Common use of SEECO Commitments Clause in Contracts

SEECO Commitments. (a) Except as set forth below, during the course of this Agreement, SEECO agrees to utilize SLB for the following percentages of SEECO’s requirements with respect to the Project Area (as modified from time to time as contemplated in this Section 3.2, the “Utilization Percentages”). (i) Not less than 60% of SEECO’s total Project expenditures for Cased Hole Logging services; (ii) Not less than 60% of SEECO’s total Project expenditures for Open Hole Logging services; (iii) Not less than 60% of SEECO’s total Project expenditures for Cementing services; (iv) Not less than 60% of SEECO’s total Project expenditures for Stimulation services; (v) Not less than 60% of SEECO’s total Project expenditures for Coiled Tubing services; and (vi) Not less than 60% of SEECO’s total Project expenditures for Data and Consulting services. (b) For purposes of calculating the foregoing percentages, it is understood and agreed that SEECO shall be credited with: (i) 100% of all applicable expenditures made in favor of SLB with respect to each well operated by SEECO in the Project Area; and (ii) 100% of the amounts paid by SEECO for any services provided by a third party in accordance with paragraph (c) of this Section 3.2. (c) Upon the occurrence of any of the following events, even if the Utilization Percentages have not been met, SEECO shall have the right to obtain the above-described Services from one or more third parties; (i) SLB is not able to provide a level of Oilfield Services sufficient to meet SEECO’s needs for the Project; (ii) A third-party vendor is able to provide new technologies and techniques that SEECO desires to employ in the Project Area and SLB is unable to provide such technologies and techniques at a comparable price; or (iii) SLB is in breach of its obligations under this Agreement or any other agreement between SLB and SEECO and such breach has not been cured within the 30-day period following the date upon which SEECO notifies SLB of any such breach. Prior to the utilization of a third party to provide Oilfield Services to SEECO in accordance with clauses (i) or (ii) of this Section 3.2(c), SEECO will provide thirty (30) days advance notice to SLB, provided, however, that only reasonable advance notice is required in the event the circumstances giving rise to SEECO’s utilization of a third party are both urgent and immediate. If the urgency and immediacy of the need does not allow for any advance notice to SLB, SEECO will notify SLB no more than three (3) business days after the engagement of such third party. Each notice provided under this Section 3.2(c) with respect to clauses (i) or (ii) will be in writing and state (1) the basis for the utilization of the third party and (2) to the extent known, the expected term of any agreements entered into for the provision of the Services which would have otherwise been provided by SLB under this Agreement. Each notice provided under this Section 3.2(c) with respect to clause (iii) will be in writing and describe the nature of the breach. It is understood and agreed that any notice provided by SEECO pursuant to this Section 3.2(c) with respect to a breach under this Agreement or any other agreement with SLB shall not constitute a waiver by SEECO of such breach and SEECO shall be entitled to avail itself of all actions, claims and other remedies for such breach whether in contract, equity or at law. SEECO will use commercially reasonable efforts to limit the duration of utilization of a third party in accordance with this Section 3.2(c) to the time period during which the situation is expected to continue to exist. Notwithstanding the foregoing, the term for third party services to be utilized in lieu of SLB services pursuant to this Section 3.2 shall not exceed one year unless the parties are unable to agree to a reasonable remedy to correct the situation. If a reasonable remedy cannot be agreed upon, it is understood and agreed that SEECO shall have the right to proportionately reduce the Utilization Percentages to address the service deficiency, and enter into a third party contract with a term greater than one year if necessary to obtain commercially reasonable pricing, terms and conditions. It is understood and agreed that the foregoing notice requirements and limitations do not apply to SEECO’s requirements above the Utilization Percentages. The parties agree that neither this Agreement nor any other agreement precludes SEECO from obtaining Oilfield Services with respect to SEECO’s remaining requirements for the Project, within the Project Area or otherwise from any third party, nor does this Agreement preclude SEECO from obtaining Oilfield Services from third-party companies or individuals outside of the Project Area. (d) To the extent that the provisions of this Section 3.2 conflict with the provisions of the MSA, the provisions of this Section 3.2 shall control.

