Common use of Continuing Liabilities Upon Adjustments of Participating Interests Clause in Contracts

Continuing Liabilities Upon Adjustments of Participating Interests. Any reduction or elimination of a Party’s Participating Interest under this Article 6 shall not relieve such Party of its share of any liability arising out of Operations conducted by the Venture prior to such reduction or elimination, whether it accrues before or after such reduction or elimination. For purposes of this Section 6.6, such Party’s share of such liability shall be equal to its Participating Interest at the time such liability was incurred. The increased Participating Interest accruing to a Party as a result of the reduction or elimination of the other Party’s Participating Interest shall be free of Lien or royalties arising by, through or under such other Party, other than those existing at the time the Venture was formed and those to which both Parties have agreed to. An adjustment to a Participating Interest need not be evidenced during the term of this Agreement by the execution and recording of appropriate instruments, but each Party’s Participating Interest shall be shown in the books of the Manager. However, either Party, at any time upon request from the other Party, shall execute and acknowledge instruments necessary to evidence such adjustment in form sufficient for recording with the Mining Registry (Québec) or such other governmental authority charged with the application of the Act or other applicable Law in respect of transfer and recording of mining rights.

Continuing Liabilities Upon Adjustments of Participating Interests. Any reduction or elimination of a Party’s Party¶s Participating Interest under this Article 6 shall not relieve such Party of its share of any liability arising out of Operations conducted by the Venture prior to such reduction or elimination, whether it accrues before or after such reduction or elimination. For purposes of this Section 6.6, such Party’s Party¶s share of such liability shall be equal to its Participating Interest at the time such liability was incurred. The increased Participating Interest accruing to a Party as a result of the reduction or elimination of the other Party’s Party¶s Participating Interest shall be free of Lien or royalties arising by, through or under such other Party, other than those existing at the time the Venture was formed and those to which both Parties have agreed to. An adjustment to a Participating Interest need not be evidenced during the term of this Agreement by the execution and recording of appropriate instruments, but each Party’s Party¶s Participating Interest shall be shown in the books of the Manager. However, either Party, at any time upon request from the other Party, shall execute and acknowledge instruments necessary to evidence such adjustment in form sufficient for recording with the Mining Registry Lands Administration (QuébecOntario) or such other governmental authority charged with the application of the Act or other applicable Law in respect of transfer and recording of mining rights.