A break surface in brittle rock across which there is displacement. Depending on the relative direction of the displacement between the rocks, its movement is described as normal, reverse or strike-slip. The fault block above the fault surface is called the hanging wall, while the fault block below the fault is the footwall
A magnetic tape on which well-log data were recorded during the logging operation
When a company buys an interest in a block and takes upon itself all or part of the financial undertakings for drilling the exploration well.
Farmin, farmout process at exploration stage: It is usually done this way:
Normally farm-out recognizes the advantageous position of the license holder and often the farminee carries the license holder to some degree.
Thus if company A has 100% of the rights in an exploration license, Company B that farms-in may pay 50% of the past and certainly of the future costs to get 40% and Company C might pay 50% of the past and certainly of the future cost to get 40%, so that the license holder remains with 20% and is carried by the two other companies.
This carry would go on until a commitment exploration well has been drilled.
After that if there is a discovery each side would pay its own pro-rata share.
As per the MNI regulations: Exploration License must be obtained prior to drilling. The license is granted initially for a period of 3 years and can be extended for up to 4 more years.
The maximum size of an exploration license in Israel is 400 sq.km
The layer of concentrated solids from the drilling mud or cement slurry that forms on the walls of the borehole opposite permeable formations
Exploitation area in an oil and gas JOA contract means that part of the contract area which is established for development of a commercial discovery pursuant to the contract or, if the contract does not establish an exploitation area, then that part of the contract area which is delineated as the exploitation area in a development plan approved as a joint operation or as an exclusive operation.
