DISPOSAL OF PRODUCTION. 1. Each party shall separately own, take in kind and dispose of its participating interest share of that portion of the petroleum produced and saved from the participation area to which the Contractor is entitled under clause 27 of the Contract.
2. Within six (6) months following the signing of this Participation Agreement, the parties shall, in accordance with the provisions of the Contract and in light of the gathering and transportation facilities available under the adopted development plan, in good faith establish a set of rules governing the scheduling, lifting and other necessary provisions for the crude oil offtakes of the parties, consistent with good international petroleum industry practice, which shall provide, among other things, such detailed terms and procedures as required for-
(a) Short-term production forecasts;
(b) Nomination and calculation of entitlements; (c) Scheduling of deliveries;
DISPOSAL OF PRODUCTION. 1. Each party shall separately own, take in kind and dispose of its participating interest share of that portion of the petroleum produced and saved from the participation area to which the Contractor is entitled under clause 27 of the Contract.
2. Within six (6) months following the signing of this Participation Agreement, the parties shall, in accordance with the provisions of the Contract and in light of the gathering and transportation facilities available under the adopted development plan, in good faith establish a set of rules governing the scheduling, lifting and other necessary provisions for the crude oil offtakes of the parties, consistent with good international petroleum industry practice, which shall provide, among other things, such detailed terms and procedures as required for-
(a) Short-term production forecasts;
(b) Nomination and calculation of entitlements;
(c) Scheduling of deliveries;
(d) Lifting tolerances;
(e) Under lift, over lift and make-up provisions;
(f) Passage of title and risk;
(g) Penalties assessable to the Parties which cause shut-in or reductions of production; and
(h) Other related matters. Whatever is mutually agreed by the Parties shall be deemed to form part of this Participation Agreement. The above terms and procedures shall apply separately to each grade of crude oil that is segregated and separately stored for off take. Draft Production Sharing Contract Block L28 Ministry of Energy Page 85
DISPOSAL OF PRODUCTION. Each of the Parties shall have the right to take in kind at the delivery point and separately dispose of its share of the total quantities of production available under this Agreement. The Contractor shall have the right to use as much production as may be needed in any petroleum operations within the contract area and also within the transportation and terminal system. In the event of third party usage of the transportation terminal systems the quantities so used or lost outside the contract area shall be proportionate to aggregate use of that transportation and terminal system. All quantities so used or lost shall be excluded from any calculations of entitlement pursuant to Article 11. The quantity of production to which the Minister is entitled pursuant to Article 11 shall be measured and delivered to the Minister at the delivery point and the Minister shall be responsible for all costs and risks associated with the Minister's lifting entitlement from and after the delivery point. Within twelve (12) months after the Minister's approval of a development plan, or within a later period as may be agreed between the Parties but in any event no longer than three (3) months before the first scheduled lifting of crude oil, the Contractor shall propose to the Minister offtake procedures to govern the method whereby the Parties will nominate and lift their respective shares of crude oil. The details of such procedures shall be discussed and agreed upon between Minister and Contractor. The major principles of such procedures shall include the following - lifting shall be carried out so as to avoid interference with petroleum operations. 55 in the event that any Party shall find itself unable for any reason to lift such quantities of crude oil as are to be lifted in accordance with procedures it shall forthwith notify the other Parties to that effect. Such procedures shall include such deterrents as the Parties may agree, to prevent a Party from delaying the lifting of any quantities of crude oil not so lifted, to a later period; and in the absence of any agreement to the contrary between the Parties, the Contractor and the Minister shall share in each type of grade of crude oil in proportion to their respective lifting entitlement. The Contractor shall, if requested by the Minister, use reasonable efforts to market abroad on competitive terms all or part of the Minister's lifting entitlement subject to payment by Minister of costs normally borne by a seller in suc...
DISPOSAL OF PRODUCTION. 1. Each party shall separately own, take in kind and dispose of its participating interest share of that portion of the petroleum produced and saved from the participation area to which the Contractor is entitled under clause 27 of the Contract.
2. Within six (6) months following the signing of this Participation Agreement, the parties shall, in accordance with the provisions of the Contract and in light of the gathering and transportation facilities available under the adopted development plan, in good faith establish a set of rules governing the scheduling, lifting and other necessary provisions for the crude oil offtakes of the parties, consistent with good international petroleum industry practice, which shall provide, among other things, such detailed terms and procedures as required for-
(a) Short-term production forecasts;
(b) Nomination and calculation of entitlements;
(c) Scheduling of deliveries;
(d) Lifting tolerances;
(e) Under lift, over lift and make-up provisions;
(f) Passage of title and risk;
(g) Penalties assessable to the Parties which cause shut-in or reductions of production; and
(h) Other related matters. Whatever is mutually agreed by the Parties shall be deemed to form part of this Participation Agreement. The above terms and procedures shall apply separately to each grade of crude oil that is segregated and separately stored for off take.
3. The Government may request from time to time that the Contractor purchase all or part of the Government's participating interest share of crude oil. The Contractor shall use its best efforts to comply with this request but in the event that the Contractor is not able to take such crude oil, then the Contractor will assist the Government in good faith to market such crude oil at the best price, terms and conditions available in the international market for the sale of such crude oil.
4. In the event of production of associated natural gas or of any discovery of natural gas, the parties shall agree upon appropriate procedures for disposal of any natural gas available under this Participation Agreement and the Contract.
