Non adherence to testing processes mandated by PSC Sample Clauses

Non adherence to testing processes mandated by PSC. As per the PSC provisions (Articles 10 and 21), when a discovery is made within the contract area, the Contractor should: (i) Forthwith inform the MC and Government of the Discovery and furnish particulars in writing within 30 days of the discovery; (ii) Notify the Government at least 48 hours in advance of any drill stem test (DST)/ product test with government having the right to have a representative present during the test. Subsequently, GoI vide its Notification (November 2014) allowed acceptance of discoveries for which advance notification had not been given, provided the Contractor undertakes to carry out fresh tests after giving due advance notification. XxX also provided (vide Notification dated 13May 2015) after approval by CCEA on 29 April 2015, three specific options to the defaulting Contractors who had not met the testing requirement of PSC: Option – 2: conduct fresh test and submit revised DoC within one year from approval of CCEA in April 2015 with a stipulation that only 50 per cent of cost incurred for testing will be allowed for cost recovery with a cap of US 15 million; and The Contractor had to select the option within two months from date of CCEA approval of the notification (i. e., by end June 2015). The notification also laid down that the cost of MDT incurred by the contractors earlier in respect of such discoveries would not be allowed for cost recovery. The Contractor did not follow the laid down procedure of the PSC and notified three discoveries - D1, E1 and UD-1 based on MDT. It also failed to give advance notification before conducting MDT at D1 and E1. Hence, initially D1 and E1 discoveries were not accepted. Later, D1 prospect was tested through another well KT—1 by MDT, based on which D1 discovery was accepted by DGH. The Contractor submitted DoC in December 2013 for these discoveries (D-1 and E-1 in Cluster-1 and UD-1, the lone discovery in Cluster III). DGH did not agree to review the DoC for these two clusters in the absence of surface flow data/ DST. The Contractor subsequently (March – May 2015) carried out DST for D-1 discovery through drilling a new well D1-sub and incurred an expenditure of ` 365.97 crore (US$ 58.07million). In respect of E-1 and UD-1 discoveries, the Contractor has exercised (24 June 2015) the option of carrying out DST (as per option 2 of May 2015 notification). The test is yet to be carried out (June 2015). In this regard, Audit observed the following: (i) DGH had accepted UD-1 and D-1 as ‘disc...
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Related to Non adherence to testing processes mandated by PSC

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Copies of all compliance reports delivered pursuant to this Section 10.09 shall be provided to any Certificateholder, upon the written request thereof, by the Certificate Administrator. Each such report shall be addressed to the Depositor and each Other Depositor (if addressed) and signed by an authorized officer of the applicable company, and shall address each of the Relevant Servicing Criteria specified on a certification substantially in the form of Exhibit O to this Agreement delivered to the Depositor on the Closing Date. Promptly after receipt of each such report, (i) the Depositor and each Other Depositor may review each such report and, if applicable, consult with the each Reporting Servicer as to the nature of any material instance of noncompliance with the Relevant Servicing Criteria, and (ii) the Certificate Administrator shall confirm that the assessments, taken individually address the Relevant Servicing Criteria for each party as set forth on Exhibit O to this Agreement and notify the Depositor of any exceptions. For the avoidance of doubt, the Trustee shall have no obligation or duty to determine whether any such report (other than any such report furnished by the Trustee or any Servicing Function Participant of the Trustee) is in form and substance in compliance with the requirements of Regulation AB. (b) On the Closing Date, the Master Servicer, the Special Servicer, the Certificate Administrator, the Custodian, the Trustee and the Operating Advisor each acknowledge and agree that Exhibit O to this Agreement sets forth the Relevant Servicing Criteria for such party. 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