Common use of Operator’s Charges for Drilling and Completing Xxxxx Clause in Contracts

Operator’s Charges for Drilling and Completing Xxxxx. All oil and gas xxxxx which are drilled and completed under this Agreement shall be drilled and completed on a Cost plus 15% basis. “Cost,” when used with respect to services, shall mean the reasonable, necessary, and actual expenses incurred by Operator on behalf of Developer in providing the services under this Agreement, determined in accordance with generally accepted accounting principles. As used elsewhere, “Cost” shall mean the price paid by Operator in an arm’s-length transaction. The estimated price for each of the xxxxx shall be set forth in an Authority for Expenditure (“AFE”) which shall be attached to this Agreement as an Exhibit, and shall cover all ordinary costs which may be incurred in drilling and completing each well. This includes without limitation, site preparation, permits and bonds, roadways, surface damages, power at the site, water, Operator’s overhead and profit, rights-of-way, drilling rigs, equipment and materials, costs of title examinations, logging, cementing, fracturing, casing, meters (other than utility purchase meters), connection facilities, salt water collection tanks, separators, siphon string, rabbit, tubing, an average of 2,500 feet of gathering line per well in connection with a gas well, and geological and engineering services.

Operator’s Charges for Drilling and Completing Xxxxx. Payment; Completion Determination; Dry Hole Determination; Excess Funds and Cost Overruns-Intangible Drilling Costs; Excess Funds and Cost Overruns-Tangible Costs. (a) Operator's Charges for Drilling and Completing Xxxxx. All oil and natural gas xxxxx which are drilled and completed under this Agreement shall be drilled and completed on a Cost plus 15% basis. “"Cost,” " when used with respect to services, shall mean the reasonable, necessary, and actual expenses incurred by Operator on behalf of Developer in providing the services under this Agreement, determined in accordance with generally accepted accounting principles. As used elsewhere, “"Cost” " shall mean the price paid by Operator in an arm’sarm's-length transaction. The estimated price for each of the xxxxx shall be set forth in an Authority for Expenditure (“"AFE”") which shall be attached to this Agreement as an Exhibit, and shall cover all ordinary costs which may be incurred in drilling and completing each wellwell for production of natural gas. This includes without limitation, site preparation, permits and bonds, roadways, surface damages, power at the site, water, Operator’s 's overhead and profit, rights-of-way, drilling rigs, equipment and materials, costs of title examinations, logging, cementing, fracturing, casing, meters (other than utility purchase meters), connection facilities, salt water collection tanks, separators, siphon string, rabbit, tubing, an average of 2,500 feet of gathering line per well in connection with a gas well, and geological and engineering services.services and completing two (2) zones. The estimated price shall not include the cost of:

Operator’s Charges for Drilling and Completing Xxxxx. All Each oil and gas xxxxx well which are is drilled and completed under this Agreement shall be drilled and completed on a Cost basis plus a nonaccountable, fixed payment reimbursement of $15,000 per well for Developer’s Participants’ share of Operator’s general and administrative overhead plus 15% basisof Cost and the nonaccountable fixed payment reimbursement of $15,000 per well for Developer’s Participants’ share of Operator’s general and administrative overhead. “Cost,” when used with respect to services, shall mean the reasonable, necessary, and actual expenses incurred by Operator on behalf of Developer in providing the services under this Agreement, determined in accordance with generally accepted accounting principles. As used elsewhere, “Cost” shall mean the price paid by Operator in an arm’s-length transaction. The estimated price for each of the xxxxx shall be set forth in an Authority for Expenditure (“AFE”) which shall be attached to this Agreement as an Exhibit, and shall cover all ordinary costs which may be incurred in drilling and completing each well. This includes without limitation, site preparation, permits and bonds, roadways, surface damages, power at the site, water, Operator’s overhead and profit, rights-of-way, drilling rigs, equipment and materials, costs of title examinations, logging, cementing, fracturing, casing, meters (other than utility purchase meters), connection facilities, salt water collection tanks, separators, siphon string, rabbit, tubing, an average of 2,500 feet of gathering line per well in connection with a gas well, and geological and engineering services.

Operator’s Charges for Drilling and Completing Xxxxx. Payment; Completion Determination; Dry Hole Determination; Excess Funds and Cost Overruns-Intangible Drilling Costs; Excess Funds and Cost Overruns-Tangible Costs. (a) Operator's Charges for Drilling and Completing Xxxxx. All oil and natural gas xxxxx which are drilled and completed under this Agreement shall be drilled and completed on a Cost plus 15% basis. “"Cost,” " when used with respect to services, shall mean the reasonable, necessary, and actual expenses incurred by Operator on behalf of Developer in providing the services under this Agreement, determined in accordance with generally accepted accounting principles. As used elsewhere, “"Cost” " shall mean the price paid by Operator in an arm’sarm's-length transaction. The estimated price for each of the xxxxx shall be set forth in an Authority for Expenditure (“"AFE”") which shall be attached to this Agreement as an Exhibit, and shall cover all ordinary costs which may be incurred in drilling and completing each wellwell for production of natural gas. This includes without limitation, site preparation, permits and bonds, roadways, surface damages, power at the site, water, Operator’s 's overhead and profit, rights-of-way, drilling rigs, equipment and materials, costs of title examinationsexamination, logging, cementing, fracturing, casing, meters (other than utility purchase meters), connection facilities, salt water collection tanks, separators, siphon string, rabbit, tubing, an average of 2,500 feet of gathering line per well in connection with a gas well, and geological and engineering services.services and completing two (2) zones. The estimated price shall not include the cost of: