A modeling analysis of unitized production: Understanding sustainable management of single-phase geothermal resources with multiple lease owners

Türeyen Ö. İ., SARAK H., Altun G., SATMAN A.

GEOTHERMICS, vol.55, pp.159-170, 2015 (SCI-Expanded) identifier identifier

  • Publication Type: Article / Article
  • Volume: 55
  • Publication Date: 2015
  • Doi Number: 10.1016/j.geothermics.2015.02.002
  • Journal Name: GEOTHERMICS
  • Journal Indexes: Science Citation Index Expanded (SCI-EXPANDED), Scopus
  • Page Numbers: pp.159-170
  • Istanbul Technical University Affiliated: Yes

Abstract

A generally acceptable rule is that a geothermal lease is indivisible by its nature. Thus, production from any part of a unit affects all leases within the unit. One serious risk involved in the adequate and sustainable development of geothermal resources originates from multiple lease owners in the same area. Having two or more lease owners for a given resource area situation leads to the potential risk of offset production and interference effects between adjacent developments using the same resource. This can lead to legal entanglements and potential resource sustainability issues.