Royalties; Payments for Production. Seller has not been and is not in Breach of any payment obligations under any of the Leases. Seller is not obligated by virtue of a take or pay payment, call, advance payment, production payment, or other similar payment or obligation (other than royalties, overriding royalties, or similar arrangements that do not cause Seller’s NRI to be less than that set forth on Exhibit D), to deliver Hydrocarbons, or proceeds from the sale thereof, attributable to the Leases at some future time without receiving payment therefor at or after the time of delivery at the then market price or price called for by an applicable production sales agreement, and no take or pay credits must be provided before natural gas can be transported through any interstate carrier under FERC Order 500, et al, and there are no obligations on the Assets under FERC Order 451.
Appears in 4 contracts
Samples: Purchase and Sale Agreement, Purchase and Sale Agreement (St Mary Land & Exploration Co), Purchase and Sale Agreement (St Mary Land & Exploration Co)
