Common use of RECOVERY OF PETROLEUM COSTS AND PRODUCTION SHARING Clause in Contracts

RECOVERY OF PETROLEUM COSTS AND PRODUCTION SHARING. 10.1 From the commencement of regular Hydrocarbons production carried out pursuant to an Exploitation Authorization or an early production authorization, that production shall be shared and sold in accordance with the provisions hereafter. 10.2 For the recovery of Petroleum Costs, the Contractor shall freely retain each Quarter, and for each Exploitation Authorization, a share of total production equal to fifty-five percent (55%) for Crude Petroleum and sixty-two percent (62%) for Dry Gas, calculated on total production which is not utilized for Petroleum Operations, nor wasted, or, if applicable, a lower percentage of production, or only a lower percentage which would be necessary and would suffice. The value of the share of total production allocated for the petroleum cost recovery of the Contractor as defined in the preceding subparagraph, shall be calculated in accordance with the provisions of Articles 14 and 15 here below. In the course of a Calendar Year, should the Petroleum Costs not yet recovered by the Contractor pursuant to the provisions of this Article 10.2 exceed the equivalent in value of fifty-five percent (55%) with respect to Crude Petroleum and sixty-two percent (62%) with respect to Dry Gas, of the total production calculated as indicated here above, the excess which cannot be recovered for the Calendar Year under consideration shall be carried forward to the following Calendar Year(s) until full recovery of Petroleum Costs or the termination of this Contract. The recovery of Petroleum Costs for any Quarter shall be scheduled in the order stipulated in the Accounting Procedure. 10.3 The volume of Hydrocarbons, related to each Exploitation Authorization, which remains for each Quarter after the Contractor has taken from total production the share necessary to the recovery of Petroleum Costs under the provisions of Article 10.2 here above, shall be shared between the State and the Contractor in the following manner, in the ratio of the applicable figure for the ratio “R” defined as follows:: Less than 1 31% 69% Greater than or equal to 1 and less than 1.5 33% 67% Greater than or equal to 1.5 and less than 2 35% 65% Greater than or equal to 2 and less than 2.5 37% 63% Greater than or equal to 2.5 and less than 3 39% 61% Greater than or equal to 3 42% 58% For the application of this Article, the ratio « R » means to the ratio of « Cumulative Net Revenue » of Contractor over « Cumulative Investments » in the relevant Exploitation Perimeter, where: « Cumulative Net Revenue » means the sum, calculated from the Effective Date until the end of the preceding Quarter, of the value of Hydrocarbons obtained by Contractor pursuant to the provisions of Articles 10.2 and 10.3 here above ; less the Exploitation Petroleum Costs incurred by the Contractor, as such are defined and determined under the provisions of the Accounting Procedure. « Cumulative Investments » means the sum, from the Effective Date up until the end of the preceding Quarter, of the Exploration Petroleum Costs and the Development Petroleum Costs incurred by the Contractor as defined and determined under the provisions of the Accounting Procedure. 10.4 The State may receive its share of production defined in Article 10.3 here above, either in kind, or in cash. 10.5 If the State wishes to receive in kind all of part of its share of production defined in Article 10.3 here above, the Minister shall advise the Contractor in writing not less than ninety (90) days prior to the commencement of the relevant Quarter and specify the exact quantity it wishes to receive in kind during said Quarter and the modalities of delivery, which must be specified in the lifting contract. For this purpose, it is agreed that the Contractor shall not commit to the sale of a part of the State production, for a term which exceeds one hundred and eighty (180) days, unless he shall have obtained the written consent of the Minister. 10.6 If the State wishes to receive in cash all or part of its share of production specified in Article 10.3 here above, or if the Minister has failed to notify the Contractor of its decision to take a portion of the State’s production in kind in accordance with Article 10.5 here above, the Contractor is obligated to sell the State share of production which the State wishes to take in cash during the relevant Quarter, and to proceed with the liftings of such share in the course of such Quarter, and to pay the State within thirty (30) days following each lifting, an amount equal to the quantity corresponding to the portion of the State production share, multiplied by the sale price F.O.B., after deduction of the costs attributable to such sales. The Minister shall be entitled to request the settling of the sales of the State share of production effected by the Contractor either in Dollars or in any other convertible currency in which the transaction took place.

