Common use of Initial Participating Interests Clause in Contracts

Initial Participating Interests. Subject to sections 5.5 and 5.6, the Participants shall have the following Initial Participating Interests in the Venture: Richmont - 55% P▇▇▇▇▇▇▇ - 45% or Richmont - 25% + 1% for each $166,666.67 expended by Richmont in excess of $5 million P▇▇▇▇▇▇▇ - 75% - 1% for each $166,666.67 expended by Richmont in excess of $5 million For greater certainty and without limitation, in the event the provisions of section 5.6 are operative, the calculation of the initial interests of the Participants shall be calculated as at the point in time at which Richmont elects to cease to make further expenditures in accordance with such section 5.6. Moreover, if in the event Richmont has given notice of its election to put the Properties into Commercial Production under section 5.2 and has failed to incur expenditures under the Commercial Production Program of $5 million, then Richmont shall be deemed to have irrevocably withdrawn from the Venture and this Agreement shall forthwith be terminated without any liability on the part of any party therefor.

Initial Participating Interests. Subject to sections 5.5 and 5.6, the Participants shall have the following Initial Participating Interests in the Venture: Richmont - 55% P▇▇▇▇▇▇▇▇ - 45% or Richmont - 25% + 1% for each $166,666.67 expended by Richmont in excess of $5 million P▇▇▇▇▇▇▇▇ - 75% - 1% for each $166,666.67 expended by Richmont in excess of $5 million For greater certainty and without limitation, in the event the provisions of section 5.6 are operative, the calculation of the initial interests of the Participants shall be calculated as at the point in time at which Richmont elects to cease to make further expenditures in accordance with such section 5.6. Moreover, if in the event Richmont has given notice of its election to put the Properties into Commercial Production under section 5.2 and has failed to incur expenditures under the Commercial Production Program of $5 million, then Richmont shall be deemed to have irrevocably withdrawn from the Venture and this Agreement shall forthwith be terminated without any liability on the part of any party therefor.