ROYALTY ON PRODUCTION. Except for oil, gas, and associated substances used on the leased area for development and production or unavoidably lost, the lessee shall pay to the state as a royalty percent in amount or value of the oil, gas, and associated substances saved, removed, or sold from the leased area and of the gas from the leased area used on the leased area for extraction of natural gasoline or other products.
ROYALTY ON PRODUCTION. (a) The state's royalty share of production from the lease is not subject to lien and shall be paid to the state, free and clear of all costs including costs incurred for exploration, production, transmission, or transportation, and regardless of whether the costs are incurred on or off the lease.
(b) The lessee shall pay to the state a royalty of 1.75 percent in amount or value of:
(1) the gross revenues derived from the production, sale, or use of geothermal resources from the leased area during the first 10 years immediately following the date the geothermal resource first generates gross income and 3.5 percent of the gross revenues derived from the production, sale, or use of geothermal resources under the lease after that first 10-year period;
(2) the market value of the geothermal resources that are sold in other than a bona fide arm’s length transaction between independent parties; and
(3) the market value of the geothermal resources consumed by the lessee.
(c) The state may adjust the royalty rates set out in subparagraph (b) above 20 years after the commencement of commercial production, and at intervals of not less than 10 years thereafter.
(d) With each production royalty payment, lessee shall submit to the state a statement of the geothermal resources produced, processed, used, shipped, or sold, including geothermal resources converted to other forms of energy, together with the price obtained or, where the substances are used without sale, an accounting of the alternate uses of the energy with evidence of their fair market value, and such other information relating to valuation as the state may require.
ROYALTY ON PRODUCTION. (a) The Lessee agrees t o pay the lessor a royalt y of tha t percent i n amount or value of production saved, removed or sold from the leased area as determined by the slidin g scale royalt y formula as follows . When the quarterl y value of production, adjusted fo r inflation , i s less than or equal t o $13.236229 million , a royalt y of 16.66667 percent i n amount or value of production saved, removed or sold wil l be due on the unadjusted value or amount of production. When the adjusted quarterl y value of production i s equal t o or greater than $13.236230 million , but less than or equal to $1662.854082 million , the royalt y percent due on the unadjusted value or amount of production i s given by Rj = b[Ln (Vj/S)] where Rj = the percent royalt y tha t i s due and payable on the unadjusted amount or value of al l production saved, removed or sold i n quarter j b = 10.0 Ln = natura l logarith m V j = the value of production i n quarter j , adjusted fo r inflation , i n million s of dollar s S = 2.5 When the adjusted quarterl y value of production i s equal to or greater than $1662.854083 million , a royalt y of 65.00000 percent i n amount or value of production saved, removed or sold wil l be due on the unadjusted quarterl y value of production. Thus, i n no instance wil l the quarterl y royalt y due exceed 65.00000 percent i n amount or value of quarterl y production saved, removed or sold .
ROYALTY ON PRODUCTION. Upon commencing production of valuable minerals from the Property, Lessee shall pay Owner a royalty on production in accordance with the following schedule: The term “net smelter returns” shall mean the gross value of ores or concentrates shipped to a smelter or other processor (as reported on the smelter settlement sheet) less the following expenses actually incurred and borne by Lessee:
a. Sales, use, gross receipts, severance, net proceeds of mine, ad valorem taxes applicable under state, federal, or local law and any other tax or governmental levy or fee relating to production of precious metals or other products from the Property or the value thereof (other than taxes based upon income);
b. Charges and costs, if any, for transportation from the mine or mill to places where the minerals are smelted, refined and/or sold; and
c. Charges, costs (including assaying and sampling costs specifically related to smelting and/or refining), and all penalties, if any, for smelting and/or refining. In the event smelting or refining are carried out in facilities owned or controlled, in whole or in part, by Lessee, charges, costs and penalties for such operations shall mean the amount Lessee would have incurred if such operations were carried out at facilities not owned or controlled by Lessee then offering comparable services for comparable products on prevailing terms. Payment of production royalties shall be made not later than thirty (30) days after receipt of payment from the smelter. All payments shall be accompanied by a statement explaining the manner in which the payment was calculated. The price of gold, for the purpose of computing the net smelter percentage, shall be the average of the London PM fix for gold for the five (5) business days preceding the receipt of payment from the smelter.
ROYALTY ON PRODUCTION. Lessee shall pay a total royalty for the Leased Area of TWELVE AND ONE-HALF PERCENT (12 – 1/2%) in amount or value of the Oil, Gas, and Associated Substances saved, removed, or sold from the Leased Area and of the Gas from the Leased Area used on the Leased Area for extraction of natural gasoline or other products.
ROYALTY ON PRODUCTION. Upon commencing production of valuable minerals from the Property, Lessee shall pay Owner a royalty on production in accordance with the following schedule:
ROYALTY ON PRODUCTION. (a) Thii bmuim I'jhuil IIU» n fimd iijiiUj. if pn,,,.i in •••«•> m • if pm rlwnti»n aawidi nmovtii, ot said turn tha Umam4 a»aa» Gas of all kinds (except helium) is subject to royalty. The Lessor shall determine whether production royalty shall be paid in amount or value.
ROYALTY ON PRODUCTION. 22.1. The Consortium shall pay to the State a Royalty on the Total Production of Hydrocarbons (after deducting the quantities referred to in this Article) at rate of 12.5% in the case of Crude Oil and 5% in case of Natural Gas.
22.2. The Royalty on the Crude will be payable, in whole or part, either in cash or kind. The Royalty on Natural Gas is always payable in cash. The choice of the method of payment of Royalty on Crude Oil will be notified by the Minister to the Consortium at least three months before the start of commercial production. This choice will remain valid until the Consortium receives a new notification from the Minister which must be given with at least three months advance notice. If no notification has been made within the period provided, all the Royalty will be paid in cash.
22.3. Before tenth of each month, the Consortium will submit to the Minister, with all necessary supporting documentation, a statement of the Total Production of the preceding month, divided into the following three categories :
a) the quantities sold during the course of the preceding month in satisfaction of the needs of internal consumption under Article 15.3 above,
b) the quantities of royalty to be paid in kind in respect of the previous months, and,
c) the balance, being the quantities intended for export. The statement shall specify separately the quantities of Crude Oil and Natural Gas.
22.4. When the royalty is payable in cash, it will be paid monthly on a provisional basis and quarterly on a final basis. The Consortium will pay the provisional amount within seven (7) days following the submission of the statement, on the basis of the quantities referred to in Article 22.3 c) above multiplied by the Ex-Field Market Price calculated in accordance with Articles 12.3 and 21.3 above. In the case of Crude Oil : - until the calculation of the Ex-Field Market Price for given Quarter, the provisional Ex-Field Market Price applicable to the Quarter will be the most recent Ex-Field Market Price ; - following the notification to the Minister, in accordance with Article 21.3 above, of the calculation of the ex-Field Market Price for the Quarter in question, the Minister will notify the Consortium of the final amount of royalty payable, after deduction of amounts payable on a provisional basis, and the Consortium will pay the royalty on a final basis. If the balance is negative, the amount will be deducted from the amount of royalty for which the Consortium is liable s...
ROYALTY ON PRODUCTION. (a) The Lessee shal l pay a fixe d royalty of 16~2/ 3 percent i n amount or value of pro• ductio n saved, removed, or sol d from the leased area. Gas of al l kinds (except helium) is subject to royalty . The Lessor shal l determine whether production royalty shal l be paid i n amount or value .
ROYALTY ON PRODUCTION
