U3 CAPITAL NETWORK GLOSSARY
Plain-language terminology for Energy asset owners, developers, buyers, investors and capital providers. Definitions are designed to support clearer private-market conversations. Technical, legal, tax, engineering and transaction meanings can vary by agreement, reporting standard and jurisdiction.
Expected or actual obligations associated with plugging, abandonment, reclamation or decommissioning, subject to applicable law and agreements.
Land or leasehold area associated with exploration, development or production rights.
A system that stores electrical energy in batteries for later use.
Generation or storage located on the customer side of the utility meter and primarily serving on-site needs or related applications.
Gas produced from the breakdown of organic material, commonly containing methane and carbon dioxide.
Hydrogen commonly produced from fossil feedstocks with associated carbon capture; definitions and emissions thresholds vary by market and policy.
Actual energy output over a period divided by the output that would have occurred at continuous full nameplate capacity over the same period.
Capture and long-term storage of carbon dioxide intended to prevent its release to the atmosphere.
Capture of carbon dioxide followed by utilization, long-term storage or both.
The date a project is considered to have entered commercial operation under the applicable project agreements.
The relative contribution of oil, natural gas, natural gas liquids or other commodities to production or revenue.
The difference between a benchmark commodity price and the price realized for a specific production stream because of quality, location, transportation or other factors.
Equipment and processes used to increase gas pressure for production, gathering, processing, transportation or storage.
The decimal share used to calculate an owner’s portion of production proceeds or other economic interest, subject to the applicable ownership records and agreements.
An analytical representation of how production from a well or group of wells changes over time.
The rate at which production or another operating measure decreases over time under a stated methodology.
The process and obligations associated with retiring, dismantling or remediating an asset or project at or after the end of operations.
Capital required to advance a project through development activities before or in addition to construction and operations.
The point a project has reached from concept and site control through permitting, financing, construction and operation.
A rate used to convert expected future cash flows into a present-value amount, reflecting time and risk assumptions.
A document used in oil and gas administration to identify ownership and payment decimal interests for production proceeds, subject to applicable law and agreements.
A defined potential drilling opportunity supported by technical work.
The date as of which a report, reserve evaluation, valuation input or other analysis applies.
A project-delivery arrangement covering engineering, procurement and construction responsibilities under a contract.
A report prepared by qualified technical professionals addressing specified engineering information, assumptions and conclusions.
A certificate, credit or other recognized attribute associated with specified environmental characteristics, subject to the governing program.
The raw material consumed by an industrial, bioenergy, hydrogen or other conversion process.
Generation or storage connected on the grid side of a customer meter and generally participating directly in wholesale, utility or grid-service markets.
Pipelines and related facilities used to collect produced oil or gas from wells.
Energy derived from heat within the earth.
Hydrogen produced using renewable electricity through electrolysis, subject to the definition and certification rules applicable in the relevant market.
An interest that receives a share of production or revenue under governing agreements.
A financial or commercial arrangement intended to reduce exposure to changes in prices, rates, currencies or other market variables.
An energy carrier that can be produced through different processes and used in industrial, storage, transportation or power applications.
A non-binding range generated from stated information, benchmarks and assumptions for preliminary discussion; it is not an offer, appraisal or formal valuation.
The technical and contractual process of connecting a generation or storage project to an electrical grid.
An agreement governing the conditions under which a project connects to and operates with an electrical system.
The process or queue through which generation or storage projects seek study and approval to connect to a power system.
A tax credit tied to qualifying investment under applicable tax law; eligibility and value depend on jurisdiction and project facts.
Rights held under an oil, gas, mineral or other energy lease, subject to its terms.
Costs associated with operating and maintaining producing oil and gas properties, under the stated accounting methodology.
A modeled average cost of generating energy over an asset’s life based on stated capital, operating, production and financing assumptions.
A modeled average cost of storing and delivering energy over a storage asset’s life under stated assumptions.
A U3CN engagement tool that uses supplied information and stated assumptions to generate an illustrative scenario or market range for preliminary discussion.
A unit of energy equal to one megawatt of power delivered for one hour.
A unit of power equal to one million watts.
Exposure to market prices rather than fully contracted pricing for some or all of a project’s output.
The energy value-chain segment commonly involving gathering, processing, transportation, compression, terminals and storage.
