FOB mine price definition

FOB mine price means contract revenue exclusive of all shipping expenses or any other expense incurred by the producer less reasonable and actual costs incurred to transport the taxable coal from the mine to a sales point remote from the mine after the coal has been is prepared for shipment.
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Examples of FOB mine price in a sentence

  • For purposes of computing the percentage royalty under these circumstances or under those circumstances where the coal is not sold pursuant to an arms length sales contract, the lessor and the lessee shall agree on the basis for constructing the F.O.B. mine price of such coal.

  • Where coal is mined from the leased premises and is not sold or shipped, but is consumed by the lessee, the lessee shall pay the greater of either 40¢ per ton for each ton of 2,000 pounds of coal mined, or an amount per ton for each ton of 2,000 pounds of coal equal to 8% of the F.O.B. mine price per ton.

  • The amount of such royalty shall be the greater of either 40¢ per ton for each ton of 2,000 pounds of coal or an amount per ton for each ton of 2,000 pounds of coal equal to 8% of the F.O.B. mine price per ton.

  • In the event three or more bona-fide bids are identified on a good faith basis, the three lowest bids (FOB mine price) will be averaged and compared to the then Current Coal Price payable to Seller pursuant to this Agreement.