RECOVERY OF PETROLEUM COSTS AND PRODUCTION SHARING. 10.1 From the commencement of regular Hydrocarbons production carried out pursuant to an Exploitation Authorization or an early production authorization, that production shall be shared and sold in accordance with the provisions hereafter. 10.2 For the recovery of Petroleum Costs, the Contractor shall freely retain each Quarter, and for each Exploitation Authorization, a share of total production equal to fifty-five percent (55%) for Crude Petroleum and sixty-two percent (62%) for Dry Gas, calculated on total production which is not utilized for Petroleum Operations, nor wasted, or, if applicable, a lower percentage of production, or only a lower percentage which would be necessary and would suffice. The value of the share of total production allocated for the petroleum cost recovery of the Contractor as defined in the preceding subparagraph, shall be calculated in accordance with the provisions of Articles 14 and 15 here below. In the course of a Calendar Year, should the Petroleum Costs not yet recovered by the Contractor pursuant to the provisions of this Article 10.2 exceed the equivalent in value of fifty-fifty- five percent (55%) with respect to Crude Petroleum and sixty-two percent (62%) with respect to Dry Gas, of the total production calculated as indicated here above, the excess which cannot be recovered for the Calendar Year under consideration shall be carried forward to the following Calendar Year(s) until full recovery of Petroleum Costs or the termination of this Contract. The recovery of Petroleum Costs for any Quarter shall be scheduled in the order stipulated in the Accounting Procedure. 10.3 The volume of Hydrocarbons, related to each Exploitation Authorization, which remains for each Quarter after the Contractor has taken from total production the share necessary to the recovery of Petroleum Costs under the provisions of Article 10.2 here above, shall be shared between the State and the Contractor in the following manner, in the ratio of the applicable figure for the ratio “R” defined as follows:: Value of « R » Share of the State Share of the Contractor Less than 1 31% 69% Greater than or equal to 1 and less than 1.5 33% 67% Greater than or equal to 1.5 and less than 2 35% 65% Greater than or equal to 2 and less than 2.5 37% 63% Greater than or equal to 2.5 and less than 3 39% 61% Greater than or equal to 3 42% 58% For the application of this Article, the ratio « R » means to the ratio of « Cumulative Net Revenue » of Contractor over « Cumulative Investments » in the relevant Exploitation Perimeter, where: « Cumulative Net Revenue » means the sum, calculated from the Effective Date until the end of the preceding Quarter, of the value of Hydrocarbons obtained by Contractor pursuant to the provisions of Articles 10.2 and 10.3 here above ; less the Exploitation Petroleum Costs incurred by the Contractor, as such are defined and determined under the provisions of the Accounting Procedure. « Cumulative Investments » means the sum, from the Effective Date up until the end of the preceding Quarter, of the Exploration Petroleum Costs and the Development Petroleum Costs incurred by the Contractor as defined and determined under the provisions of the Accounting Procedure. 10.4 The State may receive its share of production defined in Article 10.3 here above, either in kind, or in cash. 10.5 If the State wishes to receive in kind all of part of its share of production defined in Article 10.3 here above, the Minister shall advise the Contractor in writing not less than ninety (90) days prior to the commencement of the relevant Quarter and specify the exact quantity it wishes to receive in kind during said Quarter and the modalities of delivery, which must be specified in the lifting contract. For this purpose, it is agreed that the Contractor shall not commit to the sale of a part of the State production, for a term which exceeds one hundred and eighty (180) days, unless he shall have obtained the written consent of the Minister. 10.6 If the State wishes to receive in cash all or part of its share of production specified in Article 10.3 here above, or if the Minister has failed to notify the Contractor of its decision to take a portion of the State’s production in kind in accordance with Article 10.5 here above, the Contractor is obligated to sell the State share of production which the State wishes to take in cash during the relevant Quarter, and to proceed with the liftings of such share in the course of such Quarter, and to pay the State within thirty (30) days following each lifting, an amount equal to the quantity corresponding to the portion of the State production share, multiplied by the sale price F.O.B., after deduction of the costs attributable to such sales. The Minister shall be entitled to request the settling of the sales of the State share of production effected by the Contractor either in Dollars or in any other convertible currency in which the transaction took place.Article

