Common use of Royalty Clause in Contracts

Royalty. 9.1 Cavalier will pay to Gervais an annual royalty equal to three percent (3%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January and expiring on the 31st day of December in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier in respect thereof if such payments or calculations thereof are not disputed by Gervais within 60 days after receipt by Gervais of the said audit statement. Cavalier will maintain accurate records relevant to the determination of Net Smelter Returns and Gervais, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims except that Cavalier will have the right to commingle ore mined from the Claims with ore mined and produced from other properties provided Cavalier will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the Claims. Cavalier will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the Claims. Gervais or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier shall have the right at any time to purchase one-half of the Royalty by paying to Gervais the sum of $1,000,000 per Royalty percentage point.

Royalty. 9.1 Cavalier FLM will pay to Gervais the Vendor an annual royalty equal to three percent (3%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January May and expiring on the 31st 30th day of December April in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier FLM and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier FLM in respect thereof if such payments or calculations thereof are not disputed by Gervais the Vendor within 60 days after receipt by Gervais the Vendor of the said audit statement. Cavalier FLM will maintain accurate records relevant to the determination of Net Smelter Returns and Gervaisthe Vendor, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Property except that Cavalier FLM will have the right to commingle ore mined from the Claims Property with ore mined and produced from other properties provided Cavalier FLM will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsProperty. Cavalier FLM will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsProperty. Gervais The Vendor or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling commingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier FLM shall have the right at any time to purchase up to one and one-half of Royalty percentage points and reduce the Royalty to 1.5% by paying the Vendor $500,000 for each 0.5% Royalty purchased. For greater certainty, upon payment by FLM to Gervais the sum Vendor of $1,000,000 per 1,500,000, the Royalty percentage pointshall be reduced to 1.5% of Net Smelter Returns. 9.5 All payments made by FLM to the Vendor pursuant to Section 3.2 shall be treated as advance Royalty payments and shall be credited against and deducted from actual Royalty payments as they become due until such time as FLM has received credit for the full amount of such advance Royalty payments.

Royalty. 9.1 Cavalier 7.1 During the currency of this Agreement, Sutcliffe will pay to Gervais Gambier an annual royalty equal to three percent 2.0% (3%two percent) of Net Smelter Returns, subject to Section 9.4Returns (“NSR”) on any production of metals from the Claims. 9.2 After the exercise of the Option, payment 7.2 Payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st I st day of January October and expiring on the 31st 30th day of December September, in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns NSR or XXXX for such year will be audited by Cavalier Sutcliffe and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier Sutcliffe in respect thereof if such payments or calculations thereof are not disputed by Gervais Gambier within 60 days after receipt by Gervais Gambier of the said audit audited statement. Cavalier Sutcliffe will maintain accurate records relevant to the determination of Net Smelter Returns NSR and GervaisGambier , or its his authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 7.3 The determination of Net Smelter Returns NSR royalty hereunder is based on the premise that production will be developed solely on the Claims except that Cavalier Sutcliffe will have the right to commingle ore mined from the Claims with ore mined and produced from other properties provided Cavalier Sutcliffe will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the Claims. Cavalier Sutcliffe, will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the Claims. Gervais Gambier or its his authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling commingling of ore ores or to the calculation of Net Smelter ReturnsNSR. 9.4 Cavalier shall have the right at any time to purchase one-half of the Royalty by paying to Gervais the sum of $1,000,000 per Royalty percentage point.

Royalty. 9.1 Cavalier Sierra will pay to Gervais Jiujiang an annual royalty equal to three percent (3%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January and expiring on the 31st day of December in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier Sierra and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier Sierra in respect thereof if such payments or calculations thereof are not disputed by Gervais Jiujiang within 60 days after receipt by Gervais Jiujiang of the said audit statement. Cavalier Sierra will maintain accurate records relevant to the determination of Net Smelter Returns and GervaisJiujiang, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Property except that Cavalier Sierra will have the right to commingle ore mined from the Claims Property with ore mined and produced from other properties provided Cavalier Sierra will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsProperty. Cavalier Sierra will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsProperty. Gervais Jiujiang or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier Sierra shall have the right at any time to purchase one-half of the Royalty by paying to Gervais Jiujiang the sum of US $1,000,000 500,000 per Royalty percentage point.