SEECO Commitments. (a) Except as set forth below, during the course Term of this Agreement, SEECO agrees to utilize SLB to provide for the following percentages no less than 40%, and at SEECO’s sole discretion, up to 60%, of SEECO’s requirements with respect to the following services in the Project Area (as modified from time to time as contemplated in this Section 3.2, collectively, the “Utilization PercentagesPercentage”). ): (i) Not less than 60% of SEECO’s total Project expenditures for Cased Hole Logging services; ; (ii) Not less than 60% of SEECO’s total Project expenditures for Open Hole Logging services; ; (iii) Not less than 60% of SEECO’s total Project expenditures for Cementing services; ; (iv) Not less than 60% of SEECO’s total Project expenditures for Stimulation services; ; (v) Not less than 60% of SEECO’s total Project expenditures for Coiled Tubing services; and (vi) Not less than 60% of SEECO’s total Project expenditures for Data and Consulting servicesservices and (vii) Tubing Conveyed Perforating (TCP). The foregoing services are referred to collectively as the “Designated Oilfield Services”. (b) For purposes of calculating the foregoing percentagespercentage, it is understood and agreed that SEECO shall be credited with: (i) 100% of all applicable expenditures relating to the Designated Oilfield Services made in favor of SLB or any of the SLB Subsidiaries that is wholly owned with respect to each well operated by SEECO in the Project Area; and; (ii) 100% of the amounts paid by SEECO for any services Designated Oilfield Services provided by a third party in accordance with paragraph (c) of this Section 3.2.; and (iii) a percentage of all applicable expenditures relating to the Designated Oilfield Services made in favor of any of the SLB Subsidiaries that is not wholly owned equal to the Ownership Percentage with respect to each well operated by SEECO in the Project Area. (c) Upon the occurrence of any of the following events, even if the Utilization Percentages have Percentage has not been met, SEECO shall have the right to obtain the above-described Designated Oilfield Services from one or more third parties; (i) SLB is not able to provide a level of the Designated Oilfield Services sufficient to meet SEECO’s needs for the Project; (ii) A third-party vendor is able to provide new technologies and techniques that SEECO desires to employ in the Project Area and SLB is unable to provide such technologies and techniques at a comparable price; or (iii) SLB is in breach of its obligations under this Agreement or any other agreement between SLB and SEECO and such breach has not been cured within the 30-day period following the date upon which SEECO notifies SLB of any such breach. Prior to the utilization of a third party to provide the Designated Oilfield Services to SEECO in accordance with clauses (i) or (ii) of this Section 3.2(c), SEECO will provide thirty (30) days advance notice to SLB, providedprovided , howeverhowever , that only reasonable advance notice is required in the event the circumstances giving rise to SEECO’s utilization of a third party are both urgent and immediate. If the urgency and immediacy of the need does not allow for any advance notice to SLB, SEECO will notify SLB no more than three (3) business days after the engagement of such third party. Each notice provided under this Section 3.2(c) with respect to clauses (i) or (ii) will be in writing and state (1) the basis for the utilization of the third party and (2) to the extent known, the expected term of any agreements entered into for the provision of the Services which would have otherwise been provided by SLB under this Agreement. Each notice provided under this Section 3.2(c) with respect to clause (iii) will be in writing and describe the nature of the breach. It is understood and agreed that any notice provided by SEECO pursuant to this Section 3.2(c) with respect to a breach under this Agreement or any other agreement with SLB shall not constitute a waiver by SEECO of such breach and SEECO shall be entitled to avail itself of all actions, claims and other remedies for such breach whether in contract, equity or at lawlaw . SEECO will use commercially reasonable efforts to limit the duration of utilization of a third party in accordance with this Section 3.2(c) to the time period during which the situation is expected to continue to exist. Notwithstanding the foregoing, the term for third party services to be utilized in lieu of SLB services Key Services and/or Oilfield Services pursuant to this Section 3.2 shall not exceed one year unless the parties are unable to agree to a reasonable remedy to correct the situation. If a reasonable remedy cannot be agreed upon, it is understood and agreed that SEECO shall have the right to proportionately reduce the Utilization Percentages Percentage to address the service deficiency, and enter into a third party contract with a term greater than one year if necessary to obtain commercially reasonable pricing, terms and conditions. It is understood and agreed that the foregoing notice requirements and limitations do not apply to SEECO’s requirements above the Utilization PercentagesPercentage. The parties agree that neither this Agreement nor any other agreement precludes SEECO from obtaining Key Services and/or Oilfield Services with respect to SEECO’s remaining requirements for the Project, within the Project Area or otherwise from any third party, nor does this Agreement preclude SEECO from obtaining Key Services and/or Oilfield Services from third-party companies or individuals outside of the Project Area. (d) To the extent that the provisions of this Section 3.2 conflict with the provisions of the MSA, the provisions of this Section 3.2 shall control.

