Royalty. (a) In addition to the rental, the Lessee shall account for and pay to the State in money as royalty on gas substances a percentage, as provided in Exhibit “A”, of the current market price of all gas substances removed or sold from the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval of the State, or in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the State. (b) All royalties shall be due and payable to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substances.
Appears in 1 contract
Sources: Assignment Consent Agreement
Royalty. (a) In addition to the rental, the Lessee Company shall account for and pay to the State in money as Licensor an earned royalty on gas substances a percentage, as provided in Exhibit “A”, of the current market price of all gas substances removed or sold from the leased lands. Gas substances which shall consist of dry gas, including vented and flared gas (except during testing and with prior approval a percentage of the State, or in total "Net Wholesale Sales" (defined below) of all Licensed Products sold hereunder by Company during each Contract Year. Such earned royalty shall be computed at the event rate of an operational upset that is outside five percent (5%) computed on the control basis of the operatortotal Net Wholesale Sales of all Licensed-Products; provided however, natural gasoline, condensate and other hydrocarbon products extracted and saved from that the gas produced from full amount of the leased landsguaranteed minimum annual non-refundable royalty payable to Licensor by Company as described in Paragraph 7 above which is applicable to the Contract Year concerned shall first be credited against the payment of any earned royalty with respect to sales of Licensed Products made during such Contract Year. The current market price No part of any guaranteed minimum annual royalty shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 carried forward (or back) as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee a credit from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the Stateone Contract Year to another.
(b) For the purposes hereof, "Net Wholesale Sales" shall mean Company's invoiced wholesale billing price to its customers or distributors, less only shipping charges, discounts actually given, duties, insurance, sales taxes, value-added taxes, and credits allowed for returned or defective merchandise (but no reserve for returns). All royalties due Licensor shall accrue upon the sale of the Licensed Products regardless of the time of collection by Company. Licensed Products shall be considered "sold" as of the date on which such Licensed Products are invoiced, shipped or paid for, whichever first occurs. If sales are made to any party affiliated or related to Company, royalties shall be due and payable computed based upon the regular price of such Licensed Products charged to unrelated third parties. Company shall have the State right to deduct uncollectable accounts from "Net Wholesale Sales" provided that such deduction shall not later than the 25th day (during any Contract Year) exceed five percent (5%) of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substancessales.
Appears in 1 contract
Royalty. (a) In addition Licensee agrees to the rental, the Lessee shall account for and pay to the State Licensor at File PORTION OMITTED CONFIDENTIAL TREATMENT the sum Thirty Thousand Dollars ($30,000.00) per annum, payable in money advance as royalty minimum royalty, which shall be credited as payment on gas substances a percentage, as provided in Exhibit “A”, account of the current market price actual royalties to be paid by Licensee to Licensor hereunder for the amount of all gas substances Material removed or sold from the leased landsabove-described Premises. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval of the State, or in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved Licensee agrees to pay to Licensor actual royalties for Material removed from the gas produced from Premises at the leased lands. The current market price shall be determined by rate of Thirty Dollars ($30.00) per ton.
3.1 After all the Gas Purchase and Sale Agreement dated July 7minimum royalty, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid payment for the gas substances. The current market price shall not be less than term hereof has been credited against the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the State.
(b) All actual royalties shall be due and payable to Licensor hereunder, Licensee shall thereafter pay to Licensor, within twenty (20) days after the State expiration of each and every calendar month during the period this agreement remains in effect, any and all additional, actual royalties due and payable to Licensor hereunder at the rates hereinabove provided for.
3.2 Licensee shall furnish to Licensor not later than the 25th twentieth (20) day of each calendar month, following during the calendar month period this agreement remains in effect, a statement in writing, in the form attached hereto as Exhibit "A," setting forth the weight or volume of production, whether in money or in kind, and Material removed from the Premises. The statement shall be without accompanied by copies of sale receipts or weight certificates for all Material removed, together with a draft, payable to Licensor, for the proper amount of royalty due Licensor. If no Material is removed, a statement to that effect shall be furnished to Licensor.
3.3 Licensee shall keep a complete and true account and record of Material removed from the Premises. Licensee shall permit authorized representatives of Licensor to examine such accounts and records from time to time.
