OVERRIDING ROYALTY. Any and all reservations or assignments or overriding royalties shall be subject to approval by Lessor. The total of said overriding royalties shall not exceed five percent (5%), including any overriding royalty previously provided for unless production exceeds a monthly average of fifteen (15) barrels per day or ninety thousand cubic feet of gas per day (90 MCF/D). In the event production drops to this amount or less, any overriding royalties which exceed five percent (5%) may be suspended. Lessor's approval of a reservation or assignment of an overriding royalty shall not bind Lessor for payment of said overriding royalty and shall not relieve Lessee of any of its obligations for payment of royalties to Lessor as provided by ROYALTY paragraphs herein.
OVERRIDING ROYALTY. 2.1 There is hereby reserved to and owned by Grantee, an overriding royalty of five (5%) percent of the wellhead value on that portion of Petroleum Substances attributable to the interest of Grantor in the Royalty Lands (understood by Grantor to be as set out in Schedule "A" hereto) produced, saved and marketed from each well producing from the Royalty Lands each month during the term of the Title Documents.
2.2 Grantor shall sell the Overriding Royalty share of Grantee at the same price and on the same terms as Grantor receives for its own share of such Petroleum Substances, which shall not be less than the price at which a reasonably prudent operator would dispose of such Petroleum Substances having regard to current market prices, availability of markets and economic conditions affecting the industry generally. In calculating the Overriding Royalty, Grantor may deduct before applying the percentages aforesaid all charges and costs incidental or pertaining to gathering, storing, processing, treating and transporting Petroleum Substances to the Delivery Point, in the same manner allowed by the Crown when it is lessor, without regard to any royalty holidays, cash payments, incentives, grants, waivers, exemptions, abatements and benefits of any nature whatsoever received by or available to Grantor provided that:
(a) with respect to Petroleum and Condensate, the deductions do not exceed the actual costs incurred; and
(b) with respect to Natural Gas, the deductions do not exceed 60% of the gross proceeds of sale of the Natural Gas.
2.3 Notwithstanding any other provision of this Agreement, Grantor shall be entitled to use, free from the obligation to deliver or pay the Overriding Royalty, such part of the Petroleum Substances as is reasonably required for and used by it in its operations upon ., including treating and preparing Petroleum Substances for market but not including injection thereof in connection with any secondary recovery operations. Any Petroleum Substances used by Grantor other than as permitted in this clause 2.3 shall be deemed to have been marketed by Grantor at the time of use for a price at which a reasonably prudent operator would dispose of such Petroleum Substances having regard to current market prices, availability of markets and economic conditions affecting the industry generally. For greater certainty, any Petroleum Substances that are not marketed or deemed to have been marketed due to shrinkage or loss shall not be subject to th...
OVERRIDING ROYALTY. Xxxxx will be paid a royalty of $0.05 per ton of coal mined and sold from Employer properties as referenced in the Overriding Royalty Agreement(s) executed by Employer and Xxxxx of even date herewith (collectively, the “Overriding Royalty Agreement”).
OVERRIDING ROYALTY. A royalty interest in oil and gas and other minerals produced at the wellhead in addition to the usual landowner's royalty reserved to the lessor.
OVERRIDING ROYALTY. [Article 5.00] This optional Article 5.00 will X / will not __ apply herein.
OVERRIDING ROYALTY. A royalty interest in oil and gas and other minerals at the wellhead in addition to the usual landowners’ royalty reserved to the lessor.
II. WEXPRO II OIL PROPERTIES II-1. Ownership of Oil, Natural Gas Liquids and Natural Gas. All oil, natural gas liquids and natural gas produced from Wexpro II oil properties will be the property of and be sold or otherwise disposed of by Wexpro.
OVERRIDING ROYALTY. Seller will reserve from its assignment of the Assets (the "Assignments") an overriding royalty of 2% of 8/8ths, proportionately reduced and payable to Seller in the proportion that the interests in the Leasehold Property assigned by Seller to Purchaser as a result of the transaction contemplated by this Agreement bears to the entire leasehold estate, of all oil, gas and other minerals attributable to the Leasehold Property and produced, saved and marketed from, or attributable to: (i) New Wellx, xx such term is defined hereinafter; and/or (ii) wellx xxxlled to the Cayenne Prospect, as such term is defined hereinafter (the "Overriding Royalty"). The Overriding Royalty shall burden the Assets and be paid by Purchaser to Seller in accordance with the terms of Exhibit "H" (Record Title Assignment) and Exhibit "H-1" (General Assignment). For the purposes of this section, the term "New Wellx" xx defined as wellx xxxch are spud on or after January 1, 2001, and which subsequently meet the requirements of qualifying under 30 CFR 250.111 as a wellx xxxable of production. It is understood and agreed by the Parties that the term "New Wellx" xxes not include wellx xxxsting or commenced prior to January 1, 2001, or the recompletion, sidetracking, deepening or other use of such wellx, whether or not such wellx xx wellbores are currently productive. For the purposes of this section, the "Cayenne Prospect" is defined as from the surface of the earth through 100' below the stratigraphic equivalent of the "O" Sand within the geographic confines of the Joint Development Area. For the purposes of this section, the "O" Sand is defined as the stratigraphic equivalent of that certain sand reservoir as seen and encountered on the electric log for the South Timbxxxxx Xxxxx 00, XXX-X 00000 Xx. X-0 Xxxl, having a top of sand at 11,860' (measured depth) and a base of sand at 12,010' (measured depth). For the purposes of this section, the Joint Development Area is defined as that geographic area as depicted on Exhibit "O" hereto (the "Plat"). The Parties recognize that the Plat is intended to conform to the plat which is ultimately attached as Exhibit "B" to the Joint Development Agreement to be entered into among the Parties and El Paso Exploration GOM Inc. (the "JDA"). In the event the plat attached to the JDA, as executed (the "JDA Plat"), varies from the Plat, the Parties agree that the Plat shall be amended to conform to the JDA Plat, and the Overriding Royalty shall be amended a...
OVERRIDING ROYALTY. Sublessee shall pay to Sublessor an overriding royalty (“Overriding Royalty”), in addition to Production Royalty, for each ton of Subleased Coal mined and removed from the Subleased Premises, and sold, in the amount equal to the difference between (i) the greater of $5.00 per ton or seven percent (7.0%) of Gross Selling Price, as defined in the Base Lease, minus (ii) the Production Royalty payable with respect to such Subleased Coal. Overriding Royalty shall be calculated and determined in the same manner as such Production Royalty is required to be calculated under the Base Lease.
OVERRIDING ROYALTY. The Parties hereto in proportion to each other’s Joint Interests agree to be each responsible for the payment to Petrotrin of the Overriding Royalty described in the Farmout Agreement. In addition, in the event Petrotrin elects to convert its participating interest to an Overriding Royalty in accordance with Article 7 of the Farmout Agreement, the Parties hereto in proportion to each other’s Joint Interests shall be each entitled to all rights and benefits of such conversion along with being each responsible for all obligations pertaining to such conversion.
OVERRIDING ROYALTY. The Royalty Owner reserves to itself a 5.75% overriding royalty interest in 87% of the Petroleum Substances produced, or deemed to be produced from the Royalty Lands (resulting in a 5.0025% overriding royalty based on 100% of production) (the “Overriding Royalty”) as described in Article 2.00 of the Overriding Royalty Procedure.
