Common use of General and Administrative Costs Clause in Contracts

General and Administrative Costs. General and Administrative Costs are expenditures incurred on general administration and management primarily and principally related to Petroleum Operations in or in connection with the Contract Area, and shall include: 2.6.1 main office, field office and general administrative expenditures in Bangladesh including supervisory, accounting and employee relations services; 2.6.2 an annual overhead charge for services rendered by the parent company or an Affiliate to support and manage Petroleum Operations under this Contract, and for staff advice and assistance including financial, legal, accounting and employee relations services, but excluding any remuneration for services charged separately under this Accounting Procedure, provided that:- (i) for the period from the Effective Date until the date on which the first Development Plan under this Contract is approved by the Government, this annual charge shall be the Contractor’s verifiable expenditure but shall in no event be greater than the following percentages of the total Yearly Expenditure incurred during the Contract Year in or in connection with the Contract Area and qualifying for recovery pursuant to Section 3 herein: Yearly Expenditure in any Contract year (in million US$) Annual overhead charge over 5 1% of Yearly Expenditure in excess of US$ 5 million (ii) from the date on which the first Development Plan is approved, the charge shall be at an amount or rate to be agreed on between the Parties and stated in the Development Plan. 2.6.3 All General and Administrative Costs shall be regularly allocated as specified in Sections 2.2.5, 2.3.5 and 2.4 to Exploration Costs, Development Costs and Production Costs respectively, and shall be separately shown under each of these cost categories.

General and Administrative Costs. General and Administrative Costs are expenditures incurred on general administration and management primarily and principally related to Petroleum Operations in or in connection with the Contract Area, and shall include: 2.6.1 main office, field office and general administrative expenditures in Bangladesh India including supervisory, accounting and employee relations services; 2.6.2 an annual overhead charge for services rendered by the parent company or an Affiliate to support and manage Petroleum Operations under this the Contract, and for staff advice and assistance including financial, legal, accounting and employee relations services, but excluding any remuneration for services charged separately under this Accounting Procedure, provided that:- (i) for the period from the Effective Date until the date on which the first Development Plan under this the Contract is approved by the Government, this annual charge shall be the Contractor’s verifiable expenditure but shall in no event be greater than the following percentages of the total Yearly Expenditure Contract Costs incurred during the Contract Year in or in connection with the Contract Area and qualifying for recovery pursuant to Section 3 herein3: Yearly Expenditure Over 2-5 US $60,000 + 2% of Contract Costs in any Contract year (in million US$) Annual overhead charge over excess of US $2 million. Over 5 US $120,000 + 1% of Yearly Expenditure Contract Costs in excess of US$ US $5 million (ii) from the date on which the first Development Plan is approved, the charge shall be at an amount or rate to be agreed on between the Parties and stated in the Development Plan. 2.6.3 All General and Administrative Costs shall be regularly allocated as specified in Sections 2.2.5, 2.3.5 and 2.4 to Exploration Costs, Development Costs and Production Costs respectively, and shall be separately shown under each of these cost categories.

General and Administrative Costs. General and Administrative Costs are expenditures incurred on general administration and management primarily and principally related to Petroleum Operations in or in connection with the Contract Area, and shall include: 2.6.1 main office, field office and general administrative expenditures in Bangladesh India including supervisory, accounting and employee relations services; 2.6.2 an annual overhead charge for services rendered by the parent company or an Affiliate to support and manage Petroleum Operations under this the Contract, and for staff advice and assistance including financial, legal, accounting and employee relations services, but excluding any remuneration for services charged separately under this Accounting Procedure, provided that:- (i) for the period from the Effective Date until the date on which the first Development Plan under this the Contract is approved by the Government, this annual charge shall be the Contractor’s 's verifiable expenditure but shall in no event be greater than the following percentages of the total Yearly Expenditure Contract Costs incurred during the Contract Year in or in connection with the Contract Area and qualifying for recovery pursuant to Section 3 herein3: Yearly Expenditure 0-23% Over 2-5 US $ 60,000 + 2% of Contract Costs in any Contract year (in million US$) Annual overhead charge over excess of US $ 2 million. Over 5 US $ 120,000 + 1% of Yearly Expenditure Contract Costs in excess of US$ US $ 5 million (ii) from the date on which the first Development Plan is approved, the charge shall be at an amount or rate to be agreed on between the Parties and stated in the Development Plan. 2.6.3 All General and Administrative Costs shall be regularly allocated as specified in Sections 2.2.5, 2.3.5 and 2.4 to Exploration Costs, Development Costs and Production Costs respectively, and shall be separately shown under each of these cost categories.

