A unit agreement must provide for submission of supplemental or additional plans of development which obligate the operator to a program of exploration and development (see §3137.71 of this subpart) that, after completion of the initial obligations —

(a) Meets or exceeds the rate of non-unit operations in the vicinity of the unit; and

(b) Represents an investment proportionate to the size of the area covered by the unit agreement.

[67 FR 17886, Apr. 11, 2002, as amended at 73 FR 6444, Feb. 4, 2008]


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