Area Of Mutual Interest - AMI

AAA

DEFINITION of 'Area Of Mutual Interest - AMI'

A geographic location in which more than one oil and/or natural gas company has a stake. The area of mutual interest (AMI) is defined by a contract that describes the geographic area contained in the AMI, the rights each party has in the AMI (such as the a percentage of the interest allocated to each company), the length of time during which the contract will be in effect, and how the contract provisions are to be implemented.

INVESTOPEDIA EXPLAINS 'Area Of Mutual Interest - AMI'

The AMI agreement may also define how the parties to the agreement are allowed to explore for or extract oil and natural gas in the subject lands. If any party to an AMI contract wants to pursue a venture in the specified lands, it must do so in conjunction with or with the permission of the other parties to the contract.



RELATED TERMS
  1. Global Strategic Petroleum Reserves ...

    Global Strategic Petroleum Reserves (GSPR) are crude oil inventories ...
  2. Integrated Oil & Gas Company

    A business entity that engages in the exploration, production, ...
  3. International Petroleum Investment ...

    The International Petroleum Investment Company (IPIC) is a government-owned ...
  4. Oil Field

    A tract of land used for extracting petroleum, or crude oil, ...
  5. EIA Petroleum Status Report

    A report published every Wednesday by the Energy Information ...
  6. Organization Of Petroleum Exporting ...

    An organization consisting of the world's major oil-exporting ...
Related Articles
  1. Oil And Gas Industry Primer
    Active Trading

    Oil And Gas Industry Primer

  2. How Does Crude Oil Affect Gas Prices?
    Active Trading

    How Does Crude Oil Affect Gas Prices?

  3. Meet OPEC, Manager Of Oil Wealth
    Economics

    Meet OPEC, Manager Of Oil Wealth

  4. Not All Oil Economies Are Created Equal
    Investing Basics

    Not All Oil Economies Are Created Equal

comments powered by Disqus
Hot Definitions
  1. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  2. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  3. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  4. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  5. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
  6. Over The Counter

    A security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, etc. The phrase "over-the-counter" ...
Trading Center