QUANTIFICATION OF OVERRIDING ROYALTY. If Royalty Owner does not take possession of and separately dispose of its share of Petroleum Substances, the Overriding Royalty shall be quantified and paid on the gross proceeds of the sale of such Petroleum Substances without any deductions, except the following, namely:
(a) with respect to Crude Oil and Condensate, a proportionate share of the actual costs of transportation from the Royalty Determination Point to market connection;
(b) with respect to Petroleum Substances other than Crude Oil and Condensate, a proportionate share of the cost of transportation, gathering and processing, providing that such costs are no greater than those allowed from time to time by the Crown in the right of the Province of Alberta in calculating its royalty.
QUANTIFICATION OF OVERRIDING ROYALTY. [Clause 5.01] for crude oil, Alternate 1 will apply Alternate 1: 15% of gross monthly production; or Alternate 2: ___ (divisor); not less than __% and not more than __% for all other Petroleum Substances, Alternate 1 will apply Alternate 1: 15% of gross monthly production; or Alternate 2: if not taken in kind: ____% of gross monthly production; or if taken in kind ____% of gross monthly production
QUANTIFICATION OF OVERRIDING ROYALTY. (a) If Grantee does not take possession of and separately dispose of its share of Petroleum Substances, the Overriding Royalty shall be quantified and paid on the gross proceeds of the sale of such Petroleum Substances without any deduction, except the following:
(i) with respect to Crude Oil and Condensate, a proportionate share of the actual costs of transportation to market connection where sales are not made f.o.
QUANTIFICATION OF OVERRIDING ROYALTY. (Subclause 2.01 A) for crude oil -_____ % for all other Petroleum Substances - Alternate_____ will apply (Specify 1 or 2) If Alternate 1 applies:_______ % If Alternate 2 applies:_______ % in (i) and______ % in (ii) -
QUANTIFICATION OF OVERRIDING ROYALTY. The Grantor hereby grants to the Royalty Owner the Overriding Royalty, which shall comprise an interest in the Petroleum Substances within, upon and under the Royalty Lands. The gross volume of Petroleum Substances comprising the Overriding Royalty shall be quantified as follows:
(a) for Crude Oil: one half percent (0.50%) of the gross monthly production of Crude Oil produced from each well on the Royalty Lands classified by the appropriate regulatory authority as an oil well (excluding basic sediment and water); and
(b) for all other Petroleum Substances: one half percent (0.50%) of the gross monthly production thereof produced from each well on the Royalty Lands. For the purpose of determining the Overriding Royalty payable to the Royalty Owner, the percentages in paragraphs (a) and (b) of this Clause, as the case may be, shall be multiplied by the percentage working interest in the Royalty Lands. The Grantor hereby charges its interest in the Royalty Lands and the Leases with payment of the Overriding Royalty, which shall be a covenant running with and binding the Grantor’s interest in the Royalty Lands and the Leases.
QUANTIFICATION OF OVERRIDING ROYALTY. A. Effective as of the date and in the manner provided in the Head Agreement and this Farmout & Royalty Procedure, the Royalty Owner reserves the Overriding Royalty out of the interest earned by the Royalty Payor in the Royalty Lands. Subject to the other provisions of this Article, including the modified calculation under Subclause 5.02C for production of Petroleum Substances allocated to the Royalty Lands, the Overriding Royalty (based on a grant of a 100% Working Interest) will be determined on a well by well basis at the Royalty Determination Point, and will be as follows:
(a) for crude oil, Alternate 1 will apply (Specify 1 or 2). Alternate 1: 7.5%. subject to a reduction, as outlined in Clause 6(A)(i) as applicable or 2% as outlined in Clause 6(B)(ii), of the gross monthly production thereof produced from each Royalty Well; and
QUANTIFICATION OF OVERRIDING ROYALTY. A. The Overriding Royalty is created effective as of the date and in the manner provided in the Head Agreement and this Overriding Royalty Procedure. Subject to the other provisions of this Article, including the modified calculation under Subclause 2.02C for production of Petroleum Substances allocated to the Royalty Lands, the Overriding Royalty (based on a 100% Working Interest) will be determined on a well by well basis at the Royalty Determination Point, and will be as follows:
(a) for crude oil, 5.00% of the gross monthly production thereof produced from each Royalty Well; and
(b) for all other Petroleum Substances, Alternate 1 will apply (Specify 1 or 2).
QUANTIFICATION OF OVERRIDING ROYALTY. [Clause 5.01]
QUANTIFICATION OF OVERRIDING ROYALTY. Having regard for the Royalty Determination Methodology, the Overriding Royalty shall be quantified as follows:
(i) if not taken in kind by the Royalty Owner pursuant to Section 2.5, the GOR Percentage of the Market Price applicable to Royalty Payor's sale of Petroleum Substances produced from each Royalty Well less Deductions; and
(ii) if taken in kind by the Royalty Owner pursuant to Section 2.5, the GOR Percentage of the Petroleum Substances produced from each Royalty Well and available at the Point of Sale. For the purposes of calculating the reduction to the Unpaid Amount, all production taken in kind shall be calculated at the Market Price applicable for such production taken in kind.
QUANTIFICATION OF OVERRIDING ROYALTY. (a) The Grantor hereby grants to the Royalty Owner an Overriding Royalty, which shall comprise an interest in the Petroleum Substances within, upon and under the Royalty Lands. The gross volume of Petroleum Substances comprising the Overriding Royalty shall be quantified as the following applicable percentage of the Current Market Value of the gross monthly production of Petroleum Substances from each well on the Royalty Lands in accordance with the following applicable Net Revenue Interest for such Royalty Lands: OVERRIDING ROYALTY PERCENTAGE IF THE NET REVENUE INTEREST IS: ----------------------------- ------------------------------- 3% Greater than 87.5% 2.5% 84% to 87.49%, inclusive 2.0% 81% to 83.99%, inclusive 1.5% Less than 81%
(b) For the purpose of determining the Overriding Royalty payable to the Royalty Owner for each well on the Royalty Lands, the applicable Overriding Royalty percentage set forth in Subsection (a) shall be multiplied by the percentage working (participating) interest in the Petroleum Substances held by the Grantor in that well. Grantor may agree to grant interests in the Royalty Lands to other parties in exchange for such other parties agreeing to share in the costs of acquiring the Royalty Lands and drilling xxxxx thereon. In such case, Grantor shall ensure that each such party shall be responsible for its respective share of the Overriding Royalty payable with respect to such Royalty Lands.
(c) If any portion of the Royalty Lands is pooled or unitized in accordance with the provisions of Articles 8 and 9 respectively, the Overriding Royalty will be calculated based on the quantity of Petroleum Substances thereby allocated to the affected Royalty Lands.
(d) If Grantor's interest in all or a portion of the Royalty Lands has been acquired by virtue of an option or farmout agreement, and the Grantor's interest is subject to an overriding royalty, carried or net profit or other interest which may be converted by the optionor or farmor to a working (participating) interest, any assignment of an interest to such optionor or farmor upon such conversion shall not be subject to the Overriding Royalty. After such conversion, the Overriding Royalty shall be calculated on the basis of the Grantor's reduced interest.
