Net Profits Interest. Generally, a Nonoperating Interest in an oil and gas property which entitles the owner to a specified percentage share of the Gross Proceeds generated by such property, net of Operating Costs. The holder of a Net Profits Interest has no personal liability for Operating Costs and other expenses incurred in producing oil and gas from the underlying Producing Property. Under a Net Profits Agreement, the Partnership will receive from its companion Operating Partnership Net Profits Interests having the particular characteristics described therein.
Net Profits Interest. From and after such time as Lessee shall have recovered its Investment, as hereinafter defined, Owner shall have twenty percent (20%) Net Profits Interest in the claims, said twenty percent (20%) Net Profits Interest shall continue to be due under all circumstances even if Owner's claims are lost or invalidated through any governmental action, or Lessee asserts extralateral rights to mine areas appurtenant to Lessee's HR claims. The said Net Profits Interest shall be calculated and paid by Lessee in the manner set forth in Exhibit "B" attached hereto, for any minerals removed and sold by Lessee from beneath the vertical boundaries of the claims listed in Exhibit "A", attached hereto, as they existed of record on the date of this Agreement. The claims to which this subsection refers are depicted on the map attached hereto as Exhibit "C". The provisions of this Section 3(a) shall survive the termination of this Agreement. It is agreed by the parties hereto that this Amendment effects only Section 3(a) of said Lease and Option to Purchase Agreement and all other provisions of the Agreement shall remain unaffected by this Amendment and shall continue to be binding obligations of the parties. Submission page 71 of 98
Net Profits Interest. In consideration for the payment by Investors to Owner of the Advances, Investors shall have the rights provided for in this Article III and elsewhere in this Agreement with respect to the Accounts, including without limitation the rights to receive payments from Owner measured by each Account pursuant to Section 3.7 (all of such rights are herein collectively called the "Net Profits Interest"). The Net Profits Interest is intended to provide to Investors substantially the same economic benefit as if each Investor was the owner of a direct net profits interest in each Association Contract to the extent it relates to the Designated Percentage of the related Subject Interests and on the terms otherwise provided for herein; provided, however, that no rights or interest of any nature whatsoever in an Association Contract, any Subject Interests or Harken Colombia are intended to be, or are hereby, assigned or conveyed to Investors, it being understood and agreed that the Net Profits Interest is solely a contractual obligation of Owner as expressed in this Agreement.
Net Profits Interest. 3.1. If the Creditor exercises the Conversion Option, the Creditor will receive a net profits interest (the “Net Profits Interest”) in any future profits received by the Company that are derived from each Exploitation Activity as computed in accordance with paragraph 3.2 of this Agreement (the “Net Profits”), at a basis of 1% of the Company’s Net Profits for every $10,000.00 of the Converted Amount;
Net Profits Interest. CEPI agrees to purchase and PGP agrees to -------------------- sell, in addition to the interest in the Antelope Creek Assets described in section 1.1 above, an undivided twenty-five percent (25%) interest in and to the "net proceeds" from the sale of production from the Antelope Creek Field until such time as CEPI has received the net proceeds from the sale of Sixty-Seven Thousand Three Hundred Eighty-Nine (67,389) barrels of oil equivalent ("BOE") (hereinafter referred to as the "Net Profits Interest"), such Net Profits Interest to be paid out of PGP's fifty percent (50%) interest in and to the Antelope Creek Field. For purposes of this section 1.2, six (6) MMBtus of gas shall equal one (1)
Net Profits Interest. Payout, Subject Hydrocarbons and Subject Interest. As used herein the term Net Profits Interest shall mean the balance in the Net Profit Account. Payout shall mean that point in time when the cumulative Net Profits Interest distributed to the Assignee has reached $2.5 million or such lesser number as Assignee has delivered to Assignor pursuant to Section 2.1 plus twelve percent (12%) per annum interest thereon. Subject Hydrocarbons shall mean that portion of the oil, gas and other minerals in and under and that may be produced from and after the Effective Date, from the lands and depths covered by the Subject Interests and which are attributable to the Subject Interests, after deducting all royalties and any overriding royalties, production payments and other similar charges burdening the Subject Interests which were recorded prior to the Effective Date. There shall not be included in the Subject Hydrocarbons any oil, gas or other minerals attributable to nonconsent operations conducted with respect to the Subject Interests (or any portion thereof) as to which Assignor is a nonconsenting party and dedicated to the recoupment or reimbursement of costs and expenses of the consenting parties by the terms of the relevant agreement, provided to Assignor's election not to participate is made in conformity with Section 1.14 . Subject Interests shall mean all seventy percent (70%) of Assignor's undivided interest before Payout and thirty percent (30%) of Assignor's undivided interest after Payout in and to the following:
Net Profits Interest. DCP's net profits interest in the Oil and Gas Properties is represented on Schedule 1.21.