DISPOSAL OF PRODUCTION. 22.1 Facilities to Take In Kind 30 22.2 Duty to Take In Kind 30 22.3 Failure to Take In Kind 30 22.4 Expenses of Delivery In Kind 31 22.5 Gas Balancing Agreement 31 ARTICLE 23 APPLICABLE LAW 23.1 Applicable Law 31 ARTICLE 24 LAWS, REGULATIONS AND NON-DISCRIMINATION
24.1 Laws and Regulations 31 24.2 Non-Discrimination 31 ARTICLE 25 FORCE MAJEURE 25.1 Force Majeure 31 25.2 Notice 31 ARTICLE 26 SUCCESSORS, ASSIGNS AND PREFERENTIAL RIGHT TO PURCHASE 26.1 Successors and Assigns 31 26.2 Preferential Right to Purchase 31 26.3 Transfer of Interest 32 26.4 Assignments 32 ARTICLE 27 TERM 27.1 Term 32 ARTICLE 28 EXECUTION 28.1 Counterpart Execution 33 Signatures 33 OFFSHORE OPERATING AGREEMENT THIS AGREEMENT, made effective the 13th day of September, 2004, by the signatories hereof, herein referred to collectively as "Parties" and individually as "Party".
DISPOSAL OF PRODUCTION. 27.1 Each Calendar Year, up to a total of ten percent (10%) of the share of Crude Oil Production to which the Contractor is entitled, shall be sold to NOCAL by the Contractor for the purpose of satisfying the needs of the domestic market of Liberia. Such contribution of the Contractor shall be in proportion to its share of production, in the total Crude Oil Production in Liberia. The quantity of Crude Oil the Contractor shall be obligated to sell to NOCAL shall be notified to it by NOCAL at least three (3) months prior to the beginning of each calendar quarter.
27.2 The price of the Crude Oil sold to NOCAL under Article 28.1 for the needs of the domestic market shall be the Market Price defined in Article 18. That Crude Oil price shall be payable to the Contractor in Dollars two (2) months after receipt of the invoice unless otherwise agreed between the parties.
27.3 The transfer of title to, and risk of, the share of Petroleum production to which each party is entitled shall be made at the Delivery Point, or at any other transfer point agreed between the Parties.
DISPOSAL OF PRODUCTION. 27.1 Each Calendar Year, up to a total of ten percent (10%) of the share of Crude Oil production to which the Contractor is entitled, shall be sold to NOCAL by the Contractor for the purpose of satisfying the needs of the domestic market of Liberia. Such contribution of the Contractor shall be in proportion of its share of production to the total Crude Oil production in Liberia. The quantity of Crude Oil the Contractor shall be obligated to sell to NOCAL shall be notified to it by NOCAL at least three (3) months prior to the beginning of each Calendar Quarter.
27.2 The price of the Crude Oil sold to NOCAL under Article 27.1 for the needs of the domestic market shall be the Market Price for the month in which the sale occurred as determined pursuant to Article 18. That Crude Oil price shall be payable to the Contractor in Dollars not later than thirty (30) days after receipt of the invoice unless otherwise agreed between NOCAL and the Contractor. The provisions of 18.6 shall be applicable if payment is due under this Article 27.2 prior to the final determination of the Market Price for such sale under Article 18.
27.3 The transfer of title to, and risk of, the share of Petroleum production to which NOCAL and the Persons participating in the Contractor are entitled shall be made at the Delivery Point. The Contractor shall insure against risk of loss in regard to shipments of any Petroleum sold for the account of NOCAL or the State, other than when such risk of loss passes to the purchaser at the Delivery Point and such insurance costs shall constitute Petroleum Costs.
27.4 Except where XXXXX has elected or is deemed to have elected to receive cash as provided in Articles 16.7 and 16.8, NOCAL and each of the Persons participating in the Contractor shall have the right and obligation to dispose of and lift the share of Petroleum to which it is entitled under this Contract. Such share shall be lifted on as regular a basis as possible, it being understood that NOCAL and each of the Persons participating in the Contractor, within reasonable limits, will be authorized to lift more (overlift) or less (underlift) than its share of Petroleum produced and unlifted by the lifting day to the extent that such overlift or underlift does not infringe on the rights of the other Party and is compatible with the Field production rate and the storage capacity of the facilities. In the establishment of the sequence of liftings, priority will be given to whichever of NOCAL and t...
DISPOSAL OF PRODUCTION. Each Party shall separately own, take in kind and dispose of its Participating Interest share of that portion of the Petroleum produced and saved from the Participation Area to which the Contractor is entitled under clause 9.3 of the Agreement. Within [six] months following the signing of this Participation Agreement, the Parties shall, in accordance with the provisions of the Agreement and in light of the gathering and transportation facilities available under the adopted Development Plan, in good faith establish a set of rules governing the scheduling, lifting and other necessary provisions for the Crude Oil offtakes of the Parties, consistent with the Best Petroleum Industry Practice, which shall provide, among other things, such detailed terms and procedures as required for: short-term Production forecasts; nominations and calculation of entitlements; scheduling of deliveries; lifting tolerances; underlift, overlift and make-up provisions; passage of title and risk; penalties assessable to the Parties which cause shut-in or reductions of Production; and other related matters. Whatever is mutually agreed by the Parties shall be deemed to form part of this Participation Agreement. The above terms and procedures shall apply separately to each grade of Crude Oil that is segregated and separately stored for off-take.
DISPOSAL OF PRODUCTION. Each party shall separately own, take in kind and dispose of its participating interest share of that portion of the petroleum produced and saved from the participation area to which the Contractor is entitled under clause 27 of the Contract.
DISPOSAL OF PRODUCTION. Except as expressly provided in Article 13.1(d)(iv) concerning the risk of loss of Petroleum production, the transfer of title and possession to each Contractor Party and SOCAR of the share of the Petroleum production to which such Contractor Party and SOCAR is entitled shall be made at the Delivery Point.
