EXPLORATION PROGRAMS. 4.01 The Operator shall prepare draft Programs for consideration by the Optionee. Unless otherwise agreed to by the Optionee, each Program shall cover a calendar year. The draft Program shall contain a statement in reasonable detail of the proposed Mining Operations, estimates of all Costs to be incurred and an estimate of the time when they will be incurred, and shall be delivered to the Optionee by no later than March 1st of each year to which the draft Program relates. Each draft Program shall be accompanied by such reports and data as are reasonably necessary for the Optionee to evaluate and assess the results from the Program for the then current year and, to the extent not previously delivered, from earlier Programs.
4.02 The Optionee shall review the draft Program prepared and, if it deems fit, adopt the Program with such modifications, if any, as the Optionee deems necessary. The Operator shall be entitled to an allowance for Cost overruns of 10 percent in addition to any budgeted Costs and any Costs so incurred shall be deemed to be included in the Program, as adopted.
4.03 The Operator shall be entitled to invoice the Optionee:
(a) no more frequently than monthly, for the Costs incurred and paid by the Operator in carrying out a Program; or
(b) not more than 120 days in advance of requirements, for an advance of the Costs estimated to be incurred and paid by the Operator in carrying out a Program or portion thereof. Each invoice shall be signed by an officer of the Operator. The Optionee shall pay to the Operator the amount invoiced within 20 days of receipt of the invoice. If the Optionee protests the correctness of an invoice it shall nevertheless be required to make the payment.
4.04 If the Optionee fails to pay an invoice within the 20-day period referred to in Section 4.03, the Optionee shall be deemed to have elected to terminate the Program then in effect, and accordingly, the Operator shall have no further obligations under this Agreement in respect of that Program.
4.05 If the Operator suspends or prematurely terminates a Program, any funds advanced by a Participant in excess of Costs incurred prior to the suspension or premature termination shall be refunded within 30 days of the suspension or premature termination. Unless approved by the Optionee, the Operator shall be exclusively liable for the payment of all Costs incurred in excess of 110 percent of any budgeted Costs.
4.06 Unless otherwise directed by the Optionee, the Operator may...
EXPLORATION PROGRAMS. The JVC's geologists and/or engineers shall carry out Board approved Exploration Programs in compliance with the Operating Schedules. Where Exploration Programs are carried on without third party participation, the JVC's engineers and or geologists shall act under the leadership of the General Manager and Deputy General Manager. Where Exploration Programs are carried on with third party participation, the JVC's engineers and/or geologist, General Manager and Deputy General Manager shall act in cooperation with or under the supervision of the third party's engineers and geologists in accordance with the Exploration Programs and Operating Schedules approved by the Board of Directors.
EXPLORATION PROGRAMS. The Operator is to propose draft Programs of exploration for Board approval. Each party may elect to contribute its proportionate share of the costs of the approved Program. Unless otherwise approved, contributions will be made by way of equity in Holdco. If a party elects not to contribute, the parties’ respective shareholdings in Holdco will be adjusted as contemplated in paragraph , so that their percentage shareholdings are proportionate to their initial contribution to Holdco’s capital as contemplated in paragraph and its subsequent contributions compared to the total contributions to Holdco’s capital by both parties. However, if a Program to which a party elected not to contribute is completed or terminated with less than 80% of the budgeted costs having been incurred, the non-contributing party will be given notice thereof, including the results of the Program, and it may within 30 days elect to contribute its proportionate share based on its prior shareholding.
EXPLORATION PROGRAMS. 20.1 Prior to a Production Decision, the Operator shall propose draft work programs by February 28 of each year for Management Committee approval and shall carry out approved work programs and budgets (“Work Programs”). Any Feasibility Study (as defined in §22.2) shall be prepared under a separate Work Program and shall be for such term as the Operator feels is appropriate for the completion of such Feasibility Study.
20.2 Each party may, within 60 days of Management Committee approval, elect to contribute its proportionate share of the Costs required to conduct each Work Program. If a party (a “Non-Contributor”) elects or is deemed to have elected not to contribute its proportionate share of a Work Program, the other party (a “Contributor”) that has elected to contribute its proportionate share of the Work Program may give Notice to the Operator and the Non-Contributor stating that it will contribute, in addition to its own proportionate share, the proportionate share of the Non-Contributor.
20.3 Prior to a Production Decision, if a party elects not to contribute its pro-rata share of Costs of a Work Program or Feasibility Study, the other parties may contribute such shortfall pro-rata to their interests and if another party contributes to the shortfall thereby created, the interests of the parties shall be adjusted according to §16.4 so that each party holds an interest in the Joint Venture proportionate to its deemed and actual contributions. However, if any Work Program is completed with less than 80% of the budgeted Costs having been incurred, the non-contributing party may contribute, within 30 days of completion of the Work Program, its proportionate share of the actual Costs incurred and thereby maintain its interest.
20.4 Subject to §21.1, the Operator will not proceed with any Work Program which is not fully subscribed. If the parties fully subscribe to a Work Program, the Operator will proceed with such Work Program.
20.5 If any party dilutes its interest to less than 10% in the Joint Venture, its interest shall then be automatically converted to a royalty of 5% net profit interest on the Property (the “NPI Royalty”), as further defined in Schedule C and except for the NPI Royalty it will cease to have any further rights, title or interest under this Agreement.
20.6 The Operator may invoice for exploration Costs incurred or to cash call reasonably in advance of requirements. If a party has elected to contribute to a Work Program and does not pay...