SEECO Commitments. (a) Except as set forth below, during the course Term of this Agreement, SEECO agrees to utilize SLB to provide for the following percentages no less than 40%, and at SEECO’s sole discretion, up to 60%, of SEECO’s requirements with respect to the following services in the Project Area (as modified from time to time as contemplated in this Section 3.2, collectively, the “Utilization PercentagesPercentage”).): (i) Not less than 60% of SEECO’s total Project expenditures for Cased Hole Logging services; ; (ii) Not less than 60% of SEECO’s total Project expenditures for Open Hole Logging services; ; (iii) Not less than 60% of SEECO’s total Project expenditures for Cementing services; ; (iv) Not less than 60% of SEECO’s total Project expenditures for Stimulation services; ; (v) Not less than 60% of SEECO’s total Project expenditures for Coiled Tubing services; and (vi) Not less than 60% of SEECO’s total Project expenditures for Data and Consulting servicesservices and (vii) Tubing Conveyed Perforating (TCP). The foregoing services are referred to collectively as the “Designated Oilfield Services”. (b) For purposes of calculating the foregoing percentagespercentage, it is understood and agreed that SEECO shall be credited with: (i) 100% of all applicable expenditures relating to the Designated Oilfield Services made in favor of SLB or any of the SLB Subsidiaries that is wholly owned with respect to each well operated by SEECO in the Project Area; and; (ii) 100% of the amounts paid by SEECO for any services Designated Oilfield Services provided by a third party in accordance with paragraph (c) of this Section 3.2.; and (iii) a percentage of all applicable expenditures relating to the Designated Oilfield Services made in favor of any of the SLB Subsidiaries that is not wholly owned equal to the Ownership Percentage with respect to each well operated by SEECO in the Project Area. (c) Upon the occurrence of any of the following events, even if the Utilization Percentages have Percentage has not been met, SEECO shall have the right to obtain the above-described Designated Oilfield Services from one or more third parties; (i) SLB is not able to provide a level of the Designated Oilfield Services sufficient to meet SEECO’s needs for the Project; (ii) A third-party vendor is able to provide new technologies and techniques that SEECO desires to employ in the Project Area and SLB is unable to provide such technologies and techniques at a comparable price; or (iii) SLB is in breach of its obligations under this Agreement or any other agreement between SLB and SEECO and such breach has not been cured within the 30-day period following the date upon which SEECO notifies SLB of any such breach. Prior to the utilization of a third party to provide the Designated Oilfield Services to SEECO in accordance with clauses (i) or (ii) of this Section 3.2(c), SEECO will provide thirty (30) days advance notice to SLB, providedprovided , howeverhowever , that only reasonable advance notice is required in the event the circumstances giving rise to SEECO’s utilization of a third party are both urgent and immediate. If the urgency and immediacy of the need does not allow for any advance notice to SLB, SEECO will notify SLB no more than three (3) business days after the engagement of such third party. Each notice provided under this Section 3.2(c) with respect to clauses (i) or (ii) will be in writing and state (1) the basis for the utilization of the third party and (2) to the extent known, the expected term of any agreements entered into for the provision of the Services which would have otherwise been provided by SLB under this Agreement. Each notice provided under this Section 3.2(c) with respect to clause (iii) will be in writing and describe the nature of the breach. It is understood and agreed that any notice provided by SEECO pursuant to this Section 3.2(c) with respect to a breach under this Agreement or any other agreement with SLB shall not constitute a waiver by SEECO of such breach and SEECO shall be entitled to avail itself of all actions, claims and other remedies for such breach whether in contract, equity or at lawlaw . SEECO will use commercially reasonable efforts to limit the duration of utilization of a third party in accordance with this Section 3.2(c) to the time period during which the situation is expected to continue to exist. Notwithstanding the foregoing, the term for third party services to be utilized in lieu of SLB services Key Services and/or Oilfield Services pursuant to this Section 3.2 shall not exceed one year unless the parties are unable to agree to a reasonable remedy to correct the situation. If a reasonable remedy cannot be agreed upon, it is understood and agreed that SEECO shall have the right to proportionately reduce the Utilization Percentages Percentage to address the service deficiency, and enter into a third party contract with a term greater than one year if necessary to obtain commercially reasonable pricing, terms and conditions. It is understood and agreed that the foregoing notice requirements and limitations do not apply to SEECO’s requirements above the Utilization PercentagesPercentage. The parties agree that neither this Agreement nor any other agreement precludes SEECO from obtaining Key Services and/or Oilfield Services with respect to SEECO’s remaining requirements for the Project, within the Project Area or otherwise from any third party, nor does this Agreement preclude SEECO from obtaining Key Services and/or Oilfield Services from third-party companies or individuals outside of the Project Area. (d) To the extent that the provisions of this Section 3.2 conflict with the provisions of the MSA, the provisions of this Section 3.2 shall control.