Joint Operating Agreements: Risk Control for the Non-Operator, Second Edition

Joint operating agreements (JOAs) are well-accepted standard agreements in the oil and gas industry which regulate the relationship between the parties to a joint venture: the operator and the non-operator. Traditionally, the operator is responsible for performing operations on behalf of the consortium, while the non-operator is responsible for contributing to the financial commitments of the joint venture. However, due to the strong position typically maintained by the operator, this structure …