3.4 In the event Licensee exercises its option to extend the term of this License in accordance with the provisions of Section 2.1 hereof, Licensor may increase the minimum and actual royalties payable during the Extension Period as provided herein. Licensor may give Licensee notice of an intended revision in the minimum and actual royalties (the "Revision Notice") at any deductions includingtime after Licensor's receipt of Licence's notice of election to extend the Initial Term of this agreement. Licensor shall endeavor, but shall not limited tobe obligated, deductions to deliver the Revision Notice at least thirty (30) days prior to the commencement of the Extension Term. Licensee shall give written notice of its acceptance or rejection of the revised royalties within twenty (20) days of its receipt of the Revision Notice. If Licensee fails to give such written notice in a timely manner, Licensee shall be conclusively deemed to have accepted the revised royalties as set forth in the Revision Notice. If Licensee gives timely written notice of its rejection of the proposed revised royalties, Licensor and Licensee shall have thirty (30) days within which to attempt to agree on the revised royalties for the cost Extension Term and the parties shall meet and confer as reasonably necessary. If the parties are able to agree on the revised royalties, the revised royalties shall take effect on the first (St.) day of drillingthe Extension Term, completingregardless of the date on which such agreement is reached. If the parties are unable to agree within said thirty (30) day period, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting this License shall automatically terminate and otherwise making the gas substances marketable, neither party shall have any further rights or obligations hereunder except for reasonable transport and shrinkage rates imposed by the buyer. Furtherobligations, all money royalties payable of indemnity or otherwise, arising out of any act, omission, or event occurring prior to the State termination of this License. In no event shall be without any deductions the minimum royalty payable for the costs of marketing Extension Term be less than the State’s minimum royalty share of gas substancesamount payable for the Initial Term.
Appears in 1 contract
Sources: Lease for Mineral Rights (Workforce Systems Corp /Fl/)
Royalty. (a) In addition Concurrently with the exercise of the Option, the Parties will enter into a royalty agreement whereby the Optionee will grant the Royalty to the rental, Optionor with respect to production of all metals from the Lessee shall account for and pay Property (including any Additional Property added to the State in money as Property pursuant to Article 12 of this Agreement), with the Royalty to be payable by the Optionee following commencement of Commercial Production. The royalty on gas substances a percentage, as provided in Exhibit “A”, of agreement shall include the current market price of all gas substances removed or sold from the leased lands. Gas substances shall consist of dry gas, including vented and flared gas following terms (except during testing and with prior approval of the State, or in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined as otherwise mutually agreed by the Gas Purchase and Sale Agreement dated July 7, 2005 Parties):
(as Amended and Restatedi) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and Royalty shall be paid in accordance with procedures prescribed within 30 days after receipt of any proceeds of Commercial Production by the StateOptionee or its permitted assign(s);
(ii) within 120 days after the end of each fiscal year of the Optionee during which the Property is in Commercial Production, the records relating to the calculation of the Royalty during that fiscal year shall be audited and any adjustments shall be made forthwith. The audited statements shall be delivered to the Optionor, who shall have 30 days after receipt of such statements to question in writing their accuracy and, failing such question, the statements shall be deemed to be correct;
(iii) the Optionor shall have the right, at all reasonable times, to inspect such books and financial records of the Optionee as are relevant to the determination of the Royalty and, at its own expense, to make copies thereof; and
(iv) payment of the Royalty shall apply only to Commercial Production conducted on, in or under the Property.
(b) All royalties The Royalty will be reduced from 2.0% to 1.0% at any time within five (5) years of the commencement of Commercial Production on payment by the Optionee or its permitted assign(s) to the Optionor of $1,500,000.
(c) Regardless of whether the Parties will enter into the royalty agreement contemplated in Section 4.1(a), upon the vesting of the Optionee’s 100% Earned Interest, the Optionee will be deemed to have granted the Royalty to the Optionor. The Royalty shall comprise an interest in real property that shall run with and form part of the Property and shall bind the successors and assigns of the Optionee. The Royalty shall attach to any amendments, relocations or conversions of any mining claims or leases comprising the Property, or to any renewals or extensions of leases, and to any mineral rights acquired by the Optionee and any Affiliates in lands embraced within the Property within one year after the loss or relinquishment of any mining claim or lease comprising the Property.
(d) If the Parties do not enter into the royalty agreement contemplated in Section 4.1(a), the Royalty shall be due and payable to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed governed by the buyer. Further, all money royalties payable to terms and conditions and calculated in accordance with the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substancesformula set out in Schedule B hereto.
Appears in 1 contract
Sources: Option Agreement
Royalty. (a) In addition to Concurrently with the rentalexercise of the Option, the Lessee shall account for and pay Parties will enter into a royalty agreement whereby Black Shield will grant the Royalty to the State in money as royalty on gas substances a percentage, as provided in Exhibit “A”, of the current market price Cariboo with respect to production of all gas substances removed or sold precious metals from the leased landsProperty, with the Royalty to be payable by Black Shield following commencement of Commercial Production. Gas substances The royalty agreement shall consist of dry gas, including vented and flared gas include the following terms (except during testing and with prior approval of the State, or in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined as otherwise mutually agreed by the Gas Purchase and Sale Agreement dated July 7, 2005 Parties):
(as Amended and Restatedi) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and Royalty shall be paid quarterly, within 90 days after the end of each calendar quarter of Black Shield;
(ii) within 120 days after the end of each fiscal year of Black Shield during which the Property is in accordance with procedures prescribed by Commercial Production, the Staterecords relating to the calculation of the Royalty during that fiscal year shall be audited and any adjustments shall be made forthwith. The audited statements shall be delivered to Cariboo, who shall have 30 days after receipt of such statements to question in writing their accuracy and, failing such question, the statements shall be deemed to be correct;
(iii) Cariboo shall have the right, at all reasonable times, to inspect such books and financial records of Black Shield as are relevant to the determination of the Royalty and, at its own expense, to make copies thereof; and
(iv) payment of the Royalty shall apply only to Commercial Production conducted on, in or under the Property.
