject to the Lien lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower Mortgagor therein were specifically described in Exhibit "A". The Borrower A. Mortgagor may enter into pooling or unitization agreements not hereinabove authorized only with the prior written consent of the LenderAgent, which consent shall not be unreasonably withheld.

Pooling and Unitization. The Borrower has the right, and is hereby authorized, to pool or unitize all or any part of any tract of land described in Exhibit "A", insofar as relates to the Mortgaged PropertyProperties, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the Borrower, it is necessary or advisable to do so in order to form a drilling unit to facilitate the orderly development of that part of the Mortgaged Property Properties affected thereby, or to comply with the requirements of any law or governmental order or regulation relating to the spacing of wells or proration of the production therefrom; provided, howehowever, t▇▇▇ ▇, that the he Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall is not be entitled to form any such unit without the written consent of the Lender Agent (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgage. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately after formation of any such unit, the Borrower shall furnish to the Lender Agent a true copy of the pooling agreement, declaration of pooling or other instrument creating such unit, in such number of counterparts as the Lender Agent may reasonably request. The interest in any such unit attributable to the Mortgaged Property Properties (or any part thereof) included therein shall become a part of the Mortgaged Property Properties and shall be subject to the Lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower therein were specifically described in Exhibit "A". A. The Borrower may enter into pooling or unitization agreements not hereinabove authorized only with the prior written consent of the LenderAgent.

Pooling and Unitization. The Borrower Mortgagor has the right, and is hereby authorized, to pool pooi or unitize all or any part of any tract of land described in Exhibit "A", insofar as relates to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the BorrowerMortgagor, it is necessary or advisable to do so in order to form a drilling unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, or to comply with the requirements of any law or governmental order or regulation relating to the spacing of wells ▇▇▇▇▇ or proration of the production therefrom; provided, howe▇▇▇however, that the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall Mortgagor is not be entitled to form any such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgage. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately after formation of any such unit, the Borrower Mortgagor shall furnish to the Lender a true copy of the pooling agreement, declaration of pooling or other instrument creating such unit, in such number of counterparts as the Lender may reasonably request. The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property and shall be subject to the Lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower Mortgagor therein were specifically described in Exhibit "A". A. The Borrower Mortgagor may enter into pooling or unitization agreements not hereinabove authorized only with the prior written consent of the Lender.

Pooling and Unitization. The Borrower has the right, and is hereby authorized, to pool or unitize all or any part of any tract of land described in Exhibit "A", insofar as relates to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment (a) Certain of the Borrower, it is necessary Subject Interests may have been pooled or advisable to do so in order to form a drilling unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, or to comply with the requirements of any law or governmental order or regulation relating to the spacing of wells or proration of the production therefrom; provided, howe▇▇▇, that the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall not be entitled to form any such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgage. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed unitized for the production of oil need not conform in area with any unit formed for the production of gas. Immediately after formation of any such unitoil, the Borrower shall furnish gas and/or minerals prior to the Lender a true copy of Effective Date or, after the pooling agreementEffective Date, declaration of pooling may be so pooled or other instrument creating such unit, in such number of counterparts as the Lender may reasonably requestunitized pursuant to Section 5.7(b). The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property Such Subject Interests are and shall be subject to the Lien hereof terms and provisions of such pooling and unitization agreements, and the Production Payment in each such Subject Interest shall apply to (and the term "Subject Hydrocarbons" shall include) the production from such Units which is attributable to such Subject Interest (and the Net Profits Account shall be computed giving consideration to such (b) Grantee shall have the right and power to unitize, pool or combine the lands covered by the Subject Interests, or any portion or portions thereof, with any other land or lease or leases so as to create one or more unitized areas (or, with respect to unitized or pooled areas theretofore created, to dissolve the same or to amend and/or reconfigure the same to include additional acreage or substances or to exclude acreage or substances). If pursuant to any law, rule, regulation or order of any governmental body or official, any of the Subject Interests are pooled or unitized in any manner, the Production Payment insofar as it affects such Subject Interest shall also be deemed pooled and unitized, and in any such event the Production Payment shall apply to (and the term "Subject Hydrocarbons" shall include) the production which accrues to such Subject Interest under and by virtue of such pooling and unitization arrangements and the Net Profits Account shall be computed giving consideration to such production and costs, expenses, charges and credits attributable to such Subject Interest under and by virtue of such pooling and unitization arrangement. Notwithstanding the foregoing provisions of Section 5.7(b), Grantee shall have no right or interest in any Well that is not specifically described on Exhibit "B" or in the same manner and with the same effect as though production from any such unit and the interest of the Borrower therein were specifically described in Exhibit "A". The Borrower may enter into pooling or unitization agreements not hereinabove authorized only with the prior written consent of the LenderWell.