An ownership interest in subsurface minerals that may carry leasing, bonus, royalty or development rights depending on the interest and jurisdiction.
The stated maximum rated output of a generation, storage or industrial facility under specified conditions.
A measure of revenue remaining per unit after specified costs, differentials or deductions, with methodology varying by context.
A mineral ownership measure reflecting gross acres multiplied by the owner’s fractional mineral interest.
The share of production revenue attributable to an ownership interest after specified burdens.
A normalized measure used in some mineral markets to express royalty ownership; calculation conventions can vary and should be stated.
An ownership or participation interest for which another party acts as operator.
A mineral interest not currently generating production payments, which may still have leasing, development or other potential.
A contractual authorization allowing specified project work to begin under agreed conditions.
A contract under which a buyer agrees to purchase some or all output from a project under specified terms.
The purchaser or contracted recipient of a project’s output under an offtake agreement.
An ownership or participation interest in an oil and gas property for which the interest holder or its designated party serves as operator under the governing agreements.
Activities and contractual services required to operate and maintain a project or asset.
The party responsible for conducting operations for a well, property or project under the governing agreements.
A royalty carved from a working or leasehold interest, subject to its creating instrument.
The month in which royalty or production proceeds are paid, which may lag the underlying production month.
Proved Developed Non-Producing reserves, subject to the applicable reserve-reporting standard.
Proved Developed Producing reserves, subject to the applicable reserve-reporting standard.
The process of obtaining governmental or regulatory approvals required to develop, construct, own or operate an asset or project.
Activities and obligations associated with permanently closing a well and addressing the wellsite under applicable requirements.
A contract under which a buyer purchases electricity or related attributes from a generation project under specified terms.
The current value of expected future cash flows after applying a stated discount rate and timing assumptions.
A mineral interest associated with wells currently generating production and, typically, payment history.
An oil or gas property with wells or interests currently producing hydrocarbons.
The month in which oil or gas was produced, which can differ from the month in which the owner receives payment.
A tax credit tied to qualifying production under applicable tax law; eligibility and value depend on jurisdiction and project facts.
Proved reserves expected to be recovered from existing wells and facilities under the applicable reserve-reporting standard.
Petroleum quantities classified as proved under the applicable reserve-reporting standard and supported by the required geoscience and engineering evidence. U3CN does not independently create or certify reserve classifications.
Proved reserves expected to be recovered from future wells or significant future investment, subject to the applicable reserve-reporting standard.
Proved Undeveloped reserves, subject to the applicable reserve-reporting standard.
The actual price received for a commodity after applicable pricing terms, differentials or hedging effects under the stated methodology.
Capital expenditures still expected to be required to complete, expand or maintain a project or asset under the stated plan.
A certificate representing specified environmental attributes associated with renewable electricity generation, subject to the applicable program.
Biogas processed to meet specified quality requirements for pipeline, transportation or other end uses.
An engineering or technical report estimating recoverable petroleum quantities and related economics under stated assumptions.
The percentage of energy recovered from a storage system relative to the energy used to charge it, under stated test conditions.
Royalty and similar interests that reduce the revenue attributable to a working interest.
An interest that receives a share of production or revenue under governing agreements.
Documented payments received over time from operators, purchasers or other payors for a mineral or royalty interest; U3CN uses documented payment history rather than owner estimates as the primary engagement input for royalty/mineral scenarios.
A statement from an operator, purchaser or payor showing production, sales, deductions, ownership and payment information associated with a royalty or mineral interest.
A comparison showing how an output changes when one or more assumptions are changed.
A well that is not currently producing but has not necessarily been permanently abandoned.
Documented rights to use or acquire a project site, commonly through ownership, lease, option or other enforceable arrangement.
Technology that converts sunlight directly into electricity using photovoltaic cells.
The length of time an energy-storage system can discharge at a stated power level.
A fee paid for accepting waste or other material for processing or disposal, which can be a revenue source for certain waste-to-energy projects.
Processes that convert waste materials into usable energy.
The physical location and associated surface area, facilities or equipment used in connection with a well.
Energy captured from moving air and converted into electricity.
An ownership interest that generally bears its share of drilling, completion and operating costs and receives its corresponding share of production.
Use the U3CN Master Glossary or return to the Energy & Natural Resources section.