(b) All royalties Regardless of whether the Parties will enter into the royalty agreement contemplated in Section 3.1(a), upon the vesting of Black Shield’s 60% Earned Interest, Black Shield will be deemed to have granted the Royalty to Cariboo. The Royalty shall comprise an interest in real property that shall run with and form part of the Property and shall bind the successors and assigns of Black Shield. The Royalty shall attach to any amendments, relocations or conversions of any mining claims or leases comprising the Property, or to any renewals or extensions of leases, and to any mineral rights acquired by Black Shield and any Affiliates in lands embraced within the Property within one year after the loss or relinquishment of any mining claim or lease comprising the Property.
(c) If the Parties do not enter into the royalty agreement contemplated in Section 3.1(a), the Royalty shall be due and payable to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed governed by the buyer. Further, all money royalties payable to terms and conditions and calculated in accordance with the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substancesformula set out in Schedule B hereto.
Appears in 1 contract
Sources: Property Option Agreement
Royalty. (a) In addition to the rentalLicense fee payable under section 6.1, the Lessee Licensee shall account for and also be liable to pay a royalty @ [***]% of the Net Revenue plus applicable taxes on any Licensed Product, to the State Licensor (the “Licensor Royalty”).
b) Notwithstanding the foregoing, for any Licensee Technology, the Licensee shall also be liable to pay a royalty @ [***]% of the Net Revenue plus applicable taxes on any such product, to the Licensor (the “Additional Royalty” and together with the Licensor Royalty, the “Royalties”).
c) For the duration of the Royalty Period (defined herein), Licensee shall pay Royalties to the Licensor in money INR, within sixty (60) days following the end of June and December of each year, regardless of where the Licensed Product or Licensee Technology is made or sold and notwithstanding any currency restrictions or regulations in any country where the Licensed Product or Licensee Technology is sold. Each such payment shall be accompanied by a report certified by the Licensee setting out separately the Net Revenue of all Licensed Products and Licensee Technology sold during the said calendar six-month period.
d) For sake of clarity, it is agreed between the Parties that the Royalty shall be payable only once on each sale or supply of the Licensed Product, regardless of the number of claims under which the Licensed Product may be covered in a patent or in multiple patents. For example, if three claims or three patents cover one product, there shall only be one royalty payment and not three.
e) The Licensee and its Affiliates shall keep and maintain records for the sales and Net Revenue realized from the sale of the Licensed Products and Licensee Technology. Such records shall be open to inspection at any reasonable time during normal business hours. The inspection shall be permitted annually following the end of that financial year. The inspection may be carried out by an independent Chartered Accountant selected by the Licensor to whom the Licensee or its Affiliates have no reasonable objection. The inspection will be limited to the records related to this Agreement and sole as necessary to calculate the amount of Royalties and will not include the accounts of the Licensee as a whole or any other documents. The report of the Chartered Accountant shall be treated as confidential, and the expense of the inspection is to be borne by the Licensor.
f) The Licensee’s obligation to pay the Royalty with respect to a Licensed Product or Licensee Technology shall commence from the date of FDA approval to market the Licensed Product or Licensee Technology as a pharmaceutical drug (the “FDA Approval”) and shall continue (i) for seven (7) years from the date of FDA Approval or (ii) until the expiration of the patent covering such Licensed Product or Licensee Technology, whichever is earlier (the “Royalty Period”).
g) If the Licensee is required to obtain license rights from any Third Party) in the Licensed Territory, or any portion thereof, in order to make or use or sell the Licensed Products, it may subtract from the royalty on gas substances of [***]% payable under Para 6.2, the royalty payable to such third Party subject to a percentagemaximum of [***] percent ([***]%). For example, if the Licensee is required to pay XYZ Co. [***]% royalty to make or use or sell a Licensed Product, then the Licensee can subtract only [***]% from the [***]% royalty payable hereunder. If the royalty rate is [***]%, then the Licensee will pay a royalty of [***]% under this agreement. The Licensee will provide the Licensor with proof that any such third-party royalty was paid each time the Licensee claims a reduction hereunder.
h) If the validity, enforceability, and/or infringement of a patent included in the Licensor Patent Rights is challenged in any court of competent jurisdiction by any Third Party (an “Action”), or if the Licensee has reason to question the validity, enforceability and/or infringement of a patent included in the Licensor Patent Rights, the Parties then agree and acknowledge that the Royalty otherwise payable hereunder for the Licensed Products will be escrowed by the Licensee in an interest-bearing account in a bank or savings institution, provided, however: (i) The Licensee will first notify the Licensor in writing that it deems said claim or claims to be invalid, unenforceable and/or not infringed by virtue of such challenge or question; and (ii) no other claim or claims of Licensor Patent Rights not challenged or questioned covers the Licensed Product. Notice and the payment of Royalties into escrow by the Licensee as provided in Exhibit “A”, of herein will not constitute a breach hereof and will not constitute grounds for the current market price of all gas substances removed or sold from Licensor to otherwise terminate this Agreement.
i) If the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval of the StateAction is settled, or in the event of an operational upset that is outside the control of the operatorif a final decision upholds such patent and all appeals exhausted, natural gasoline, condensate all Royalties escrowed and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and interest thereon shall be paid in accordance with procedures prescribed by to the State.
