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Oil & Gas ProPermalink Reply by The_Baron on September 25, 2008 at 8:08

Read the lease, operations may be defined. If not, it is open to some interpretation. Operations generally means any good faith attempts to explore for oil or gas. This could include building the site. Any work should be part of "continuing operations" take place in a timely manner. For example, building a location and leaving it for six months before moving in a rig would probally not be considered continuing operations.

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landownerPermalink Reply by adubu on September 25, 2008 at 10:54

Thanks Baron for reply. On futher review the vertical pugh clause may not be subject to the continuous operation clause.

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