Common use of PROVED DEVELOPED NONPRODUCING RESERVES Clause in Contracts

PROVED DEVELOPED NONPRODUCING RESERVES. These are Proved Developed Reserves which exist behind the casing of existing ▇▇▇▇▇, or in minor depths below the present bottom of such ▇▇▇▇▇, which are expected to be produced through these ▇▇▇▇▇ in the predictable future, where the cost of making such oil and gas available for production should be relatively small compared to the cost of a new well. Additional oil and gas expected to be obtained through the application of fluid injection or other improved recovery techniques for supplementing the natural forces and mechanisms of primary recovery shall be included as Proved Developed Reserves only after testing by a pilot project or after the operation of an installed program has confirmed through production responses that increased recovery will be achieved.

Appears in 4 contracts

Sources: Limited Partnership Agreement (Swift Energy Pension Partners 1995-a LTD), Limited Partnership Agreement (Swift Energy Pension Partners 1995 B LTD), Net Profits Agreement (Swift Energy Operating Partners 1995-B LTD)