Licensor within sixty (b60) All royalties days of such final decision, and the Licensee shall thereafter continue to pay such Royalties to the Licensor hereunder. If such patent is found invalid, then escrowed Royalties and interest thereon will not be paid to the Licensor, (ii) such escrowed Royalties and interest thereon shall be due retuned and payable paid to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kindLicensee, and shall (iii) the license concerning such invalid patent will be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substancesterminated.
Appears in 1 contract
Sources: License Agreement (India Globalization Capital, Inc.)
Royalty. (a) In addition Licensee shall pay quarterly to Licensor a royalty that is equivalent to the rentalbelow stated percentage of its Net Proceeds from Sales of Products sold during such quarter pursuant to the license granted herein.
4.1 The royalty rate for Products set forth on Schedule A shall be [redacted**] unless and until Licensee exercises the Exclusivity Option of Section 2.02 of the Distribution Agreement, after which the Lessee royalty rate for electrosurgical generators sold exclusively by Licensee thereunder shall account be [redacted**].
4.2 Royalties shall be calculated and paid quarterly for all Products sold during each Licensee fiscal quarter, Royalties shall be payable immediately at the end of such fiscal quarter, and are due to be received by Licensee within forty-five (45) calendar days following the end of each Licensee fiscal quarter for all sales made during such Licensee fiscal quarter. In the event such royalty payments are not paid when due, Licensee shall be obligated to pay to Licensor interest on the State in money as royalty total amount past due (including accrued interest) at a rate of one percent (1%) per month or portion thereof that said payment is late.
4.3 It is understood that on gas substances sales by Licensee to its sublicensees or affiliatedcompanies of a percentageparticular Product, as provided in Exhibit “A”, of the current market price of all gas substances removed or sold royalties shall be paid on such sales on theaverage United States Net Proceeds from the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval of the State, or Sales for that instrument in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month quarterlyperiod in which the gas substances are produced and shall be paid in accordance with procedures prescribed sale is made regardless of the actual price at which the instrument is sold to an affiliated company or sublicense or to the ultimate user of the instrument. Licensee will pay only a single royalty per device sold by the StateLicensee or its sublicensees or affiliates.
(b) All royalties 4.4 For purposes of this Agreement, “Net Proceeds from Sales” shall be due meanLicensee’s billing price of Products, less discounts allowed, credits for claims orallowances, returns, and payable less taxes or other government charges added to the State not later than faceof the 25th day invoice and paid by Licensee.
4.5 Licensee shall keep true books of each calendar month, following the calendar month account containing an accurate and complete record of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions all data necessary for the cost computation of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to Licensor hereunder. Licensor shall, at its own expense, have the State right to nominate an independent certified public accountant who shall be without have access, during reasonable business hours, but no more than once per year, to such of Licensee’s records as are necessary to verify the accuracy of the royalty payments made under this license. If in an audit of Licensee’s records it is determined, and not disputed, that there is a shortfall in royalties reported for any deductions reporting period under this Agreement, Licensee shall, upon request by Licensor, pay such shortfall (with interest as described in Section 4.2) within ten (10) business days and, if the shortfall is three percent (3%) or more in royalties reported for the audited period, Licensee shall also reimburse Licensor for the reasonable out-of-pocket costs of marketing the State’s royalty share of gas substancesaudit.
Appears in 1 contract
Royalty. (a) In addition Subject to the rentalterms and conditions of this Agreement, Motorola agrees to pay royalties (according to a royalty schedule to be set forth in Exhibit G) to NetSpeak on fair, reasonable, most-favored customer and competitive rates and terms for similar quantities and under similar conditions.
7.1.1 With respect to Subscriber Devices, Motorola shall pay NetSpeak the Lessee shall account following royalty amounts (not to exceed * in the aggregate) which will result in a fully-paid up license with respect to Subscriber Devices for and pay unlimited use of any license granted hereunder: * for each of the first * million Subscriber Devices shipped which incorporate a NetSpeak Product, an RF Product or a Derivative Work pursuant to the State in money as royalty on gas substances a percentagelicense grants of Sections 1.1, as provided in Exhibit “A”1.2, 1.4 or 1.5; * for each of the current market price next * million Subscriber Devices shipped which incorporate a NetSpeak Product, an RF Product or a Derivative Work pursuant to the license grants of all gas substances removed Sections 1.1, 1.2, 1.4 or sold from 1.5.
