Unitization & pooling

The aggregation of oil and gas interests through unitization and pooling maximizes resource development and ensures regulatory compliance. Oliva Gibbs supports upstream oil and gas companies in structuring and formalizing drilling units in multiple jurisdictions. Our oil and gas attorneys advise on the frameworks governing oil and gas unitization and can coordinate tract participation.

Voluntary pooling

Voluntary pooling allows operators to combine tracts to meet spacing requirements and drill efficiently. Our firm drafts comprehensive pooling agreements that address:

• Tract participation factors
• Designation of operators
• Cost allocation
• Royalty divisions

Our clients’ voluntary pooling agreements are tailored to meet regulatory expectations and reflect the commercial intent of the parties involved.

Statutory and regulatory unitization

In certain states, oil and gas unitization may be required through statutory or regulatory mechanisms. Oliva Gibbs guides clients through state-specific unitization processes in key producing states, including Ohio, Louisiana, West Virginia, and North Dakota. We help clients prepare applications, compile supporting documents, and manage regulatory proceedings from start to finish.

Production sharing agreements

A production sharing agreement (PSA) is a contractual arrangement where a government or landowner and an operating company share the production and revenues from oil and gas extraction. Oliva Gibbs provides expert counsel in drafting and negotiating PSAs, ensuring that the agreements align with the interests of the parties and comply with regulatory requirements. Our attorneys work closely with our clients to structure fair and efficient sharing mechanisms, address operational and financial terms, and resolve any potential conflicts. Our goal is to create agreements that facilitate successful and mutually beneficial resource development projects.

Tract participation factors & economics

The equitable allocation of production and expenses across unitized tracts requires precise economic modeling. Our attorneys work closely with in-house engineering and land teams to determine tract participation factors.

Participation may be based on factors such as acreage, lease rights, geology, production expectations, and more.

Regulatory support for oil & gas unitization

Voluntary pooling and oil and gas unitization often require agency approval. Our firm handles:

• Application preparation with supporting documents like economic analyses, tract maps, and mineral ownership reports;
• Statutory notice requirements, stakeholder outreach, and hearing logistics;
• Representation before administrative bodies to secure orders, address objections, and maintain compliance.

Oliva Gibbs brings deep experience in transactions, regulatory, and oil and gas unitization matters nationwide. Our attorneys aren’t just familiar with pooling — they’ve built units from the ground up, advised on tract aggregation, ownership alignment, and participation economics.