Net Profits Interest. Lessor shall have a 5% (Five percent) net profits interest ("NPI") in the Premises. For purposes of Lessor's and Lessee's respective NPI, "Net Profits" shall be calculated pursuant to generally accepted accounting principles in the United States of America, provided, however, that the calculation of net profits shall not include any benefit or loss from price hedging and price protection arrangements conducted by or on behalf of Lessee and, provided, further, that Lessee shall be entitled to deduct from revenues only the following percentages of total operating costs in lieu of headquarters overhead and headquarters general and administrative expenses: 3% (Three percent) during the development/construction stage of operations and 1% (One percent) during the mining and processing stage of operations and, provided, further, that no deduction shall be made for depletion or depreciation. Lessor's NPI shall be a fully carried interest, and Lessor shall not be required to fund any expenses relating to the Property or its exploration , development, production or reclamation.
Net Profits Interest. CEPI has purchased an undivided twenty-five -------------------- percent (25%) interest in and to the "Net Proceeds" (as defined in section 14 below) from the sale of production from the Antelope Creek Field until such time as CEPI has received the Net Proceeds from the sale of Sixty-Seven Thousand Three Hundred Eighty-Nine (67,389) barrels of oil equivalent ("BOE") (hereinafter referred to as the "Net Profits Interest"), such Net Profits Interest to be paid out of PGP's fifty percent (50%) interest in and to the Antelope Creek Field. CEPI shall be entitled to receive seventy-five percent (75%) of the Net Proceeds from the sale of oil and gas produced from the Antelope Creek Field for the period from the Effective Date through the termination of the Net Profits Interest. From and after termination of the Net Profits Interest, CEPI shall be entitled to fifty percent (50%) of the Net Proceeds, except as otherwise provided in sections 5, 7, 9, and 10 below. For purposes of this section 2, six (6) MMBtus of gas shall equal one (1)
Net Profits Interest. The Seller will retain a ten percent (10%) net profits interest in the Brand. The net profits will be paid out on profitability (as defined in this Section) and / or sale of the Brand to a third party and defined as: third party purchase price less (a) all fees associated with the sale of the brand including but not limited to commissions, closing costs and finders fees; and (b) all paid in capital by Buyer (ie. $100m sale less $5m in commissions and closing costs less $20m in paid in capital by Buyer equals 5% of $75mm = $3.75m at closing to Seller). Under this Agreement, Net Profit Interest shall mean the gross amount invoiced to third parties by Buyer less the sum of: (a) trade, cash and quantity discounts or rebates actually allowed or taken; (b) credit or allowances given or made for rejection of or return of previously sold Products or for retroactive price reduction; (c) charges for insurance, freight and other transportation costs directly related to delivery of the Products; (d) sales, transfer and other excise taxes levied on the sale of the Products; (e ) the cost of production including but not limited to co-packer fees, ingredient, labels, caps, bottles (f) research and development expense including not but limited to formulation costs; (g) selling and marketing expense; (h) general and administrative expense; and (i) the cost of direct and indirect labor and related benefits. If the Buyer and Seller cannot mutually agree on (a), (b), (c), (d), (e), (f), (g), (h) and (i) above, then (a), (b), (c), (d), (e), (f), (g), (h) and (i) above will be determined by generally accepted beverage industry accounting principles. The payment by the Buyer to the Seller shall be within ninety (90) days following the calendar quarter in which payment for the net profit interest was received. All withholding and other taxes that may be imposed on Buyer shall be deducted from the payment of such fees upon provision to Seller of an official receipt evidencing payment of such taxes.