Royalty. 9.1 Cavalier Paradigm will pay to Gervais Tomkies an annual royalty equal to three four percent (34%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January and expiring on the 31st day of December in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier Paradigm and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier Paradigm in respect thereof if such payments or calculations thereof are not disputed by Gervais Tomkies within 60 days after receipt by Gervais Tomkies of the said audit statement. Cavalier Paradigm will maintain accurate records relevant to the determination of Net Smelter Returns and GervaisTomkies, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Claim except that Cavalier Paradigm will have the right to commingle ore mined from the Claims Claim with ore mined and produced from other properties provided Cavalier Paradigm will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsClaim. Cavalier Paradigm will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsClaim. Gervais Tomkies or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier Paradigm shall have the right at any time to purchase one-half of the Royalty by paying to Gervais Tomkies the sum of $1,000,000 500,000 per Royalty percentage point.

Royalty. 9.1 Cavalier Theron will pay to Gervais Vendor an annual royalty equal to three percent (3%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January and expiring on the 31st day of December in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier Theron and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier Theron in respect thereof if such payments or calculations thereof are not disputed by Gervais Vendor within 60 days after receipt by Gervais Vendor of the said audit statement. Cavalier Theron will maintain accurate records relevant to the determination of Net Smelter Returns and GervaisVendor, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims except that Cavalier Theron will have the right to commingle ore mined from the Claims with ore mined and produced from other properties provided Cavalier Theron will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the Claims. Cavalier Theron will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the Claims. Gervais Vendor or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier Theron shall have the right at any time to purchase one-half of the Royalty by paying to Gervais Vendor the sum of $1,000,000 300,000 per Royalty percentage point.

Royalty. 9.1 Cavalier CCS will pay to Gervais the Vendor an annual royalty equal to three two percent (32.0%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st 15th day of January September and expiring on the 31st 14th day of December September in any year in during which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier CCS and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier CCS in respect thereof if such payments or calculations thereof are not disputed by Gervais the Vendor within 60 days after receipt by Gervais the Vendor of the said audit statement. Cavalier CCS will maintain accurate records relevant to the determination of Net Smelter Returns and Gervaisthe Vendor, or its his authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Property except that Cavalier CCS will have the right to commingle ore mined from the Claims Property with ore mined and produced from other properties provided Cavalier CCS will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsProperty. Cavalier CCS will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsProperty. Gervais The Vendor or its her authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling commingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier CCS shall have the right to purchase the Royalty as follows: (a) up until September 15, 2017, CCS may purchase one (1) NSR Royalty percentage point and reduce the Royalty to 1.0% NSR by paying the Vendor $250,000, provided that any payments made by CCS to the Vendor pursuant to paragraphs 3.1(a) and 3.2(a) shall be credited to and form part of the $250,000 purchase price; and (b) CCS may purchase the entire Royalty (2% NSR) at any time prior to September 15, 2014 by paying the Vendor the $750,000. If the $500,000 payment for purchase one-half of the 1% NSR seen in 9.4 (a) has been made previously, the payment due in 9.4 (b) will be reduced by $500,000. The payment will also be reduced by cumulative Advance Royalty payments. 9.5 All cash payments made by paying CCS to Gervais the sum Vendor pursuant to paragraphs 3.1(a) and 3.2(a) shall be treated as advance Royalty payments and shall be credited against and deducted from actual Royalty payments as they become due until such time as CCS has received credit for the full amount of $1,000,000 per such advance Royalty percentage pointpayments.

Royalty. 9.1 Cavalier Osprey will pay to Gervais Jiujiang an annual royalty equal to three percent (3%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January and expiring on the 31st day of December in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier Osprey and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier Osprey in respect thereof if such payments or calculations thereof are not disputed by Gervais Jiujiang within 60 days after receipt by Gervais Jiujiang of the said audit statement. Cavalier Osprey will maintain accurate records relevant to the determination of Net Smelter Returns and GervaisJiujiang, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Property except that Cavalier Osprey will have the right to commingle ore mined from the Claims Property with ore mined and produced from other properties provided Cavalier Osprey will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsProperty. Cavalier Osprey will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsProperty. Gervais Jiujiang or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier Osprey shall have the right at any time to purchase one-half of the Royalty by paying to Gervais Jiujiang the sum of US $1,000,000 500,000 per Royalty percentage point.