EXPLORATION PROGRAMS. 4.1. The Operator shall prepare draft Programs for consideration by Sunburst de Mexico. Unless otherwise agreed to by Sunburst de Mexico, each Program shall cover a period of six months. The draft Program shall contain a statement in reasonable detail of the proposed Mining Operations, estimates of all Exploration Costs to be incurred and an estimate of the time when they will be incurred, and shall be delivered to Sunburst de Mexico by no later than 60 days prior to the period to which the draft Program relates. Each draft Program shall be accompanied by such reports and data as are reasonably necessary for Sunburst de Mexico to evaluate and assess the results from the Program for the then current six-month period and, to the extent not previously delivered, from earlier Programs.
4.2. Sunburst de Mexico shall review the draft Program prepared and, if it deems fit, adopt the Program, with such modifications, if any, as Sunburst de Mexico deems necessary. The Operator shall be entitled to an allowance for a Cost overrun of 10 percent, in addition to any budgeted Exploration Costs, and any Costs so incurred shall be deemed to be included in the Program, as adopted.
4.3. On the basis of the approved Program and Budget, the Operator shall submit to Sunburst de Mexico prior to the last day of each month, a billing for estimated cash requirements for the next month. Within 10 days after receipt of each billing, Sunburst de Mexico shall advance to the Operator the estimated amount. The Operator shall promptly submit to Sunburst de Mexico xxxxxxxx for all other authorized expenditures as they are incurred. Time is of the essence in payment of such xxxxxxxx.
4.4. If the Operator suspends or prematurely terminates a Program, any funds advanced in excess of Exploration Costs incurred prior to the suspension or premature termination shall be refunded to Sunburst de Mexico within 60 days of the suspension or premature termination. Unless approved by Sunburst de Mexico, the Operator shall be exclusively liable for the payment of all Costs incurred in excess of 110 percent of any budgeted Exploration Costs.
4.5. Unless otherwise directed by Sunburst de Mexico, the Operator may suspend or terminate prematurely any Program when the Operator, in good faith, considers that conditions are not suitable for the proper continuation or completion of the Program or the results obtained to that time eliminate or substantially impair the technical rationale on which the Program was...
EXPLORATION PROGRAMS. 3.1 ICONET or its duly authorized representatives shall have full conduct of all exploration programs on the Property prior to the time that the Option is exercised.
3.2 All work performed by Iconet or its representatives shall be performed in a miner-like manner and shall comply with all laws, regulations and permitting requirements of Canada and the Province of Ontario, including compliance with all:
(a) environmental statutes, guidelines and regulations;
(b) work permit conditions for lakes and streams; and
(c) work restrictions relating to forest fire hazards.
EXPLORATION PROGRAMS. 24.1 The Operator is to propose draft exploration programs for Board approval and carry out approved programs. Each party may elect to contribute its proportionate share of the costs of the approved program. Unless otherwise approved, contributions will be made by way of equity in Holdco. If a party elects not to contribute, the parties’ respective percentage shareholdings in Holdco will be adjusted as contemplated in §28, so that their percentage shareholdings are proportionate to their initial contribution to Holdco’ s capital as contemplated in §20 and its subsequent contributions compared to the total contributions to Holdco’ s capital by both parties. If any party’ s percentage shareholding in Holdco falls below 10%, such party shall be deemed to have assigned and conveyed its shares in Holdco and rights under this Agreement to the other party and in return it will receive a royalty after payback of capital costs equal to 1% of net smelter returns defined and to be calculated and paid as set out in Schedule “ Error! Reference source not found.”. However, if a program to which a party elected not to contribute is completed or terminated with less than 80% of the budgeted costs having been incurred, the non- contributing party will be given Notice thereof, including the results of the program, and it may within 30 days elect to contribute its proportionate share based on its prior shareholding.
EXPLORATION PROGRAMS. 3.1 The OPTIONEE will act as the Operator of any exploration program (“Work Programs”) under the direction of an operating committee comprised of one member appointed by XXXXXX and one member appointed by the OPTIONEE prior to the time that the Option is exercised. The OPTIONEE, in its role as Operator, will perform its exploration and development work on the property comprising the Mineral Claims in accordance with good mining practice and shall comply with all applicable laws and regulations.
3.2 During the Option Period, the OPTIONEE shall at all times occupy, manage and use the Mineral Claims in full compliance with all Environmental Laws. In this
EXPLORATION PROGRAMS. Draft Programs submitted by the Manager to the Parties contain a statement in reasonable detail of the proposed Program and estimates of all Exploration Costs to be incurred. Each Party shall, within thirty (30) days of receipt of the Program, give notice to the Manager committing to contribute its Proportionate Share of the Exploration Costs of that Program
EXPLORATION PROGRAMS. Programs of exploration will be approved by the Management Committee and carried out by the Operator. Each party may elect to contribute its proportionate share of the costs required to conduct an approved exploration program. If a party elects not to contribute its share of costs (and the other party elects to contribute to the shortfall which has been created thereby), the interests of the parties will be adjusted so that each party holds an interest which is proportionate to its actual and deemed contribution to the total actual and deemed costs. However, if Cominco has exercised the first option and Minera Andes has elected under paragraph 6(a), then twice prior to the approval of a program to commence a feasibility study, if Minera Andes elected not to contribute to a program, Minera Andes may avoid the dilution it would have suffered to its interest on account of that program. To do so, Minera Andes may, within 30 days of receiving Cominco's report on the program and statement of expenditures, pay Cominco an amount which is two times the amount which would have been Minera Andes' share of program costs if Minera Andes had elected to contribute in the first instance. If Minera Andes' interest is reduced to less than 20% as a result of adjustment pursuant to this paragraph, it shall be deemed to have surrendered its interest to Cominco and withdrawn from the joint venture and in consideration for that surrender it will receive a 20% deferred carried interest as contemplated in paragraph 18.
