Common use of Lease Financial Terms and Conditions Clause in Contracts

Lease Financial Terms and Conditions. This section provides an overview of the required annual payments and financial assurances under the lease. Please see the proposed lease for more detailed information, including any changes from past practices. a. Rent: Pursuant to 30 CFR 585.224(b) and 585.503, the first year's rent payment of $3 per acre is due within 45-calendar days after the lessee receives the lease copies from BOEM. Thereafter, annual rent payments are due on the anniversary of the effective date of the lease (the "Lease Anniversary"). Once commercial operations under the lease begin, BOEM will charge rent only for the portions of the Lease Area remaining undeveloped (i.e., non-generating acreage). For example, for the 102,557 acres Lease Area of (OCS-G 0XXX), the rent payment would be $307,671 per year until commercial operations begin. If the lessee submits an application for relinquishment of a portion of its leased area within the first 45-calendar days after receiving the lease copies from BOEM and BOEM approves that application, no rent payment would be due on the relinquished portion of the Lease Area. Later relinquishments of any portion of the lease area would reduce the lessee's rent payments starting in the year following XXXX's approval of the relinquishment. The lessee also must pay rent for any project easement associated with the lease. Rent commences on the date that BOEM approves the COP that describes the project easement (or any modification of such COP that affects the easement acreage), as outlined in 30 CFR 585.507. If the COP revision results in increased easement acreage, additional rent would be required at the time the COP revision is approved. Annual rent for a project easement is the greater of $5 per acre per year or $450 per year.

Lease Financial Terms and Conditions. This section provides an overview of the required annual payments and financial assurances under the lease. Please see Potential bidders should review the proposed lease for more detailed information, including any changes from past practices. a. Rent: Pursuant to 30 CFR 585.224(b585.225(f) and 585.503, the first year's ’s rent payment of $3 per acre is due within 45-calendar 45 days after the lessee winning bidder receives a copy of the executed lease from XXXX. Lease area acreage is delineated in Addendum A of the lease copies from BOEMand, if applicable, includes portions of a lease that do not allow surface occupancy. Thereafter, annual rent payments are due on the each anniversary of the effective date of the lease (the "“lease anniversary”) until your lease begins commercial operations. For example, for the 97,854 acres of Lease Anniversary")OCS-A 0562, the rent payment would be $293,562 per year until commercial operations begin. Once commercial operations under the lease begin, BOEM will charge rent only for the portions of the Lease Area lease area remaining undeveloped (i.e., non-generating acreage). For example, for as described in the 102,557 acres Lease Area of (OCS-G 0XXX), the rent payment would be $307,671 per year until commercial operations beginlease. If the lessee submits an application for relinquishment of a portion of its leased area within the first 45-calendar 45 days after receiving the executed lease copies from BOEM and BOEM approves that application, no rent payment would be due on the relinquished portion of the Lease Arealease area. Later relinquishments of any portion of the lease area would reduce the lessee's ’s rent payments starting in the year following XXXX's BOEM’s approval of the relinquishment. A lease issued under 30 CFR part 585 confers on the lessee the right to one or more project easements, without further competition, for the purpose of installing gathering, transmission, and distribution cables, pipelines, and appurtenances on the OCS as necessary for the full enjoyment of the lease. A lessee must apply for the project easement as part of the COP or SAP, as provided under Subpart F of 30 CFR part 585. The lessee also must pay rent for any project easement associated with the lease. Rent commences on the date that BOEM approves the COP that describes the project easement (or any modification of such COP that affects the easement acreage), as outlined in 30 CFR 585.507. Annual rent for a project easement $5 per acre per year, subject to a minimum of $450 per year. If the COP revision results in increased easement acreage, additional rent would be required due at the time the COP revision is approved. Annual rent for a project easement is the greater of $5 per acre per year or $450 per year.

Lease Financial Terms and Conditions. This section provides an overview of the required annual payments and financial assurances assurance under the lease. Please see the proposed lease for more detailed information, including any changes from past practices. a. 1) Rent: Pursuant to 30 CFR 585.224(b) and 585.503, the first year's ’s rent payment of $3 per acre is due within 45-calendar days after the lessee receives the unexecuted lease copies from BOEM. Thereafter, annual rent payments are due on the anniversary of the effective date of the lease (the "“Lease Anniversary"”). Once commercial operations under the lease begin, BOEM will charge rent only for the portions of the Lease Area remaining undeveloped (i.e., non-generating acreage). For example, for the 102,557 61,203 acres of Lease Area of (OCS-G 0XXXP 0566 (Coos Bay), the rent payment would be $307,671 183,609 per year until commercial operations begin. If the lessee submits an application for relinquishment of a portion of its leased area within the first 45-calendar days after receiving the lease copies from BOEM and BOEM approves that application, no rent payment would be due on the relinquished portion of the Lease Area. Later relinquishments of any portion of the lease area Lease Area would reduce the lessee's ’s rent payments starting in the year following XXXX's ’s approval of the relinquishment. A lease issued under this part confers on the lessee the right to one or more project easements, without further competition, for the purpose of installing gathering, transmission, and distribution cables, pipelines, and appurtenances on the OCS as necessary for the full enjoyment of the lease. A lessee must apply for the project easement as part of the COP or SAP, as provided under subpart F of 30 CFR part 585. The lessee also must pay rent for any project easement associated with the lease. Rent commences on the date that BOEM approves the COP that describes the project easement (or any modification of such COP that affects the easement acreage), as outlined in 30 CFR 585.507. If the COP revision results in increased easement acreage, additional rent would be required at the time the COP revision is approved. Annual rent for a project easement is the greater of $5 per acre per year or $450 per year.

Lease Financial Terms and Conditions. This section provides an overview of the required annual payments and financial assurances under the lease. Please see the proposed lease for more detailed information, including any changes from past practices. a. Rent: Pursuant to 30 CFR 585.224(b) and 585.503, the first year's ’s rent payment of $3 per acre is due within 45-calendar 45 days after the lessee receives the unexecuted lease copies from BOEM. Lease area acreage is delineated in Addendum A of the lease and, if applicable, includes portions of a lease that do not allow surface occupancy. Thereafter, annual rent payments are due on the anniversary of the effective date of the lease (the "“Lease Anniversary"”). Once commercial operations under the lease begin, BOEM XXXX will charge rent only for the portions of the Lease Area remaining undeveloped (i.e., non-generating acreage), as described in the lease. For example, for the 102,557 121,339 acres of Lease Area of (OCS-G 0XXX)A 0562, the rent payment would be $307,671 364,017 per year until commercial operations begin. If the lessee submits an application for relinquishment of a portion of its leased area within the first 45-calendar 45 days after receiving the lease copies from BOEM and BOEM approves that application, no rent payment would be due on the relinquished portion of the Lease Area. Later relinquishments of any portion of the lease area Lease Area would reduce the lessee's ’s rent payments starting in the year following XXXX's ’s approval of the relinquishment. A lease issued under this part confers on the Lessee the right to one or more project easements, without further competition, for the purpose of installing gathering, transmission, and distribution cables, pipelines, and appurtenances on the OCS as necessary for the full enjoyment of the lease. A Lessee must apply for the project easement as part of the COP or SAP, as provided under subpart F of 30 CFR part 585. The lessee also must pay rent for any project easement associated with the lease. Rent commences on the date that BOEM approves the COP that describes the project easement (or any modification of such COP that affects the easement acreage), as outlined in 30 CFR 585.507. If the COP revision results in increased easement acreage, additional rent would be required due at the time the COP revision is approved. Annual rent for a project easement is the greater of $5 per acre per year or $450 per year.