Prudent Costs definition
Prudent Costs means those incurred costs that could reasonably be expected to be incurred by a qualified, experienced, responsible and financially sound developer of facilities in the nature of the Midstream Facilities, acting reasonably, prudently, fairly and in good faith. Prudent Costs shall include those incurred costs deemed to be prudently incurred pursuant to Section 5.3(c) or the Audit Protocol.
Prudent Costs. All costs and expenses that have actually been incurred and that are: approved or deemed approved by Shipper or any Affiliate pursuant to this Section 5.3 (including any portion forming part of the Transporter Authorized Amount); or pursuant to or in connection with a WP&B approved by the applicable Alaska LNG Parties (and in effect) under any Key Project Agreement (including where Transporter has voted to reject such WP&B pursuant to Section 5.3(a)(iii)), shall be Prudent Costs for all purposes under this PA and the FTSA.
Examples of Prudent Costs in a sentence
For greater certainty, Shipper shall be restricted from objecting to any amounts forming part of the Termination Amount that have been deemed to be Prudent Costs pursuant to the terms of this PA.