RECOVERY OF PETROLEUM COSTS AND PRODUCTION SHARING. 10.1 From the commencement start of a regular production of Hydrocarbons production carried out pursuant to under an Exploitation Authorization or an early anticipated production authorization, that such production shall be shared and sold marketed in accordance with the provisions hereafterbelow. 10.2 For the purposes of recovery of Petroleum Costs, the Contractor shall may freely retain retain, during each Quarter, and for in respect of each Exploitation Authorization, a share portion of the corresponding total production equal to fiftysixty percent (60%) for Crude Oil and to sixty-five percent (55%) for Crude Petroleum and sixty-two percent (6265%) for Dry Gas, calculated on Gas of the total production quantity produced which is not utilized for neither used in the Petroleum Operations, nor wasted, or, if applicable, a lower percentage of productionlost, or only a lower lesser percentage which would be necessary and would sufficesufficient. The value of the share portion of the total production allocated for the petroleum cost recovery of the Contractor Petroleum Costs by the Contractor, as defined in the preceding subparagraphparagraph, shall be calculated in accordance with the provisions of Articles articles 14 and 15 here below. In the course of a If during any Calendar Year, should Year the Petroleum Costs not yet recovered by the Contractor pursuant to under the provisions of this Article 10.2 article 10.2, exceed the equivalent in value of fiftysixty percent (60%) in respect of Crude Oil or sixty-five percent (5565%) with in respect to Crude Petroleum and sixty-two percent (62%) with respect to of Dry Gas, Gas of the total production calculated as indicated here above, the excess of which cannot be recovered for during the Calendar Year under consideration shall be carried forward to the following Calendar Year(s) until full recovery of the Petroleum Costs or the termination of this Contract. The recovery of Petroleum Costs for any Quarter shall be scheduled made in accordance with the order stipulated set out in the Accounting Procedure. 10.3 The volume quantity of Hydrocarbons, related to under each Exploitation Authorization, which remains for remaining during each Quarter after the Contractor has taken from total production retained the share portion necessary to for the recovery of the Petroleum Costs under the provisions of Article article 10.2 here aboveabove from the total production, shall be shared between the State and the Contractor in as follows, according to the following manner, in value of the ratio "R" defined below: Value of the applicable figure for the ratio “"R” defined as follows:: Less " State Share Contractor Share Lower than 1 3130% 6970% Greater than or equal to 1 and less lower than 1.5 3332.5% 6767.5% Greater than or equal to 1.5 and less lower than 2 35% 65% Greater than or equal to 2 and less lower than 2.5 3737.5% 6362.5% Greater than or equal to 2.5 and less lower than 3 3940% 6160% Greater than or equal to 3 4242.5% 58% 57.5%. For the application purposes of this Articlearticle, the ratio « R » means to "R" indicates the ratio of « Cumulative "Net Revenue » Cumulated Income" of the Contractor over « Cumulative Investments » in to "Cumulated Investments" within the relevant Exploitation Perimeter, where: « Cumulative "Net Revenue » means Cumulated Income" indicates the sum, calculated from the Effective Date until the end of the preceding previous Quarter, of the value of Hydrocarbons obtained by the Contractor pursuant to in accordance with the provisions of Articles articles 10.2 and 10.3 here above above; less reduced by the Exploitation Petroleum Costs incurred by the Contractor, as such are defined and determined under the provisions of the Accounting Procedure. « Cumulative Investments » means the sum, from the Effective Date up until the end of the preceding Quarter, of the Exploration Petroleum Costs and the Development Petroleum Costs incurred by the Contractor as defined and determined under the provisions of the Accounting Procedure. 10.4 The State may receive its share of production defined in Article 10.3 here above, either in kind, or in cash. 10.5 If the State wishes to receive in kind all of part of its share of production defined in Article 10.3 here above, the Minister shall advise the Contractor in writing not less than ninety (90) days prior to the commencement of the relevant Quarter and specify the exact quantity it wishes to receive in kind during said Quarter and the modalities of delivery, which must be specified in the lifting contract. For this purpose, it is agreed that the Contractor shall not commit to the sale of a part of the State production, for a term which exceeds one hundred and eighty (180) days, unless he shall have obtained the written consent of the Minister. 10.6 If the State wishes to receive in cash all or part of its share of production specified in Article 10.3 here above, or if the Minister has failed to notify the Contractor of its decision to take a portion of the State’s production in kind in accordance with Article 10.5 here above, the Contractor is obligated to sell the State share of production which the State wishes to take in cash during the relevant Quarter, and to proceed with the liftings of such share in the course of such Quarter, and to pay the State within thirty (30) days following each lifting, an amount equal to the quantity corresponding to the portion of the State production share, multiplied by the sale price F.O.B., after deduction of the costs attributable to such sales. The Minister shall be entitled to request the settling of the sales of the State share of production effected by the Contractor either in Dollars or in any other convertible currency in which the transaction took place.