Royalty. 9.1 Cavalier Invision will pay to Gervais Vendors an annual royalty equal to three four percent (34%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January and expiring on the 31st day of December in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier Invision and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier Invision in respect thereof if such payments or calculations thereof are not disputed by Gervais Vendors within 60 days after receipt by Gervais Vendors of the said audit statement. Cavalier Invision will maintain accurate records relevant to the determination of Net Smelter Returns and GervaisVendors, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Claim except that Cavalier Invision will have the right to commingle ore mined from the Claims Claim with ore mined and produced from other properties provided Cavalier Invision will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsClaim. Cavalier Invision will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsClaim. Gervais Vendors or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier Invision shall have the right at any time to purchase one-half of the Royalty by paying to Gervais Vendors the sum of $1,000,000 500,000 per Royalty percentage point.

Royalty. 9.1 Cavalier BHM will pay to Gervais the Vendor an annual royalty equal to three percent one and one half (31.5%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st lst day of January February and expiring on the 31st day of December January in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier BHM and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier BHM in respect thereof if such payments or calculations thereof are not disputed by Gervais the Vendor within 60 days after receipt by Gervais the Vendor of the said audit statement. Cavalier BHM will maintain accurate records relevant to the determination of Net Smelter Returns and Gervaisthe Vendor, or its his. authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Property except that Cavalier BHM will have the right to commingle ore mined from the Claims Property with ore mined and produced from other properties provided Cavalier BHM will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsProperty. Cavalier BHM will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsProperty. Gervais The Vendor or its her authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling commingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier BHM shall have the right at any time to purchase the Royalty as follows: (a) up until July 15, 2013, BHM may purchase one-half Royalty percentage point and reduce the Royalty to 1.0% by paying the Vendor $250,000, provided that any payments made by BHM to the Vendor pursuant to paragraphs 3.l(a) and 3.2{a) shall be credited to and form part of the $250,000 purchase price; and (b) BHM may purchase the entire Royalty at any time by paying the Vendor the value of 2000 ounces of gold based upon the closing spot price of gold on January 2nd, or the closest subsequent trading day of the year in which the royalty is purchased. 9.5 All cash payments made by BHM to Gervais the sum Vendor pursuant to paragraphs 3.l(a) and3.2(a) shall be treated as advance Royalty payments and shall be credited against and deducted from actual Royalty payments as they become due until such time as BHM has received credit for the full amount of $1,000,000 per such advance Royalty percentage pointpayments.

Royalty. 9.1 Cavalier Xxxxx will pay to Gervais Vendor an annual royalty equal to three four percent (34%) of Net Smelter Returns, subject to Section 9.4. 9.2 After the exercise of the Option, payment of the Royalty will be made quarterly within 30 days after the end of each yearly quarter based upon a year commencing on the 1st day of January and expiring on the 31st day of December in any year in which production occurs. Within 60 days after the end of each year for which the Royalty is payable, the records relating to the calculation of Net Smelter Returns for such year will be audited by Cavalier Xxxxx and any adjustments in the payment of the Royalty will be made forthwith after completion of the audit. All payments of the Royalty for a year will be deemed final and in full satisfaction of all obligations of Cavalier Xxxxx in respect thereof if such payments or calculations thereof are not disputed by Gervais Vendor within 60 days after receipt by Gervais Vendor of the said audit statement. Cavalier Xxxxx will maintain accurate records relevant to the determination of Net Smelter Returns and GervaisVendor, or its authorized agent, shall be permitted the right to examine such records at all reasonable times. 9.3 The determination of Net Smelter Returns royalty hereunder is based on the premise that production will be developed solely on the Claims Claim except that Cavalier Xxxxx will have the right to commingle ore mined from the Claims Claim with ore mined and produced from other properties provided Cavalier Xxxxx will adopt and employ reasonable practices and procedures for weighing, sampling and assaying, in order to determine the amounts of products derived from, or attributable to commingled ore mined and produced from the ClaimsClaim. Cavalier Xxxxx will maintain accurate records of the results of such sampling, weighing and analysis with respect to any commingled ore mined and produced from the ClaimsClaim. Gervais Vendor or its authorized agents will be permitted the right to examine at all reasonable times such records pertaining to comingling of ore or to the calculation of Net Smelter Returns. 9.4 Cavalier Xxxxx shall have the right at any time to purchase one-half of the Royalty by paying to Gervais Vendor the sum of $1,000,000 500,000 per Royalty percentage point.