Lease Operating Expenses definition

Lease Operating Expenses means the actual costs incurred to bring the subsurface minerals (oil, natural gas, and natural gas liquids) up to the surface and convert them to marketable products. Lease operating expenses refers to the costs of operating the wells and equipment. "Lease operating expenses" includes actual costs of labor, fuel, utilities, materials, rent or supplies, which are directly related to the production, processing, or transportation of oil, natural gas, natural gas liquids, or any combination thereof and that can be documented by the producer. For the purposes of this calculation, depreciation, depletion, extraordinary expenses, ad valorem taxes, capital expenditures, intangible drilling costs, expenditures relating to vehicles or other tangible personal property not permanently used in the production of oil, natural gas, natural gas liquids, or any combination thereof shall not be included as lease operating expenses.

AI-Powered Contracts

Draft, Review & Redline at the Speed of AI

Lease Operating Expenses means such expenses of the Company and its Subsidiaries, calculated on a per Mcfe basis, relating to the costs of maintaining and operating property and equipment on a producing oil and natural gas lease, as determined under the Company’s standard accounting procedures and reported in its audited financial statements.

Lease Operating Expenses means any and all costs and expenses properly charged by the operator of the ▇▇▇▇▇ pursuant to the applicable operating agreement governing operations on such ▇▇▇▇▇.

Examples of Lease Operating Expenses in a sentence

For purposes of this Lease, "Operating Expenses" shall mean all operating expenses of any kind or nature which are necessary, ordinary, or customarily incurred in connection with the operation and maintenance or repair of all or a portion of the Building and Premises.
Tenant acknowledges that, pursuant to the CFDs, CFD Assessments may be levied on the Project and that, without limiting the generality of any other provision contained in this Lease, Operating Expenses shall include such CFD Assessments.
For the purpose of this Lease, Operating Expenses shall mean the total amounts incurred or paid by Landlord in connection with the ownership, management, maintenance, repair, replacement and operation of the Building.
For the purposes of this Lease, Operating Expenses shall be defined as any charges for taxes, insurance premiums or Common Area maintenance charges.
Notwithstanding anything to the contrary set forth in the Lease, Operating Expenses shall include, to the extent permitted by applicable laws, a fee for the services provided by Landlord in connection with the selection of utility companies and the negotiation and administration of contracts for electricity, provided that such fee shall not exceed 50% of any savings obtained by Landlord.

More Definitions of Lease Operating Expenses

Lease Operating Expenses means, for any month, direct out-of-pocket costs and expenses incurred during such month by the Company to operate and maintain the ▇▇▇▇▇ located on the Company's Oil and Gas Properties, including fixed overhead costs payable under applicable operating agreements. Without limiting the foregoing, Lease Operating Expenses shall not include any land and legal fees incurred by the Company, leasehold, seismic or other property acquisition costs, or costs to drill, test, complete, equip, deepen, sidetrack, recomplete or plug and abandon any well or internal overhead costs.

Lease Operating Expenses means, with respect to a Performance Cycle, the day to day costs incurred by the Company and its subsidiaries to maintain production of natural gas, NGLs and oil (including, without limitation, utilities, direct labor, water injection and disposal, the cost of CO2 injection, materials and supplies, compression, repairs and workover expenses).

Lease Operating Expenses means expenses of the Rooster Opcos incurred to pay for operating ▇▇▇▇▇ and equipment on producing lease(s) including, as related to such lease(s), (i) all costs and expenses of producing and disposing of minerals, including the separating, dehydrating, treating, processing, compressing, metering, gathering, transporting, and marketing of such minerals; (ii) the costs incurred for filings or applications with, or bonds or guarantees posted for the benefit of, any Governmental Authority; (iii) all taxes (except severance and other similar production taxes) and (iv) any other amounts that Lender agrees to treat as Lease Operating Expenses hereunder.

Lease Operating Expenses means those expenses set forth in the Reserve Report delivered at Closing and made a part of the Contract Operating Agreement, unless otherwise specified in the Schedule.

Lease Operating Expenses means the expenses of lifting crude oil or natural gas from a producing formation to the surface, constituting part of the current operating expenses of a working interest including labor, superintendence, supplies, repairs, short-lived assets, maintenance, allocated overhead costs, workover, marketing and transportation costs, insurance and other expenses incidental to production, but excluding lease acquisition or drilling or completion expenses.

Lease Operating Expenses means all expenditures of funds in connection with the Leases which are deductible under the Code, except those expenditures which are Capital Expenditures.

Lease Operating Expenses means normal and customary expenses incurred in the day to day operation of any oil and gas well on the Farmout Lands, including, but not limited to, normal lease operating expenses for the general maintenance of a well, chemical costs, power costs, labor costs, insurance costs, facilities maintenance and repair costs, and administrative overhead;