7.1.2 With respect to New NetSpeak Products incorporated into a Subscriber Device after the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval fifth anniversary of the Stateexecution of this Agreement, or Motorola shall agree to pay an additional reasonable royalty rate for each Subscriber Device incorporating such New NetSpeak Products on a most-favored customer basis; provided, however in no event shall Motorola be obligated to pay in excess of * million (excluding any amount paid under Section 7.1.1) for such Subscriber Devices incorporating the New NetSpeak Products and once Motorola pays * million in the event of aggregate (excluding any amount paid under Section 7.1.1) for such Subscriber Devices incorporating the New NetSpeak Products, Motorola shall have an operational upset that is outside the control unlimited right to further incorporate such New NetSpeak Products in all Subscriber Devices without any further royalty payment obligation or accounting to NetSpeak.
7.1.3 With respect to NetSpeak Products, RF Products and Derivative Products which are not incorporated into Subscriber Devices, Motorola and NetSpeak will meet within thirty (30) days of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from date of execution of this Agreement to develop a business model for defining the gas produced from the leased landsMotorola royalty base for each NetSpeak Product. The current market price defined royalty base shall quantify the boundary of the Motorola RF Products, Derivative Works and NetSpeak Products upon which a royalty calculation will be made. The business model shall take into consideration the existing royalty base for each NetSpeak Product outside of the Exclusive Field to comparably define a royalty base for the Motorola RF Products and Derivative Works. It is acknowledged and agreed by NetSpeak that the Motorola royalty schedule shall be determined by such that Motorola achieves a most favored customer royalty rate applied to the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substancesdefined royalty base. The parties will negotiate declining royalty rates based on average selling prices and volume levels, which take into consideration Motorola's and NetSpeak's current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the Statebusiness models.
(b) All royalties shall be due and payable to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substances.
Appears in 1 contract
Sources: Joint Development and License Agreement (Motorola Inc)
Royalty. Subject to adjustment pursuant to the operation of Clauses 17 and 18, the Lessor reserves to itself and the Lessee shall pay or cause to be paid to the Lessor a royalty of seventeen and one-half percent (a17.5%) of all Leased Substances produced, saved and marketed or used off the Lands. The Lessor's royalty share of the Leased Substances shall be recovered, produced and delivered to the Point of Measurement by the Lessee, free and clear of charge to the Lessor. Beyond the Point of Measurement the Lessor's share of Crude Oil shall bear its proportionate share of actual costs of transportation to the point of delivery of the Crude Oil to the purchaser thereof, and the Lessor's share of all other Leased Substances shall bear its proportionate share of actual costs of transportation, gathering, separation, treating, compressing and processing, provided the aforesaid costs shall be calculated in the same manner as would be allowed by the Crown in right of Alberta if it were lessor, and provided further that the total of such costs shall not exceed forty percent (40%) of sales value of the Lessor's share of the Leased Substances. The Lessee shall dispose of the Lessor's royalty share of the Leased Substances produced from the Lands rateably with its own share of the Leased Substances produced from the Lands, but the Lessor may from time to time, upon thirty (30) days notice to the Lessee, elect to take the Lessor's royalty share of the Leased Substances produced and saved from the Lands in kind in accordance with the customary pipe line or shipping practices prevailing in the field from which the production is being taken and may on like notice cancel its election so to do; PROVIDED THAT if the Lessor cancels an election to take the Leased Substances in kind it shall not be permitted again to elect to take the Leased Substances in kind until after the lapse of twelve (12) months from the date of cancellation of its election. The Lessee will provide, free of cost to the Lessor, production tanks sufficient to store not more than ten (10) days' accumulation of the Lessor's royalty share of the Leased Substances. Notwithstanding any other provision herein, in the event that sulphur is produced from the Lands and then stored at or near the Processing Plant Lessee should provide, free of cost to the Lessor, any necessary sulphur storage. Notwithstanding anything herein contained, the Lessee shall be entitled to use, free from the payment of the royalty payable under Clause 3(a) such part of the Leased Substances from the Lands as may be required and used by the Lessee in the Operations on the Lands. The royalty payable under the Lease shall be payable on the twenty-fifth (25th) day of each month in respect to the Leased Substances saved and marketed or used off the Lands in the month prior to the immediately preceding month and each payment thereof shall be accompanied by a statement of the Leased Substances produced and marketed or used as herein provided during the month for which such payment is made. Spacing Unit Reduction If at any time or limes the Lessee desires a reduction in the size of the Spacing Unit, the Lessee shall, at its cost, make application for such reduction in the size of the Spacing Unit on the Lands or the Pooled Lands. Upon the granting of such reduction in the size of the Spacing Unit, for the purposes of the second proviso on page 1, Operations shall be deemed to be conducted with respect to the Lands contained within the original Spacing Unit for a forty-five (45) day period after the granting of such reduction and for so long thereafter, with respect to any undrilled Spacing Units, as Operations are being conducted on any part of the Lands contained within the original Spacing Unit, with no cessation of