Common use of MANDATORY WORK AND OBLIGATIONS Clause in Contracts

MANDATORY WORK AND OBLIGATIONS. a) Within one hundred eighty (180) days from the Effective Date the Contractor shall commence the Exploration Operations. The Contractor shall be obliged to perform mandatory work and undertake minimum work obligation in an amount as specified in Annex C. If the Contractor did not spend such amount, then the Contractor shall pay the difference to the Government Representative within thirty days after the end of the Contract Year of the Exploration Period being undertaken. b) Should the Contractor undertakes more work than minimum work obligation, the excess expenditures shall be carried forward to the next Contract Year of the Exploration Period. c) In the event the contract is terminated by the Contractor, the only obligation for the Contractor to spend the minimum work obligation amount for that Contract Year is the subject of the payment pursuant to the Article 6.1.a.