What does Joint Operating Agreement mean? Read on to discover the definition & meaning of the term Joint Operating Agreement - to help you better understand the language used in insurance policies.
Joint Operating Agreement
A contract that sets forth the duties and obligations of both the operator and nonoperating working interest owners of a mineral lease. The JOA serves several purposes, including identifying the property interests of the parties in the mineral lease, designating the party that is to act as operator, and setting forth the method for sharing expenses and for the allocation of liability for the oil and gas exploration and production operations. See alsoMineral lease.
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