RECOVERY OF PETROLEUM COSTS AND PRODUCTION SHARING. 10.1 From the commencement of regular Hydrocarbons production carried out pursuant to an Exploitation Authorization or an early production authorization, that production shall be shared and sold in accordance with the provisions hereafter. 10.2 For the recovery of Petroleum Costs, the Contractor shall freely retain each Quarter, and for each Exploitation Authorization, a share of total production equal to fifty-five percent (55%) for Crude Petroleum and sixty-two percent (62%) for Dry Gas, calculated on total production which is not utilized for Petroleum Operations, nor wasted, or, if applicable, a lower percentage of production, or only a lower percentage which would be necessary and would suffice. The value of the share of total production allocated for the petroleum cost recovery of the Contractor as defined in the preceding subparagraph, shall be calculated in accordance with the provisions of Articles 14 and 15 here below. In the course of a Calendar Year, should the Petroleum Costs not yet recovered by the Contractor pursuant to the provisions of this Article 10.2 exceed the equivalent in value of fifty-five percent (55%) with respect to Crude Petroleum and sixty-two percent (62%) with respect to Dry Gas, of the total production calculated as indicated here above, the excess which cannot be recovered for the Calendar Year under consideration shall be carried forward to the following Calendar Year(s) until full recovery of Petroleum Costs or the termination of this Contract. The recovery of Petroleum Costs for any Quarter shall be scheduled in the order stipulated in the Accounting Procedure. 10.3 The volume of Hydrocarbons, related to each Exploitation Authorization, which remains for each Quarter after the Contractor has taken from total production the share necessary to the recovery of Petroleum Costs under the provisions of Article 10.2 here above, shall be shared between the State and the Contractor in the following manner, in the ratio of the applicable figure for the ratio “R” defined as follows:: Less than 1 3131 % 6969 % Greater than or equal to 1 and less than 1.5 3333 % 6767 % Greater than or equal to 1.5 and less than 2 3535 % 6565 % Greater than or equal to 2 and less than 2.5 3737 % 6363 % Greater than or equal to 2.5 and less than 3 3939 % 6161 % Greater than or equal to 3 4242 % 5858 % For the application of this Article, the ratio « R » means to the ratio of « Cumulative Net Revenue » of Contractor over « Cumulative Investments » in the relevant Exploitation Perimeter, where: « Cumulative Net Revenue » means the sum, calculated from the Effective Date until the end of the preceding Quarter, of the value of Hydrocarbons obtained by Contractor pursuant to the provisions of Articles 10.2 and 10.3 here above ; less the Exploitation Petroleum Costs incurred by the Contractor, as such are defined and determined under the provisions of the Accounting Procedure. « Cumulative Investments » means the sum, from the Effective Date up until the end of the preceding Quarter, of the Exploration Petroleum Costs and the Development Petroleum Costs incurred by the Contractor as defined and determined under the provisions of the Accounting Procedure. 10.4 The State may receive its share of production defined in Article 10.3 here above, either in kind, or in cash. 10.5 If the State wishes to receive in kind all of part of its share of production defined in Article 10.3 here above, the Minister shall advise the Contractor in writing not less than ninety (90) days prior to the commencement of the relevant Quarter and specify the exact quantity it wishes to receive in kind during said Quarter and the modalities of delivery, which must be specified in the lifting contract. For this purpose, it is agreed that the Contractor shall not commit to the sale of a part of the State production, for a term which exceeds one hundred and eighty (180) days, unless he shall have obtained the written consent of the Minister. 10.6 If the State wishes to receive in cash all or part of its share of production specified in Article 10.3 here above, or if the Minister has failed to notify the Contractor of its decision to take a portion of the State’s production in kind in accordance with Article 10.5 here above, the Contractor is obligated to sell the State share of production which the State wishes to take in cash during the relevant Quarter, and to proceed with the liftings of such share in the course of such Quarter, and to pay the State within thirty (30) days following each lifting, an amount equal to the quantity corresponding to the portion of the State production share, multiplied by the sale price F.O.B., after deduction of the costs attributable to such sales. The Minister shall be entitled to request the settling of the sales of the State share of production effected by the Contractor either in Dollars or in any other convertible currency in which the transaction took place.

