All operations, including but not limited to the commencement, drilling or operation of a well, upon any portion of the unit area, are considered for all purposes the conduct of such operations upon each separately owned tract in the unit area by the several owners thereof. The portion of the unit production allocated to a separately owned tract in a unit area, when produced, is considered for all purposes to have been actually produced from that tract by a well drilled thereon. Operations conducted pursuant to an order of the governing board of the State Department of Geology and Mineral Industries providing for unit operations constitute a fulfillment of all the express or implied obligations of each lease or contract covering lands in the unit area to the extent that compliance with such obligations cannot be had because of the order of the board. [1961 c.671 § 9; 2007 c.672 § 22]

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Terms Used In Oregon Statutes 520.330

  • Contract: A legal written agreement that becomes binding when signed.
  • Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
  • Unit area: means one or more pools or parts thereof under unit operation pursuant to ORS § 520. See Oregon Statutes 520.005
  • Well: includes a well drilled in search of a new or undiscovered pool, or with the intent of extending the limits of a developed pool. See Oregon Statutes 520.005

 

UNDERGROUND RESERVOIRS