more than forty-five (45) consecutive days. Rateable Production If the Lessee, acting bona fide, in the course of its Operations hereunder and due to marketing conditions, shall al any time curtail the production of the Leased Substances from any well or ▇▇▇▇▇ on the Lands or Pooled Lands, then such well or ▇▇▇▇▇ shall be produced rateably with all other ▇▇▇▇▇ operated or under the control of the Lessee in the same pool and in the same zone, (such rateable production to be based on the hydrocarbon pore volume of the zone included in the production Spacing Unit of the well or ▇▇▇▇▇ on the Lands or Pooled Lands as compared to the hydrocarbon pore volume of the zone included in the production Spacing Unit of all ▇▇▇▇▇ producing from such zone) and there shall be no discontinuance of the production of the Leased Substances from any well or ▇▇▇▇▇ on the Lands or Pooled Lands due to marketing conditions unless production is likewise discontinued from the other ▇▇▇▇▇ in the same pool operated or controlled by the Lessee, as aforesaid. PROVIDED HOWEVER, THAT if at any time any governmental authority has instituted an order for proration in the province or in any field in which the Lands are situated then compliance by the Lessee with such order shall be deemed compliance with the provisions of this clause. Density Drilling In addition to the rentaloffset obligations provided for in Clause 17, the Lessee shall account for and pay agrees to drill on the State in money as royalty on gas substances a percentageLands, as provided in Exhibit “A”, unless the Lands are part of the current market price Unitized Lands, ▇▇▇▇▇ sufficient to provide the same density of all gas substances removed ▇▇▇▇▇ as are producing on the laterally or sold from the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval of the State, or in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the Statediagonally adjoining legal quarter section.
(b) All royalties shall be due and payable to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substances.
Appears in 1 contract
Sources: Farmout and Joint Operating Agreement (Patch Energy Inc)
Royalty. 10.1 Within thirty (a30) In addition to the rental, the Lessee shall account for and pay to the State in money as royalty on gas substances a percentage, as provided in Exhibit “A”, of the current market price of all gas substances removed or sold from the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval of the State, or in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month days following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the State.
(b) All royalties shall be due and payable to the State not later than the 25th day end of each calendar month, following Licensee shall pay to Licensor a Royalty Fee equal to the calendar month product of production, whether in money or in kindthe Royalty Rate and Licensee's gross sales for such month. This royalty rate will be calculated by using arm's length standards as determined by commonly accepted intercompany pricing methodologies, and shall be without any deductions includingpresented in a report including an outline of the industry, but not limited tothe specific practices within the industry, deductions the property in question, the pricing methodologies considered, a transfer pricing report from PricewaterhouseCoopers LLP as to the most appropriate method to employ in such determinations, data in support of this method, and the ultimate rate. Thirty (30) days after Licensee's books have been closed for the fiscal year, in the event that the total Licensee year-end gross sales figure varies from the sum of the twelve monthly gross sales figures for that fiscal year, Licensee shall pay Licensor a single "true-up" payment to compensate Licensor for any additional gross sales for which the Royalty Fee was not paid, or, if appropriate, Licensor shall reimburse Licensee for any overpayment.
10.2 Notwithstanding anything therein to the contrary, the parties agree that the Royalty Fee shall be evaluated annually in connection with the transfer pricing study prepared in accordance with Internal Revenue Code Section 482 and regulations promulaged thereunder, and, if warranted, a new Royalty Fee based on such evaluation may be established. In the event that the new Royalty Fee is unacceptable to Licensee, Licensee may request that the Royalty Fee be evaluated by a mutually agreed upon independent party, and a new Royalty Fee based on such evaluation established. The cost of drillingany such evaluations shall be born by Licensee.
10.3 If Licensee and Licensor are not able to agree upon a new Royalty Rate, completingsuch dispute shall be settled by arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making judgment upon the gas substances marketable, except for reasonable transport and shrinkage rates imposed award rendered by the buyerarbitrator(s) may be entered in any court having jurisdiction thereof. Further, all money royalties payable to The decision of the State arbitrator(s) shall be without any deductions for binding on the costs of marketing the State’s royalty share of gas substancesParties.
Appears in 1 contract
Sources: Intellectual Property License Agreement (Hollywood Entertainment Corp)
Royalty. (a) In addition consideration of the rights herein granted by Licensor, Licensee agrees to the rental, the Lessee shall account for and pay to Licensor the State in money as royalty Royalty. Royalties shall be computed on gas substances a percentage, as provided in Exhibit “A”, of the current market price of all gas substances removed or sold from the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and Net Sales with prior approval of the Staterespect to each quarter, or in portion thereof, during the event term of an operational upset that is outside the control of the operatorthis Agreement, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid within *********** after the end of each quarter (on or before July 15, October 15, January 15, April 15) and the date of termination of this Agreement. Royalty payments shall be in accordance U.S. dollars and shall be sent to the address set forth in Section 17 hereof. All statements shall comply with procedures prescribed by the Staterequirements set forth in Section 10.