RECOVERY OF PETROLEUM COSTS AND PRODUCTION SHARING. 10.1 From the commencement of regular Hydrocarbons production carried out pursuant to an Exploitation Authorization Authorisation or an early production authorizationauthorisation, that production shall be shared and sold in accordance with the provisions hereafter. 10.2 For the recovery of Petroleum Costs, the Contractor shall freely retain each Quarter, and for each Exploitation AuthorizationAuthorisation, a share of total production equal to fifty-five percent (55%) for Crude Petroleum and sixty-two percent (62%) for Dry Gas, calculated on total production which is not utilized utilised for Petroleum Operations, nor wasted, or, if applicable, a lower percentage of production, or only a lower percentage which would be necessary and would suffice. The value of the share of total production allocated for the petroleum cost recovery of the Contractor as defined in the preceding subparagraph, subparagraph shall be calculated in accordance with the provisions of Articles 14 and 15 here below. In the course of a Calendar Year, should the Petroleum Costs not yet recovered by the Contractor pursuant to the provisions of this Article 10.2 exceed the equivalent in value of fifty-five percent (55%) with respect to Crude Petroleum and sixty-two percent (62%) with respect to Dry Gas, of the total production calculated as indicated here abovehereinabove, the excess which cannot be recovered for the Calendar Year under consideration shall be carried forward to the following Calendar Year(s) until full recovery of Petroleum Costs or the termination of this Contract. The recovery of Petroleum Costs for any Quarter shall be scheduled in the order stipulated in the Accounting Procedure. 10.3 The volume of Hydrocarbons, related to each the Exploitation AuthorizationAuthorisation, which remains for each Quarter after the Contractor has taken from total production the share necessary to the recovery of Petroleum Costs under the provisions of Article 10.2 here abovehereinabove, shall be shared between the State and the Contractor in the following manner, in the ratio of the applicable figure for the ratio “R” defined as follows:: Less than 1 31% 69% Greater than or equal to 1 and less than 1.5 33% 67% Greater than or equal to 1.5 and less than 2 35% 65% Greater than or equal to 2 and less than 2.5 37% 63% Greater than or equal to 2.5 and less than 3 39% 61% Greater than or equal to 3 42% 58% For the application of this Article, the ratio « R » “R” means to the ratio of « “Cumulative Net Revenue » Revenue” of Contractor over « “Cumulative Investments » Investments” in the relevant Exploitation Perimeter, where: « Cumulative Net Revenue » means the sum, calculated from the Effective Date until the end of the preceding Quarter, of the value of Hydrocarbons obtained by Contractor pursuant to the provisions of Articles 10.2 and 10.3 here above ; less the Exploitation Petroleum Costs incurred by the Contractor, as such are defined and determined under the provisions of the Accounting Procedure. « Cumulative Investments » means the sum, from the Effective Date up until the end of the preceding Quarter, of the Exploration Petroleum Costs and the Development Petroleum Costs incurred by the Contractor as defined and determined under the provisions of the Accounting Procedure. 10.4 The State may receive its share of production defined in Article 10.3 here above, either in kind, or in cash. 10.5 If the State wishes to receive in kind all of part of its share of production defined in Article 10.3 here above, the Minister shall advise the Contractor in writing not less than ninety (90) days prior to the commencement of the relevant Quarter and specify the exact quantity it wishes to receive in kind during said Quarter and the modalities of delivery, which must be specified in the lifting contract. For this purpose, it is agreed that the Contractor shall not commit to the sale of a part of the State production, for a term which exceeds one hundred and eighty (180) days, unless he shall have obtained the written consent of the Minister. 10.6 If the State wishes to receive in cash all or part of its share of production specified in Article 10.3 here above, or if the Minister has failed to notify the Contractor of its decision to take a portion of the State’s production in kind in accordance with Article 10.5 here above, the Contractor is obligated to sell the State share of production which the State wishes to take in cash during the relevant Quarter, and to proceed with the liftings of such share in the course of such Quarter, and to pay the State within thirty (30) days following each lifting, an amount equal to the quantity corresponding to the portion of the State production share, multiplied by the sale price F.O.B., after deduction of the costs attributable to such sales. The Minister shall be entitled to request the settling of the sales of the State share of production effected by the Contractor either in Dollars or in any other convertible currency in which the transaction took place.: