Capacity and Minimum Quarterly Throughput Commitments Sample Clauses

Capacity and Minimum Quarterly Throughput Commitments. (a) Holdings shall provide storage services with respect to, and shall maintain for the use of Company approximately 3,500,000 Barrels of storage capacity at the ▇▇▇▇▇▇▇ ▇▇▇▇▇ Terminal, subject to reduction for periodic maintenance (the “Capacity Commitment”), and Company shall pay a Monthly fee equal to the “Terminaling Fee” determined in accordance with Exhibit A multiplied by the Capacity Commitment. (b) During each Calendar Quarter, Company shall deliver, and accept delivery into a pipeline, at the ▇▇▇▇▇▇▇ ▇▇▇▇▇ Terminal at least a combined average of 190,000 Barrels per Day of Crude Oil, in approximately ratable quantities (such average, the “Minimum Quarterly Throughput Commitment”). Throughput up to 10,500,000 Barrels per Calendar Quarter is included in the Capacity Commitment; for each Barrel of Crude Oil in excess of the Capacity Commitment, Company shall pay to Holdings an amount equal to the “Activity Fee” determined in accordance with Exhibit A. (c) If Company fails to meet its Minimum Quarterly Throughput Commitment during any Calendar Quarter, then Company will pay Holdings a deficiency payment (each, a “Throughput Deficiency Payment”) equal to the volume of the deficiency multiplied by the “Activity Fee” determined in accordance with Exhibit A. For purposes of this calculation, “deficiency” means the amount by which actual throughput is less than the Minimum Quarterly Throughput Commitment but greater than 10,500,000 barrels. (d) The dollar amount of any Throughput Deficiency Payment paid by Company may be applied as a credit against any amounts incurred by Company and owed to Holdings with respect to volumes of Crude Oil throughput at the ▇▇▇▇▇▇▇ ▇▇▇▇▇ Terminal in excess of Company’s Minimum Quarterly Throughput Commitment TERMS IN THIS EXHIBIT HAVE BEEN REDACTED BECAUSE CONFIDENTIAL TREATMENT FOR THOSE TERMS HAS BEEN REQUESTED. THE REDACTED MATERIAL HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION, AND THE TERMS HAVE BEEN MARKED AT THE APPROPRIATE PLACE WITH TWO ASTERISKS (**). (or, if this Agreement expires or is terminated, to volumes that would have been in excess of Company’s Minimum Quarterly Throughput Commitment if this Agreement were still in effect) during any of the four Calendar Quarters immediately following the Calendar Quarter for which such Throughput Deficiency Payment was made, at the end of which time any unused credits arising from such Throughput Deficiency Payment will expire. This Section 3.02(d) ...