(b) All royalties Net Sales shall mean *************************. For the purposes of this Agreement, free Licensed Products delivered by Licensee to any of its customers and Licensed Products sold by Licensee to any of its customers with whom Licensee shall not have dealt at arms' length shall be treated as if such Licensed Products had been sold by Licensee and shall be included in the calculation of "Net Sales" at Licensee's normal selling price.
(c) Interest at eighteen percent (18%) per annum shall be incurred on Royalties from and after the date due which interest shall not be credited against the Guaranty due and payable.
(d) Licensee shall deliver to Licensor the non-refundable Advance upon execution of this Agreement. Such Advance shall be credited against the first dollars of Royalties and the Guaranty due and payable by Licensee to Licensor hereunder for such year.
(e) Licensee guarantees that it shall pay at least the State Minimum Guaranty in Royalties as set forth in Section 1 during each year of this Agreement. If such amount has not later than been paid on or before the 25th day end of each calendar monththe applicable year, following Licensee shall, within thirty (30) days thereafter, remit to Licensor the calendar month amount of production, whether in money or in kind, the difference between Royalties paid and the amount of said Minimum Guaranty.
(f) All Royalties paid by Licensee shall not be without refundable under any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substancescircumstances.
Appears in 1 contract
Sources: License Agreement (Impreso Inc)
Royalty. Lessee shall pay to Lessor as royalty during the full term of this Lease compensations as follows:
(a) In addition As to ***, Lessee shall pay to Lessor *** received by Lessee. The said payment shall be deemed to embrace a payment of *** and *** as payment for the said non-exclusive license, for surface land use and for Lessee's agreement to make available to Lessor subject to License Agreement its continuing knowledge and experience with respect to the rental*** and the right to utilize new developments or improvements thereof on the leased land; (b) ***, the Lessee shall account for and pay to Lessor *** received by Lessee. The said payment shall be deemed to embrace a payment of *** as payment for the State said non-exclusive license, for surface land use and for Lessor's agreement to make available to Lessee subject to License Agreement its continuing knowledge and experience with respect to the *** and the right to utilize new developments or improvements thereof on the leased land; (c) The payment by Lessee to Lessor of the total compensations provided for in money as subparagraphs (a) and (b) hereof, when due, for the full term of this Lease is a condition to the continuation of Lessee's rights under this Lease and its right to use or occupy the leased land or any part thereof. In the event Lessee Shall *** Confidential material redacted and filed separately with the Commission. default under any covenant or condition of this Lease and fail to remedy such default or to commence in good faith remedy such default, if such default cannot be remedied within the notice period, Lessor shall have the right, upon expiration of sixty (60) days written notice of default, to terminate this Lease and all of Lessee's rights hereunder. The term ***. Lessee shall pay to Lessor royalty on gas substances a percentage, as provided in Exhibit “A”, the last day of each month for accrued royalties for the current market price of all gas substances removed or sold from preceding calendar month. If the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval of the State, or in the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas geothermal resources produced from the leased lands. The current market price shall be determined by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019land are insufficient for operation of Lessee's plant or plants at a ***, at which time the State request of Lessee, Lessor may supply geothermal resources from other land and the ***% royalty rate shall determine apply to ***. If Lessor is unable to provide sufficient geothermal resources, Lessee may secure geothermal resources from other lands without paying royalty to Lessor on the market price geothermal resources so secured. Lessee shall have the right to *** and shall include any premium or bonus paid for the gas substancesto pay Lessor's royalty ***. The current market price Lessee shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money required to pay royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the Stateany ***.
(b) All royalties shall be due and payable to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substances.
Appears in 1 contract
Royalty. (ai) In addition to the rental, the Lessee Buyer shall account for and pay to the State in money as royalty on gas substances Takara U.S. a percentage, as provided in Exhibit “A”, Royalty Rate * * * * * * * * * * of the current market price of all gas substances removed or sold from the leased lands. Gas substances shall consist of dry gas, including vented and flared gas (except during testing and with prior approval “Invoice Price” of the StateProducts, regardless of whether Buyer purchases the Products from Seller or in manufactures the event of an operational upset that is outside the control of the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased landsProducts. The current market price specific Royalty Rate on a specific Product shall be determined mutually agreed upon by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time parties depending upon the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher profit level of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced Buyer and shall be listed on the Schedules. However, any Product manufactured by or for Buyer in Hong Kong or an Asian country by Buyer or a third party for Buyer shall be subject to a Royalty rate of * * * * *. The definition “Invoice Price” shall be Buyer’s Invoice Price minus * * * * * to cover any and all deductions and allowances. There shall be no additional deduction from royalties owed Takara U.S. for uncollectible accounts, fees, impositions, payments or expenses of any kind. Withholding taxes may be deducted from said royalties, if required, but only to the extent that Buyer shall provide to Takara U.S. a valid original U.S. government tax receipt showing the amount of such taxes withheld. All royalties due to Takara U.S. shall accrue upon the sale of the PRODUCTS regardless of the time of collection by ▇▇▇▇▇. For purposes of this Agreement, the PRODUCTS shall be considered “sold” upon the date when it is billed or invoiced, shipped or paid in accordance with procedures prescribed by the Statefor, whichever occurs first.
