Common use of Producer’s Reservations Clause in Contracts

Producer’s Reservations. Producer reserves the following rights (“Producer’s Reservations”): (i) to decide in its sole discretion whether, where, and when to drill any well on the Dedicated Properties; (ii) to operate ▇▇▇▇▇ producing from the Dedicated Properties (in respect of which operations Producer undertakes to act as a reasonably prudent operator); and (iii) to pool, communitize or unitize Producer’s interests in the Dedicated Properties with any Person, provided, however, that any pooling, communitizing or unitizing of Producer’s interest in the Dedicated Properties with any Person shall have no effect on the obligations of Producer nor the economic benefit to Gatherer under this Agreement; otherwise, Producer may not pool, communitize or unitize Producer’s interests in the Dedicated Properties with any Person.