Common use of Minimum Commitments Clause in Contracts

Minimum Commitments. (a) The Industry Parties each agree to make a minimum annual Cash Contribution to the Alliance of $150 000. (b) Each Industry Party’s Cash Contribution will be applied in respect of that party’s share of the amount set out in the Approved Annual Research Program and Budgets and that party’s share of the Administrative Costs. For the avoidance of doubt, while a party is permitted to contribute an amount greater than the minimum annual Cash Contribution, a party will not be required to exceed the minimum annual Cash Contribution in a financial year. (c) An Industry Party that has elected to participate in one or more Regions in accordance with clause 2.15(c), may direct the GISERA Director to apply its Cash Contributions to its elected Region or Regions. (d) The parties acknowledge and agree that APLNG and QGC have each made an annual Cash Contribution under the Initial Alliance Agreement for the 2015/16 financial year, which has been applied against each party’s obligation to make a Cash Contribution for the 2015/16 financial year under this agreement. APLNG and QGC are not required to make a further Cash Contribution to the Alliance until the 2016/17 financial year.