Common use of Gross Proceeds Clause in Contracts

Gross Proceeds. For purposes of this Lease, “Gross Proceeds” means the total consideration paid for oil, gas, associated hydrocarbons, and marketable by- products, produced from the Leased Premises or consideration for relinquishing any rights relating to this Lease whether in the form of payments, bonuses, premiums, pre- payments for future production or delivery of production at a future time, or sums paid to compromise claims relating to payment obligations with the following exceptions: (i) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is not owned by Lessee or any Affiliate of Lessee, Lessor’s royalty shall be calculated based upon the consideration paid to Lessee (or any Affiliate of Lessee) from Lessee’s (or Lessee’s Affiliate’s) sale of such liquefiable hydrocarbons and residue gas. (ii) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is owned by Lessee or any Affiliate of Lessee, Lessor’s royalty shall be calculated based on (a) the gross proceeds (without deduction for costs of processing) paid to Lessee (or any Affiliate of Lessee) from the sale of all products extracted from such gas, plus (b) the total consideration paid to Lessee (or any Affiliate of Lessee) from the sale of all residue gas. (iii) If oil or gas production from the Leased Premises is produced in a plant for the extraction of gasoline, hydrocarbons or other products, the value of the Gross Production shall, for purposes of determining royalty due, never be less than if such gas had not been processed. (iv) Lessee shall pay to the Lessor royalty at the applicable royalty rate (paragraph (a)) on any monetary settlement received by Lessee from any breach of contract by Xxxxxx’s purchaser relating to the marketing, pricing, or taking of oil or gas production from the Leased Premises.

Gross Proceeds. For purposes of this Lease, “Gross Proceeds” means the total consideration paid for oil, gas, associated hydrocarbons, and marketable by- productsbyproducts, produced from the Leased Premises or consideration for relinquishing any rights relating to this Lease whether in the form of payments, bonuses, premiums, pre- payments prepayments for future production or delivery of production at a future time, or sums paid to compromise claims relating to payment obligations with the following exceptions: (i) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is not owned by Lessee or any Affiliate of Lessee, Lessor’s royalty shall be calculated based upon the consideration paid to Lessee (or any Affiliate of Lessee) from Lessee’s (or Lessee’s Affiliate’s) sale of such liquefiable hydrocarbons and residue gas. (ii) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is owned by Lessee or any Affiliate of Lessee, Lessor’s royalty shall be calculated based on on (a) the gross proceeds (without deduction for costs of processing) paid to Lessee (or any Affiliate of Lessee) from the sale of all products extracted from such gas, plus (b) the total consideration paid to Lessee (or any Affiliate of Lessee) from the sale of all residue gas. (iii) If oil or gas production from the Leased Premises is produced in a plant for the extraction of gasoline, hydrocarbons or other products, the value of the Gross Production shall, for purposes of determining royalty due, never be less than if such gas had not been processed. (iv) Lessee shall pay to the Lessor royalty at the applicable royalty rate (paragraph (a)) on any monetary settlement received by Lessee from any breach of contract by XxxxxxLessee’s purchaser relating to the marketing, pricing, or taking of oil or gas production from the Leased Premises.

Gross Proceeds. For purposes of this Lease, “Gross Proceeds” means the total consideration paid for oil, gas, casinghead gas, casinghead gasoline, associated hydrocarbons, and marketable by- by-products, produced from the Leased Premises or consideration for relinquishing any rights relating to this Lease whether in the form of payments, bonuses, premiums, pre- pre-payments for future production or delivery of production at a future time, or sums paid to compromise claims relating to payment obligations with the following exceptions: (i) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is not owned by Lessee or any Affiliate of Lessee, Lessor’s royalty shall be calculated based upon the consideration paid to Lessee (or any Affiliate of Lessee) from Lessee’s (or Lessee’s Affiliate’s) sale of such liquefiable hydrocarbons and residue gas. (ii) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is owned by Lessee or any Affiliate of Lessee, Lessor’s royalty shall be calculated based on (a) the gross proceeds (without deduction for costs of processing) paid to Lessee (or any Affiliate of Lessee) from the sale of all products extracted from such gas, plus (b) the total consideration paid to Lessee (or any Affiliate of Lessee) from the sale of all residue gas. (iii) If oil or gas production from the Leased Premises is produced in a plant for the extraction of gasoline, hydrocarbons or other products, the value of the Gross Production shall, for purposes of determining royalty due, never be less than if such gas had not been processed. (iv) Lessee shall pay to the Lessor royalty at the applicable royalty rate (paragraph (a)) on any monetary settlement received by Lessee from any breach of contract by Xxxxxx’s purchaser relating to the marketing, pricing, or taking of oil or gas production from the Leased Premises.

Gross Proceeds. For purposes of this Lease, “Gross Proceeds” means the total consideration paid by the first purchaser which is not an Affiliate of Lessee for oiloil and gas produced from the Leased Premises, gas, associated hydrocarbonsexcept that (1) Lessor's royalty shall bear its proportionate part of severance taxes actually paid by Lessee attributable to production from the Leased Premises, and marketable by- products, (2) no royalty shall be payable on gas used on the Leased Premises for production operations or compression or dehydration of gas produced from the Leased Premises [and (3) Lessor’s royalty shall bear Lessor’s proportionate part of any costs of transporting oil, gas or consideration for relinquishing any rights relating to this Lease whether in the form of payments, bonuses, premiums, pre- payments for future production or delivery of production at a future time, or sums liquid hydrocarbon products paid to compromise claims relating to payment obligations with the following exceptionsany third party which is not an Affiliate of Lessee]. In addition: (i) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is not owned by Lessee or any Affiliate of Lessee, Lessor’s royalty “Gross Proceeds” shall be calculated based upon include (a) the consideration paid to received by Lessee (or any Affiliate of Lessee) from Lessee’s 's (or any Affiliate of Lessee’s Affiliate’s's) sale of such liquefiable hydrocarbons and plus (b) the total consideration received by Lessee (or any Affiliate of Lessee) from the sale of all residue gas, less Lessor's proportionate part of severance taxes thereon. (ii) If gas produced from the Leased Premises is processed for the recovery of liquefiable hydrocarbon products prior to sale, and if such processing plant is owned by Lessee or any an Affiliate of Lessee, Lessor’s royalty “Gross Proceeds” shall be calculated based on include (a) *80% of] the gross proceeds (without deduction for costs of processing) paid to total consideration received by Lessee (or any Affiliate of Lessee) from the sale of all products extracted from such gas, plus (b) the total consideration paid to received by Lessee (or any Affiliate of Lessee) from the sale of all residue gas, less Lessor's proportionate part of severance taxes thereon. (iii) If oil or gas production from the Leased Premises is produced in a plant for the extraction of gasoline, hydrocarbons or other products, the value of the Gross Production shall, for purposes of determining royalty due, never be less than if such gas had not been processed. (iv) Lessee shall pay to the Lessor royalty at the applicable royalty rate (paragraph (a)) on any monetary settlement received by Lessee from any breach of contract by Xxxxxx’s purchaser relating to the marketing, pricing, or taking of oil or gas production from the Leased Premises.