General and Administrative Costs. General and Administrative Costs are expenditures incurred on general administration and management primarily and principally related to Petroleum Operations in or in connection with the Contract Area, and shall include: 2.6.1 main office, field office and general administrative expenditures in Bangladesh India including supervisory, accounting and employee relations services; 2.6.2 an annual overhead charge for services rendered by the parent company or an Affiliate to support and manage Petroleum Operations under this the Contract, and for staff advice and assistance including financial, legal, accounting and employee relations services, but excluding any remuneration for services charged separately under this Accounting Procedure, provided that:- (i) for the period from the Effective Date until the date on which the first Development Plan under this the Contract is approved by the Government, this annual charge shall be the Contractor’s verifiable expenditure but shall in no event be greater than the following percentages of the total Yearly Expenditure Contract Costs incurred during the Contract Year in or in connection with the Contract Area and qualifying for recovery pursuant to Section 3 herein3: Yearly Expenditure Contract costs in any Contract year (in million US$) 0-2 Over 2-5 Over 5 Annual overhead charge over 5 3% US $60,000 + 2% of Contract Costs in excess of US $2 million. US $120,000 + 1% of Yearly Expenditure Contract Costs in excess of US$ US $5 million (ii) from the date on which the first Development Plan is approved, the charge shall be at an amount or rate to be agreed on between the Parties and stated in the Development Plan. 2.6.3 All General and Administrative Costs shall be regularly allocated as specified in Sections 2.2.5, 2.3.5 and 2.4 to Exploration Costs, Development Costs and Production Costs respectively, and shall be separately shown under each of these cost categories.

General and Administrative Costs. General and Administrative Costs are expenditures incurred on general administration and management primarily and principally related to Petroleum Operations in or in connection with the Contract Area, and shall include: 2.6.1 main Main office, field office and general administrative expenditures in Bangladesh India including supervisory, accounting and employee relations services; 2.6.2 an An annual overhead charge for services rendered by the parent company or an Affiliate to support and manage Petroleum Operations under this the Contract, and for staff advice and assistance including financial, legal, accounting and employee relations services, but excluding any remuneration for services charged separately under this Accounting Procedure, provided that:- (i) for the period from the Effective Date until the date on which the first Development Plan under this the Contract is approved by the Government, this annual charge shall be the Contractor’s 's verifiable expenditure but shall in no event be greater than the following percentages of the total Yearly Expenditure Contract Costs incurred during the Contract Year in or in connection with the Contract Area and qualifying for recovery pursuant to Section 3 herein3: Yearly Expenditure 0-23% Over 2-5US $ 60,000 + 2% of Contract Costs in any Contract year (in million US$) Annual overhead charge over 5 excess of US $ 2 million. Over 5US $ 120,000 + 1% of Yearly Expenditure Contract Costs in excess of US$ US $ 5 million (ii) from the date on which the first Development Plan is approved, the charge shall be at an amount or rate to be agreed on between the Parties and stated in the Development Plan. 2.6.3 All General and Administrative Costs shall be regularly allocated as specified in Sections 2.2.5, 2.3.5 and 2.4 to Exploration Costs, Development Costs and Production Costs respectively, and shall be separately shown under each of these cost categories.