In This Issue:

- First AIPN Model Contract for Unconventional Resource Operations

- A Cautionary Tale: English Courts Further Depart from a

Traditional Approach to Liquidated Damages in Unaoil v Leighton

- FERC Issues Declaratory Order Disclaiming Jurisdiction Over Proposed CNG Facility

- Pennsylvania and Ohio regulatory efforts regarding NORM/TERNORM in oil and gas production wastes

- Terms & Conditions under Texas Law: A Potential Liability Trap for Oilfield Operators

- Excerpt from First AIPN Model Contract for Unconventional Resource Operations:

Concluding two years of work by a drafting committee comprised of more than 160 industry representatives from 26 countries spread across five continents, the Association of International Petroleum Negotiators (AIPN) on 25 September 2014 published the new AIPN 2014 Model Unconventional Resources Operating Agreement (UROA) together with relevant guidance notes. The UROA is the first operating agreement specifically to cover joint operations in shale oil and gas, tight oil and gas, coalbed methane and other unconventional production methodologies involving wellbore operations.

Based on the AIPN 2012 Model International Joint Operating Agreement (JOA), the UROA includes key modifications to address issues unique to unconventional resources such as pilot projects, sub-areas, multi-pad drilling and production and other aspects of horizontal drilling. In addition to providing guidance notes on the various modifications to the JOA, the AIPN also highlights critical issues in negotiating and securing granting instruments for unconventional resources. The AIPN also held a workshop on the UROA at its International Conference in Budapest, Hungary on 8 October 2014.