For the purpose of this definition it is understood

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a Company which is a Party to this Contract.For the purpose of this definition it is understood that “control” means: (i) ownership by one company of more than fifty percent (50%) of the voting securities of the other company; or (ii) the power to direct, administer and dictate policies of the other company even where the voting securities held by such company exercising such effective control in that other company is less than fifty percent (50%) and the term “controlled” shall have a corresponding meaning. 1.2.4 “Appendix” means an Appendix attached to this Contract and made a part thereof. 1.2.5 “Appraisal” means an activity to establish commerciality of a Discovery which may include acquisition, processing and interpretation of seismic data, drilling of Appraisal Wells, extended well testing or any stimulation activity. 1.2.6 “Appraisal Programme” means a programme, as formulated in accordance with Article 10 and carried out, following a Discovery in the Contract Area for the purpose of Appraisal of the Discovery and delineating the Reservoirs to which the Discovery relates in terms of thickness and lateral extent and determining the characteristics thereof and the quantity of recoverable Petroleum therein. 1.2.7 “Appraisal Well” means a Well drilled pursuant to an Appraisal Programme. 1.2.8 “Arms Length Sales” means sales made freely in the open market, in freely convertible currencies, between willing and unrelated sellers and buyers and in which such buyers and sellers have no contractual or other relationship, directly or indirectly, or any common or joint interest as is reasonably likely to influence selling prices and shall, inter alia, exclude sales (whether direct or indirect, through brokers or otherwise) involving Affiliates, sales between Companies which are Parties to this Contract, sales between governments and government- owned entities, counter trades, restricted or distress sales, sales involving barter arrangements and generally any transactions motivated in whole or in part by considerations other than normal commercial practices. 1.2.9 “Article” means an article of this Contract and the term “Articles” means more than one Article. 1.2.10 “Associated Natural Gas” or “ANG” means Natural Gas produced in association with Crude Oil either as free gas or in solution, if such Crude Oil can by itself be commercially produced. 1.2.11 “Barrel” means a quantity or unit equal to 158.9074 litres (forty two (42) United States
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8 gallons) liquid measure, at a temperature of sixty (60) degrees Fahrenheit (15.56 degrees Celsius) and under one atmosphere pressure (14.70 psia). 1.2.12 “Basement” means any igneous or metamorphic rock, or rocks or any stratum of such nature, in and below which the geological structure or physical characteristics of the rock sequence do not have the properties necessary for the accumulation of Petroleum in commercial quantities and which reflects the maximum depth at which any such accumulation can be reasonably expected in accordance with the knowledge generally accepted in the international petroleum industry.
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  • Winter '14
  • Bijay K Behra
  • Government, Petroleum Operations, Contract Area

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