Common use of Payment Accounting; Interim Settlements; Late Charges Clause in Contracts

Payment Accounting; Interim Settlements; Late Charges. All credits or payments of the Royalty shall be accompanied by a detailed statement explaining the manner in which the payment was calculated together with any available settlement sheets from the Payor. In no event shall payment of the Royalty be made later than thirty (30) days after the delivery to the Payor, or use by Operator, of the Precious Metals, Beneficiated Precious Metals, or Other Minerals. Such payments and statements shall be deemed conclusively correct unless Franco objects to them in writing within eighteen (18) months after receipt thereof. On those occasions when all necessary information is not available to the Payor within the thirty (30) day period, the Payor shall make an interim settlement of the Royalty for such shipment or use within the thirty (30) day period; such interim settlement shall provide for payment of not less than ninety percent (90%) of the anticipated final settlement Royalty as determined by the assays and quantities of the Precious Metals or Other Minerals received by the Payor with respect to which such interim settlement is being made. Final settlement of the Royalty shall be promptly made upon receipt by the Payor of all information necessary or appropriate to make final settlement for such shipment. In the event payment of any Royalty is not made within the time set forth above, Franco may give the Operator notice in writing of such default, and unless within five (5) days of receipt of such notice Franco shall have received such Royalty payment, then Operator shall pay an additional sum equal to ten percent (10%) of the delinquent payment (“late charge”) plus interest on the delinquent payment and the late charge at the rate twelve percent (12%) per annum which shall accrue from the day the delinquent payment was due to the date of payment of the Royalty, late charge and accrued interest.

Payment Accounting; Interim Settlements; Late Charges. All credits or payments of the Production Royalty shall be accompanied by a detailed statement explaining the manner in which the payment was calculated together with any available settlement sheets from the Payor. In no event shall payment of the Production Royalty be made later than thirty (30) days after the delivery to the Payor, or use by Operatorthe Grantor, of the Gold, Precious Metals, Beneficiated Precious MetalsMetal Products, or Other Minerals. Such payments and statements shall be deemed conclusively correct unless Franco Grantee objects to them in writing within eighteen (18) months after receipt thereof. On those occasions when all necessary information is not available to the Payor within the thirty (30) day period, the Payor shall make an interim settlement of the Production Royalty for such shipment or use within the thirty (30) day period; such interim settlement shall provide for payment of not less than ninety percent (90%) of the anticipated final settlement Production Royalty as determined by the assays and quantities of the Precious Metals Metals, Precious Metal Products, or Other Minerals received by the Payor with respect to which such interim settlement is being made. Final settlement of the Production Royalty shall be promptly made upon receipt by the Payor of all information necessary or appropriate to make final settlement for such shipment. In the event payment of any the Production Royalty is not made within with the time set forth above, Franco Grantee may give the Operator Grantor notice in writing of such default, and unless within five (5) days of receipt of such notice Franco Grantee shall have received such Production Royalty payment, then Operator Grantor shall pay an additional sum equal to ten percent (10%) of the delinquent payment (“late charge”) plus interest on the delinquent payment and at an annual rate equal to ten (10) percentage points over the late charge at Prime Rate, but in no event shall the rate twelve percent (12%) per annum of interest exceed the maximum permitted by Law, which shall accrue from the day the delinquent payment was due to the date of payment of the Royalty, late charge Production Royalty and accrued interest. Attorney fees resulting from the collection of the delinquent payment by the Grantee shall be paid by Grantor, without exception.

Payment Accounting; Interim Settlements; Late Charges. All credits or payments of the Royalty shall be accompanied by a detailed statement explaining the manner in which the payment was calculated together with any available settlement sheets from the PayorOfftake Party. In no event shall payment of the Royalty in respect of any month be made later than thirty fifteen (3015) days after the delivery end of the applicable month. Should for any reason shipments of any Gold to the Payor, Offtake Party or use by Operator, other purchaser be delayed beyond 20 calendar days following the time at which the quantities of Gold have reached the highest point of beneficiation on the Property payment of the Precious Metals, Beneficiated Precious Metals, or Other MineralsRoyalty relating to such late shipments will be estimated by the Operator based on the mill assays and paid with the next month’s Royalty payment to the Payee and accompanied by copies of such assays. Such payments and statements shall be deemed conclusively correct unless Franco Payee objects to them in writing within eighteen fifteen (1815) months after receipt thereof. On those occasions when all necessary information is not available to the Payor Operator within the thirty fifteen (3015) day periodperiod following the end of each month, the Payor Operator shall make an interim settlement of the Royalty for such shipment or use the previous month within the thirty fifteen (3015) day period; such interim settlement shall provide for payment of not less than ninety percent (90%) of the anticipated final settlement Royalty as determined by the assays and quantities of the Precious Metals or Other Minerals Gold received by the Payor Offtake Party with respect to which such interim settlement is being made. Final settlement of the Royalty shall be promptly made upon receipt by the Payor Operator of all information necessary or appropriate to make final settlement for such shipmentsettlement. In the event payment of any Royalty is not made within the time set forth above, Franco Payee may give the Operator notice in writing of such default, and unless within five (5) days of receipt of such notice Franco Payee shall have received such Royalty payment, then Operator shall pay an additional sum equal to ten percent (10%) of the delinquent payment (“late charge”) plus interest on the delinquent payment and the late charge at the rate twelve percent (12%) per annum which shall accrue from the day three months after the delinquent payment was due to the date of payment of the Royalty, late charge and accrued interest. For accounting purposes of the Payee, the Operator shall report to the Payee by the 10th Business Day of the each month a good faith estimate of the Royalty owing to the Payee for the preceding month.