Common use of Process Design Package Clause in Contracts

Process Design Package. 3.01 Licensee provided Syntroleum with a written notice for the development of a Process Design Package, Syntroleum has developed and delivered to Licensee the Process Design Package for the Licensed Plant, and Licensee has paid Syntroleum for the Process Design Package in accordance with the fee schedule set forth in Exhibit B. Syntroleum will deliver to Licensee by July 31, 2012 certain P&ID drawings for certain areas of the Licensed Plant as agreed upon by the parties. On the date of this Agreement the parties will sign a Work Order under the Technical Services Agreement describing the scope of the Technical Services to be provided in regards to the P&ID drawings, and the parties agree that such costs are included in the fees already paid by Licensee for the Process Design Package and there are no further amounts due by Licensee for such Work Order. 3.02 If Syntroleum has not approved the feedstocks that Licensee plans to use in the Licensed Plant for conversion into Bio-Synfined Renewable Fuels, Licensee will be solely responsible for all Feedstock Qualification Fees associated with qualifying each such feedstock as an approved feedstock for conversion into Bio-Synfined Renewable Fuels. Syntroleum will provide to Licensee an estimate of (i) the total time, which in no event will be longer than six (6) months, and (ii) the cost on a month by month basis to approve each such feedstock. As soon as practicable after Licensee’s receipt of such cost estimate, Licensee will notify Syntroleum in writing to proceed with the qualification of such feedstock. Syntroleum will notify Licensee in writing as soon as practicable of the results of each such feedstock qualification. Syntroleum will provide to Licensee a monthly written progress report regarding the qualification of each feedstock in form and substance reasonably acceptable to the Parties along with an invoice for the monthly Feedstock Qualification Fees. At anytime and from time to time during the feedstock qualification process, upon the reasonable request of Licensee, Syntroleum will notify Licensee of the amount of the Feedstock Qualification Fees as of the date of such request. Certain feedstocks have been approved for use at the Licensed Plant prior to the date of this Agreement. Syntroleum has prepared (and updated from time to time) and delivered to Licensee a written list of each approved feedstock. No previously approved feedstock will be deleted from such list without the prior written consent of both Parties.