Pooling and Unitization. The Borrower has Mortgagor shall have the right, and is hereby authorized, to pool or unitize all or any part of any tract of land described in Exhibit "A"the Leases and Lands, insofar as relates they are related to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the BorrowerMortgagor, it is necessary or advisable to do so in order to form a drilling unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, thereby or to comply with the requirements of any law or governmental order or regulation relating to the spacing of wells or well▇ ▇▇ proration of the production therefrom; provided, howehowever, that any unit so formed for the production of oil shall not substantially exceed 160 acres, and any unit so formed for the production of gas shall not exceed 640 acres, unless a larger area is required to conform to any applicable law or governmental order or regulation relating to the spacing of well▇ ▇▇▇▇ to obtain the maximum, allowable production under any applicable law or governmental order or regulation relating to the proration of production therefrom; and further provided that the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall not be entitled to form any thereof or in such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgageproportion as is prescribed by applicable law. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately Upon the written request of Mortgagee, as to all such units theretofore formed, and thereafter formed, immediately after formation of any such unit, the Borrower Mortgagor shall furnish to the Lender a true copy of the pooling agreement, declaration of pooling or other instrument creating such unit, in such number of counterparts as the Lender may reasonably request. The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property and shall be subject to the Lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower therein were specifically described in Exhibit "A". The Borrower may enter into pooling or unitization agreements not hereinabove authorized only with the prior written consent of the Lender.Mortgagee

Pooling and Unitization. The Borrower has Mortgagor shall have the right, and is hereby authorized, to pool or unitize all or any part of any tract of land described in Exhibit "A", the Leases insofar as relates related to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the BorrowerMortgagor, it is necessary or advisable to do so in order to form a drilling unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, or to comply with the requirements of any law or governmental order or regulation relating to the spacing of wells or proration of the production therefrom; provided, howeand further provided ▇▇▇, that ▇ the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall not be entitled to form any or reservoir volumes thereof or in such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgageproportion as is prescribed by applicable law. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately Upon the written request of Mortgagees, as to all such units theretofore formed, and thereafter immediately after formation of any such unit, the Borrower Mortgagor shall furnish to the Lender Mortgagees a true copy of the pooling agreementagreements, declaration declarations of pooling or other instrument instruments creating such unitunits, in such number of counterparts as the Lender Mortgagees may reasonably request. The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property and shall be subject to the Lien lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower Mortgagor therein were specifically described in Exhibit "A". The Borrower A. Mortgagor may enter into pooling or unitization agreements not hereinabove authorized only with the prior written consent of the LenderMortgagees.

Pooling and Unitization. The Borrower has Mortgagor shall have the right, and is hereby authorized, to pool or unitize all or any part of any tract of land the lands described in Exhibit "A", insofar as relates to the Mortgaged Property, with adjacent lands, leaseholds and other interests, when, in the reasonable judgment of the BorrowerMortgagor, it is necessary or advisable to do so in order to form a drilling and/or production unit to facilitate the orderly development of that part of the Mortgaged Property affected thereby, or to comply with the requirements of any law Applicable Law or governmental order or regulation relating to the spacing of wells or proration of the production therefrom; provided, howehowever, t▇▇▇ ▇ny unit so formed for the production of oil shall not substantially exceed 160 acres, and any unit so formed for the production of gas shall not substantially exceed 640 acres, unless a larger area is required to conform to an Applicable Law or governmental order or regulation relating to the spacing of wells or to obtain the maximum allowable production under any Applic▇▇▇, ▇ Law or governmental order or regulation relating to the proration of production therefrom; and further provided that the Hydrocarbons produced from any unit so formed shall be allocated among the separately owned tracts or interests comprising the unit in proportion to the respective surface areas thereof; and provided further that the Borrower shall not be entitled to form any such unit without the written consent of the Lender (which consent shall not be unreasonably withheld) if the effect of such formation would be to decrease the amount of Hydrocarbons which would be subject to this Mortgagea uniform manner consistently applied. Any unit so formed may relate to one or more zones or horizons, and a unit formed for a particular zone or horizon need not conform in area to any other unit relating to a different zone or horizon, and a unit formed for the production of oil need not conform in area with any unit formed for the production of gas. Immediately Promptly after formation of any such unit, the Borrower Mortgagor shall furnish to the Lender Mortgagee and each Secured Debt Representative a true copy of the pooling agreement, declaration of pooling or other instrument creating such unit, in such number of counterparts as the Lender may reasonably request. The interest in any such unit attributable to the Mortgaged Property (or any part thereof) included therein shall become a part of the Mortgaged Property and shall be subject to the Lien lien hereof in the same manner and with the same effect as though such unit and the interest of the Borrower Mortgagor therein were specifically described in Exhibit "A"A. Mortgagor is further authorized to amend, modify or terminate any pooling or unitization agreement or order to which Mortgagor is a party or the Mortgaged Property is subject, provided that such action does not conflict with the provisions of this Mortgage, including this Section 5.1. The Borrower Mortgagor may enter into into, or amend, modify or terminate, pooling or unitization agreements not hereinabove authorized only with as permitted under the prior written consent of the LenderSecured Debt Documents.