1-10 Oil and Gas Joint Operating Agreements § 10.04

Summary

Maintenance of uniform interest provisions restrict the transfer of interests in the contract area (and the underlying granting instruments and joint account property) by requiring that a party either transfer all of its interest or an equal and undivided interest in the contract area.1224 For instance, if a contract area was composed of one survey section of land in the U.S., a party could transfer all of its interest in the entire section or 50% (or any other percentage) of its interest in the entire section, but not its interest in the northwest quarter of the section. Maintenance of uniform interest provisions are most commonly encountered in U.S. onshore agreements based on the AAPL 610 form (which has included a version this provision since it was first published in 1956);1225 ...