Expansion Volume Throughput Commitment Clause Samples

Expansion Volume Throughput Commitment. As consideration for construction of the Expansion Facilities, Producer agrees to tender quantities of Expansion Volume each Expansion Year that at least equal the Annual Expansion Throughput Commitment for such Expansion Year set forth below, and to make a payment to Gatherer after each Expansion Year (the “Expansion Annual Shortfall Payment”) as set forth below if the Annual Expansion Throughput Commitment is not met for such Expansion Year. For purposes of this paragraph, “Expansion Year” shall mean a period of twelve (12) consecutive Months commencing on the later of (A) March 1, 2017 and (B) the In-Service Date, and each subsequent period of twelve (12) consecutive Months up to a maximum of five (5) Expansion Years. The Expansion Annual Shortfall Payment shall be calculated as follows: [((A – B) – C) – D] x E = Expansion Annual Shortfall Payment (in Dollars) Where: