Common use of Post Production Cost Charge Clause in Contracts

Post Production Cost Charge. “Post Production Cost Charge” means those costs incurred by Assignor (including internal costs and Third Person costs) to gather, store, transport, compress, process, treat, dehydrate and market, as applicable, the Subject Minerals, including any costs as may be required to deliver such Minerals to market; provided, that any costs charged by Assignor and its Affiliates as part of the Post Production Cost Charge shall not materially exceed the costs prevailing in the area where the Subject Minerals are being produced for similar services; and provided, further, that with respect to marketing costs, only Non-Affiliate marketing fees and costs shall be included, and marketing costs of Assignor and its Affiliates with respect to any Subject Minerals will be specifically excluded from the Post Production Cost Charge. Any costs, fees or expenses that are properly charged or allocated to Assignee Minerals pursuant to another provision of this Conveyance (including, as provided for in the definition of Subject Minerals) shall not be included as part of the Post Production Cost Charge.

Appears in 11 contracts

Samples: Term Overriding Royalty Interest (SandRidge Mississippian Trust II), Perpetual Overriding Royalty Interest Conveyance (SandRidge Mississippian Trust II), Term Overriding Royalty Interest (SandRidge Mississippian Trust II)

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Post Production Cost Charge. “Post Production Cost Charge” means those costs incurred by Assignor (including internal costs and Third Person costs) to gather, store, transport, compress, process, treat, dehydrate and market, as applicable, the Subject Minerals, including any costs as may be required to deliver such Minerals to market; provided, that any costs charged by Assignor and its Affiliates as part of the Post Production Cost Charge shall not materially exceed the costs prevailing in the area where the Subject Minerals are being produced for similar services; services and provided, further, that with respect to marketing costs, only Non-Affiliate marketing fees and costs shall be included, and marketing costs of Assignor and its Affiliates with respect to any Subject Minerals will be specifically excluded from the Post Production Cost Charge. Any costs, fees or expenses that are properly charged or allocated to Assignee Minerals pursuant to another provision of this Conveyance (including, as provided for in the definition of Subject Minerals) shall not be included as part of the Post Production Cost Charge.

Appears in 10 contracts

Samples: Perpetual Overriding Royalty Interest Conveyance (SandRidge Permian Trust), Term Overriding Royalty Interest Conveyance (SandRidge Permian Trust), Perpetual Overriding Royalty Interest Conveyance (SandRidge Permian Trust)

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Post Production Cost Charge. “Post Production Cost Charge” means those costs incurred by Assignor (including internal costs and Third Person costs) to gather, store, transport, compress, process, treat, dehydrate and market, as applicable, the Subject Minerals, including any costs as may be required to deliver such Minerals to market; provided, that any costs charged by Assignor and its Affiliates as part of the Post Production Cost Charge shall not materially exceed the costs prevailing in the area where the Subject Minerals are being produced for similar services; and provided, further, that with respect to marketing costs, only Non-Non- Affiliate marketing fees and costs shall be included, and marketing costs of Assignor and its Affiliates with respect to any Subject Minerals will be specifically excluded from the Post Production Cost Charge. Any costs, fees or expenses that are properly charged or allocated to Assignee Minerals pursuant to another provision of this Conveyance (including, as provided for in the definition of Subject Minerals) shall not be included as part of the Post Production Cost Charge.

Appears in 1 contract

Samples: Perpetual Overriding Royalty Interest (SandRidge Mississippian Trust II)

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