Permissible Charges definition
Permissible Charges means (i) all production, severance, ad valorem or similar taxes assessed against or measured by production and severance of ORRI Hydrocarbons or the value and (ii) with respect to each well not operated by the Grantor or any Affiliate thereof, the Term ORRI's allocable share of any reasonable post production expenses, costs, charges, and fees incurred in transporting, processing, gathering, treating, separating, dehydrating and marketing the Subject Reserves allocable to such well.
Examples of Permissible Charges in a sentence
Until notified by Grantee to the contrary, Grantor shall receive all payments for (or on account of) ORRI Hydrocarbons and shall, on or before the last day of each calendar month, distribute any such payments received during the previous calendar month, net only of Permissible Charges, to Agent, on behalf of and for further distribution to Grantee, by wire transfer to such account(s) or location(s) as Agent may direct from time to time in writing.
The Term ORRI shall be free of any expense for exploration, drilling, development, operating, marketing and other costs incident to the production and sale of oil and gas other than Permissible Charges.