Additional Prospect Proposal Sample Clauses

Additional Prospect Proposal. When a Party hereto believes an Additional Prospect is adequately evaluated technically to justify the acquisition of Oil and Gas Properties, it will schedule and conduct a formal meeting in its offices at a mutually agreeable time between EXXI and Centurion and will present such Additional Prospect to the other Party with all of the information in its possession that it is legally permitted to disclose concerning such Additional Prospect (an “Additional Prospect Proposal”) to enable each Party to make a determination whether it wishes to participate in such Additional Prospect Proposal pursuant to Section 3.04 below. An Additional Prospect Proposal shall include the following information: (i) a map and/or plat establishing the geographic boundaries of the Additional Prospect not to exceed 1,280.00 contiguous acres, and setting forth restrictions, if any, as to depths, formations or substances (“Additional Prospect Contract Area”); (ii) a geologic/geophysical summary setting forth potential hydrocarbon bearing zones and horizons; (iii) a well name and information required to complete Article VI.A. of the proposed Additional Prospect JOA including the proposed initial drilling location, its anticipated commencement date for drilling operations, its anticipated objective total drilling depth and the deepest formation to be tested (“Initial Additional Prospect Well”); (iv) a current Authorization for Expenditure (“AFE”) setting forth the estimated total costs to drill the Initial Additional Prospect Well in such Additional Prospect to casing point and to complete it into the tanks or line; and (v) any third party agreements pertaining to the Additional Prospect, (e.g., farmin and farmout agreements, bottom hole or dry hole agreements, confidentiality agreements, seismic license agreements, operating, unit or pooling agreements).