Lesser Interest. Pursuant to the Implementation Agreement, immediately prior to the execution of this Deed, Grantee and certain affiliates of Grantee contributed the Properties to Grantors (or are holding certain of the Properties in trust for Grantors pursuant to the Implementation Agreement). Grantors and Grantee agree that Grantee and such affiliates did not own the entire undivided interest in and to all of the Properties. Grantors and Grantee further agree that the Gold Royalty and the Copper Royalty shall only be paid and achievement of the Gold Threshold Amount and the Copper Threshold Amount will only be determined on the basis of Grantors’ proportionate share of gold and copper production from the Properties as contributed by Grantee or such affiliates (or held in trust) as of the Effective Date of this Deed, subject to amendment of this Deed in accordance with Section 6(e) below. For clarity, if Grantee or its affiliates owned and contributed to Grantors an undivided 75% interest in the gold and copper produced from a portion of the Properties, then the Gold Royalty and the Copper Royalty will be paid, and the applicable Threshold Amounts will be determined based only on 75% of the gold and copper production from such portion of the Properties. The Royalties will not be paid and the Threshold Amounts will not be determined on production from any property not contributed to Grantors by Grantee or its affiliates pursuant to the Implementation Agreement or the Agreement.
Lesser Interest. If Lessors’ mineral ownership interest in any of the Premises from which production is made is less than 100%, then the production royalty payable pursuant to Section 3.B shall be payable only as to the share of production that is attributable to Lessors’ actual mineral ownership interest in the portion of the Premises from which such production is made. Such reductions in payments shall not waive or eliminate any other rights or remedies Lessee may have in connection with the extent of Lessors’ actual mineral interest in the Premises. The annual lease payments set forth in Section 3.A shall be prorated to reflect this lesser interest.
Lesser Interest. If GRANTOR conveys, leases or subleases less than a 100% interest in and to the Coal in, on, and underlying the tracts in question, the overriding royalty payments to GRANTOR shall be reduced in proportion to which any such partial undivided interest bears to the whole; provided, however, that GRANTEE agrees that any coal mined under the Cyprus Creek & Duncan #9 Lease and Sublease shall be subject to the $3.25 per ton overriding royalty unless the combined leased and subleased interest in the Cyprus Creek & Duncan #9 Lease and Sublease shall be less than a cumulative 100% interest in and to the Coal in, on and underlying the tracts described therein. In the event the Cyprus Creek & Duncan #9 Lease and Sublease leases and subleases less than a 100% interest in and to the Coal underlying any tract, then the overriding royalty payments to GRANTOR hereunder for any such tract shall be reduced in proportion to which any such partial undivided interest bears to the whole.
Lesser Interest. If Owner owns an interest in the Property which is less than the entire and undivided estate in the Property, the Minimum Payments and the Purchase Price shall not be reduced, however, the Royalty payments shall be reduced proportionately in accordance with the nature and extent of Owner’s interest such that the Royalty payments shall be paid to Owner only in the proportion that Owner’s interest bears to the entire and undivided estate in the portion of the Property from which Minerals are produced.
Lesser Interest. If the rights and title granted hereunder are less than the rights and full undivided title to the Property as represented in Section 2, then: (a) all payments to be made to the Owner hereunder shall be reduced to the same proportion thereof as the undivided rights and title granted hereunder; and (2) TRC shall be entitled to offset, against subsequent advance minimum royalties and Royalty payments payable to Owner under this Agreement, the amount of all payments made to Owner in excess of Owner’s proper proportionate share prior to such time as it is determined that Owner owns less than the full undivided title to the Property.
Lesser Interest. If the Lessor or any party Lessor owns a lesser interest in the geothermal resources under this Lease than the entire and undivided fee estate therein, then the royalty herein provided as to geothermal resources shall be paid to the Lessor or such party Lessor only in the proportion which his ownership bears to the whole and undivided fee. Lessor shall bear the entire cost of any underlying royalty interest in the fee estate or otherwise.
Lesser Interest. The Royalty will only be paid on the basis of Grantor’s proportionate share of production of gold and other minerals of any type from the Royalty Property as the Royalty Property exists as of the Effective Date of this Deed. By way of illustration, if a portion of the Royalty Property, as of the Effective Date, entitle Grantor to only an undivided 75% interest in the gold and other minerals of any type produced from such portion of the Royalty Property, then the Royalty will be paid based only on 75% of the production of gold and other minerals of any type from such portion of the Royalty Property.
Lesser Interest. If Lessor owns a lesser interest in the lease acreage than the entire and undivided fee simple estate therein, then, all royalties herein provided shall be paid Lessor only In the proportion which its interest beers to the whole and undivided fee.
Lesser Interest. All payments payable to Lessor hereunder (including the Purchase Price) are based upon Lessor’s warranted ownership of the entire undivided interest in minerals included within the boundaries of the Premises. If Lessor is found to own less than 100% of the mineral interest in the Premises (i.e., if Lessor’s interest is the same in all claims or parcels included in the Premises but less than 100%), then Lessor’s actual interest shall be its actual percentage interest in the Premises. If Lessor’s interest varies as to separate portions of the Premises, then Lessor’s actual interest shall be determined on a net acreage basis by multiplying the acreage in each distinct claim or parcel within the Premises by Lessor’s fractional interest therein and then computing Lessor’s interest on the net acres actually owned by Lessor as a proportion of the total acreage originally warranted to be owned by Lessor. In either of such events, all payments payable to Lessor hereunder other than production royalty payments shall be reduced accordingly. If Lessor’s title to any of the Premises from which production is made is less than 100%, then the production royalty payable pursuant to Section 3.B shall be reduced to the same proportion as the undivided right and title actually owned by Lessor bears to the entire undivided right and title to the portion of the Premises from which such production is made. Such reductions in payments shall not waive or eliminate any other rights or remedies Lessee may have in connection with the extent MGC-041.doc of Lessor’s actual interest in the Premises.
Lesser Interest. The total number of common shares deliverable to IIM pursuant to the terms of this Agreement are premised on the fact that ALY is acquiring an undivided One Hundred Percent (100%) interest in the Lease Applications subject to the paramount interest held by the State, and that ALY’s rights in the Properties are as herein set forth and are subject to no covenants, conditions, restrictions, or encumbrances other than those created by this Agreement. In the event that at any time during the term of this Agreement there is any outstanding right, title or interest in the Properties not created or caused by ALY such that for any reason ALY is not possessed of the entire interest which this Agreement purports to grant, then the number of shares deliverable to IIM under this Agreement shall be reduced by the proportion which any outstanding interest or encumbrance bears to the full unencumbered interest contracted for by ALY hereunder.
