Accommodation Agreement (Wind Energy and Oil and Gas Development)
Summary
This template is an accommodation agreement between a wind energy developer and a company exploring for or producing oil and gas, allowing both entities concurrent use of the same property. This template includes practical guidance and drafting notes. Wind energy and oil and gas development often have one thing in common: they occur in rural areas. These areas often overlap, with property traditionally used for oil and gas exploration and production often being suitable for wind farm development. Because of the height of wind turbines, and the relatively inconsequential size of oil or especially natural gas production units, these operations can occur simultaneously. While concurrent use is ideal for everyone—including the Lessor—it is wise for the wind farm developer and the oil and gas developer or operator to enter into an accommodation agreement to define exactly what rights each may have. Doing this brings clarity and avoids future conflicts. Specific terms of an accommodation ...