Aluminium Offtake Clause Samples
Aluminium Offtake. (a) The Parties (or one of their respective Affiliates), the Smelting Company and the Rolling Company will enter into the Cast House Users’ Agreement substantially in the form of Schedule 6 under which the Smelting Company will co-ordinate the provision of cast house services, including to the Rolling Company.
(b) Subject to paragraph (c) below, the Parties or such of their respective Affiliates shall each enter into an offtake agreement with the Smelting Company in the Agreed Form in accordance with the timeline for execution specified in Schedule 9, for the purchase of their pro rata share (based on their Shareholder Percentage) of each type of Aluminium product produced by the Smelting Company.
(c) The Parties shall procure that the Smelting Company shall allocate such quantities of Aluminium to the Rolling Company as are required for the operation of the Rolling Mill and such allocated quantities shall be taken to reduce the amount of Aluminium provided by the Smelting Company and available to Parties pursuant to paragraph (b) above.
(d) In the event that the Parties fail to achieve the milestone dates relating to the Rolling Mill as indicated in Schedule 15, the Parties acknowledge that the Smelting Company will be required to allocate 275,000 tpa of Aluminium to other entities determined by the Ministry of Petroleum in accordance with the Gas Allocation Letter. Such allocation shall be divided pro rata to each Parties’ Shareholder Percentage and each Party shall be obliged to sell such amount of Aluminium at a price equal to the full cost of production to such entities determined by the Ministry of Petroleum.
(e) The Parties shall use their reasonable efforts to (i) assist the Smelting Company in obtaining the required LME registration for Aluminium to be produced by it, and (ii) ensure that such registration is obtained in a timely manner. Each Party shall bear its own costs in relation to assisting the Smelting Company in obtaining the LME registration pursuant to this Clause 5.4.
Aluminium Offtake. (a) The Parties (or one of their respective Affiliates), MAC and MRC have entered into the Cast House Users' Agreement under which MAC will co-ordinate the provision of cast house services, including to MRC.
(b) Subject to paragraph (c) below, the Parties or such of their respective Affiliates have entered into an offtake agreement with MAC for the purchase of their pro rata share (based on their Shareholder Percentage in relation to MAC) of Aluminium.
(c) The Parties shall procure that MAC shall allocate such quantities of Aluminium to MRC as are required for the operation of the Rolling Mill pursuant to the MRC APA for so long as such agreement remains in force, and such allocated quantities shall be taken to reduce the amount of Aluminium provided by MAC and available to Parties pursuant to paragraph (b) above.
(d) [INTENTIONALLY OMITTED].
(e) The Parties shall use their reasonable efforts to (i) assist MAC in obtaining the required LME registration for Aluminium to be produced by it, and (ii) ensure that such registration is obtained in a timely manner. Each Party shall bear its own costs in relation to assisting MAC in obtaining the LME registration pursuant to this Clause 5.4.