(bii) All royalties Buyer shall be due and payable pay a minimum royalty of * * * * * * * * * * annually to maintain the exclusiveness of its right to the State not later than PRODUCTS listed on the 25th day Schedules. If Buyer fails to pay the minimum royalty, Takara U.S. shall have the option of each calendar monthcancelling the Agreement in its entirety or of converting the Agreement into a nonexclusive right to sell the PRODUCTS. If the Agreement is cancelled, following Buyer shall have the calendar month right to sell any PRODUCTS in its possession, subject to the payment of productionroyalties and the terms of this Agreement for a period of Six (6) Months. Upon cancellation, whether Buyer shall assist in money or in kind, and shall be without any deductions transferring all rights acquired by Buyer to the PRODUCTS including, but not limited to, deductions for copyrights, trademarks, and licenses to Buyer upon Seller’s written request. Buyer shall further refrain from selling the cost same type of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making PRODUCTS anywhere in the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substancesworld.
Appears in 1 contract
Sources: Royalty Agreement (Hasbro Inc)
Royalty. (a) In addition to the rental, the Lessee 8.1 The Licensee shall account for and pay to the State in money as Licensor a royalty on gas substances a percentage, as provided in Exhibit “A”, of USD 1.00.
8.2 All payments made by the Licensee under this agreement are exclusive of VAT. If any payment constitutes the whole or any part of the current market price consideration for a taxable or deemed taxable supply by the Licensor, the Licensee shall increase that payment by an amount equal to the VAT that is chargeable for the taxable or deemed taxable supply in question, provided that the Licensor shall have delivered a valid VAT invoice for the VAT to the Licensee. If the Licensee fails to comply with its obligations under this clause, it shall additionally pay all interest and penalties, which thereby arise to the Licensor. If any VAT invoice is delivered to the Licensee after the relevant payment has been made, the Licensee shall pay the VAT due within five (5) business days of the Licensor delivering a valid VAT invoice.
8.3 All royalties and other sums payable under this agreement shall be paid free and clear of all gas substances removed deductions and withholdings unless the deduction or sold from withholding is required by law. If any deduction or withholding is required by law, the leased lands. Gas substances Licensee shall consist pay to the Licensor any sum as will, after the deduction or withholding has been made, leave the Licensor with the same amount as it would have been entitled to receive in the absence of dry gas, including vented any such requirement to make a deduction or withholding.
8.4 Royalties and flared gas (except during testing and with prior approval any other sums payable under this agreement shall be paid in United States Dollar to the credit of a bank account to be designated in writing by the Licensor.
8.5 Royalties payable under this agreement shall be paid within 30 days of the Stateend of each month, or and for the purpose of converting the local currency of the Licensee (in which the royalties arise) into United States Dollar, the rate of exchange to be applied shall be the rate of exchange applied by the New York bankers to the Licensor for the purchase of sterling with any foreign currency as at the close of business on the date when the relevant payment first becomes due].
8.6 The provisions of this Clause 8 (Royalty) shall remain in effect in the event of an operational upset that is outside the control termination or expiry of this agreement until the operator, natural gasoline, condensate and other hydrocarbon products extracted and saved from the gas produced from the leased lands. The current market price shall be determined settlement of all subsisting claims by the Gas Purchase and Sale Agreement dated July 7, 2005 (as Amended and Restated) between Rosetta Resources Operating LP and Calpine Energy Services, L.P. until its expiration, currently December 31, 2019, at which time the State shall determine the market price and shall include any premium or bonus paid for the gas substances. The current market price shall not be less than the higher of the highest price in the nearest field at which gas substances of like quality are being sold in substantial quantities or the net proceeds or exchange value derived by the Lessee from the gas substances removed or sold from the leased lands, and shall include any premium or bonus paid. Money royalty on gas substances shall be due no later than the twenty-fifth day of the second calendar month following the calendar month in which the gas substances are produced and shall be paid in accordance with procedures prescribed by the StateLicensor.
(b) All royalties shall be due and payable to the State not later than the 25th day of each calendar month, following the calendar month of production, whether in money or in kind, and shall be without any deductions including, but not limited to, deductions for the cost of drilling, completing, producing, well work, gathering, separating, compressing, treating, dehydrating, processing, transporting and otherwise making the gas substances marketable, except for reasonable transport and shrinkage rates imposed by the buyer. Further, all money royalties payable to the State shall be without any deductions for the costs of marketing the State’s royalty share of gas substances.
Appears in 1 contract
Sources: Intra Group License Agreement (Wahed Real Estate Fund I LLC)