Problems and Pitfalls in Joint Operating Agreements

Mr. Mosburg uses a hard-hitting approach to detail the rights and obligations of working interest owners under the various versions of the Model Form and includes tactics of avoiding current pitfall areas. The seminar targets provisions of the 1989 AAPL Model Form Operating Agreement. 
Course Agenda:

Basic Concepts
• The nature of “joint operations”
• History of and working with the AAPL Model Form Operating Agreement
• Pitfalls in the Model Form
Overview of the Model Form General Matters
• Scope of the joint operations
• Definitions and exhibits
Interest of the Parties
• Interest in cost and production
• Payment of royalties
Taking Production in Kind
• In general
• Gas balancing in “split stream” or “gas storage” situations
Conduct of Operations under the Model Form
• The operator
– Powers and responsibilities
– Eligibility, resignation, removal, and replacement
– Expanded responsibilities under the 1989 version
• Procedure for the conduct of operations
– Types of operations and operator’s authority
– Proposing and conducting operations
- The initial well
- Subsequent operations (subsequent wells, “Wellbore” operations, horizontal wells)
- “Notice,” including 1989 revisions
- Cost overruns, conflicting proposals, and modifying or
terminating the operation
• Special problems of consent/non-consent operations
Unit Administration: Non-performing Parties
• In general
• Remedies against a non-performing operator
• Remedies against defaulting or potentially defaulting party
– Available remedies under prior versions of the Model Form
– Additional remedies under the 1989 Model Form
– Suggested additional changes

For more information about the course and registration go to
Speaker Lewis Mosburg

Attorney and Lecturer
University of Tulsa

Organizer University of Tulsa


Tue, May. 15 - Thu, May. 17, 2007
9 a.m. - 4:30 p.m.
(GMT-0500) US/Central
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Renaissance Houston Hotel
8 Greenway Plaza East
Houston, Texas