Work Program and Budgets Clause Samples
Work Program and Budgets. (A) On or before the 15th Day of July of each Calendar Year, Operator shall deliver to the Parties a proposed Work Program and Budget detailing the Joint Operations to be performed in the Contract Area for the following Calendar Year. Within thirty (30) Days from such delivery, the Operating Committee shall meet to approve the Work Program and Budget.
(B) The Work Program and Budget agreed pursuant to this Section 6.1 shall include the Minimum Work Obligation required to be carried out during the Calendar Year in question under the terms of the Contract plus any additional Joint Operations approved by the Operating Committee. Any approved Work Program and Budget decided and submitted by Operator to the Government pursuant to Section 5.2(B)(1)(c) instead of being decided by the Operating Committee pursuant to Section 5.9, however, shall include only such operations for the Joint Account as are necessary to maintain the Contract in full force and effect, including such operations as are necessary to fulfill the Minimum Work Obligation required for the given Calendar Year.
(C) If the Work Program and Budget is approved by the Operating Committee, Operator shall take such steps as may be required under the Contract to secure approval of the Work Program and Budget by the Government. The Operating Committee shall consider any amendments or revisions to the Work Program and Budget requested by the Government, and the Work Program and Budget shall be amended to agree with the changes requested and agreed to by the Government and by the Operating Committee.
(D) Any approved Work Program and Budget may be revised by the Operating Committee from time to time. To the extent such revisions are approved by the Operating Committee, including revisions in connection with the evaluation of a Discovery or a Development Plan, the Work Program and Budget shall be amended accordingly; provided, however, that no such revision shall invalidate a commitment or expenditure already made pursuant to a previous authorization under the Work Program and Budget.
(E) Subject to Section 6.7, approval of drilling operations in any Work Program and Budget shall include approval for any expenditures necessary for the drilling, Testing, Completing and Equipping of the applicable well.
(F) Operator shall submit Operator's recommendation to the Parties in accordance with Section 5.12(A)(1) on whether to Complete, plug and abandon or temporarily abandon a well and an AFE for such costs.
Work Program and Budgets. 8.2.1 Within ninety (90) days following the Effective Date of the Contract, the Contractor must prepare the first Work Program and its budget. If the Effective Date of the Contract occurs the first day of the month of July or before, the first Program and its budget shall be prepared for the remainder of the corresponding Calendar Year. If the Effective Date of the Contract occurs after the first day of the month of July, this first Program and its budget shall be prepared for the current Calendar Year as well as for the following Calendar Year. The Contractor must submit the Work Program and its budget to the Minister's approval. Subject to the above provisions, the Contractor shall, no later than October 30 of each calendar year, prepare a Work Program and a budget for the following calendar year and submit same for the Minister's approval. Within the month following the date of receipt of the Work Program and of the budget, the Minister shall approve same as proposed or shall suggest amendments, failing which the Work Program and the budget shall be deemed approved. The Work Programs during the exploration period must include the minimum work program as stipulated in the present Contract.
8.2.2 In the event that the Minister wishes to make amendments to the Work Program and to the corresponding Budget, he must advise the Contractor thereof in writing no later than fifteen (15) days following the receipt of the documents mentioned above and the Parties shall meet and attempt to reach an agreement on the proposed amendments. If the Contractor and the Minister do not reach an agreement on the proposed amendments no later than two months after the date of receipt of the Work Program and budget, an Expert shall be called upon to settle the question in accordance with the provisions relating to arbitration and expert evaluation.
8.2.3 The Contractor may, with the Minister's approval, revise the Work Program during the Calendar Year in question in order to be able to take into account newly acquired information, a revised evaluation of the existing conditions, or any other valid reason.
Work Program and Budgets