Page 31 - Hydrocarbon
P. 31
18 Unitisation and Equity Determination
funding to ensure that the correct contributions to the development costs have been
made.
Once production has commenced and more information about the reservoir
becomes available, it may become apparent that the initial equity is incorrect. If
one of the equity groups feels that a revision to the equity is required, then a
‘re-determination’ may be called, and new equities agreed. Again, this can be a
costly exercise.
