Common use of Gas Pledge Clause in Contracts

Gas Pledge. 14.3.1 To the extent that the Storage User is the owner of the Natural Gas, the Storage User gives to the Storage Operator, in accordance with the provisions mentioned in attachment H1 of the Access Code for Storage, a quantity of Natural in Gas Pledge (the Pledged natural Gas) with a value equal to the average invoice amount of two (2) months (VAT included) calculated for the next Storage Year and with a remaining duration of not less thant thirty (30) Days. If the Service has a duration of less than thirty (30) days, the Storage User shall pay to the Storage Operator at the latest on the date of the Subscription of the Service, the expected invoice amount (VAT included). Any modification of the Storage User’s Subscribed Service(s), lower or higher, during the Storage Year covered by the Gas Pledge, shall automatically entail the adjustment of the quantity of the quantity of Pledged Natural Gas. The Storage Operator shall be entitled at any time during the Storage Year covered by the Gas Pledge to request Storage User to demonstrate within fifteen (15) Business Days after the notification by Storage Operator that the Pledged Natural Gas is in fact compliant with this Article 14 of this attachment. On a yearly basis and at the latest on the first day of the Storage Year and to the extent the Storage User has subscribed a Services Confirmation, the Storage User shall provide proof to the Storage Operator that the Pledged Natural Gas still complies with the requirements set in Article 14 of this attachment. The Gas Pledge shall at all times have a validity of at least two (2) Months after the expiry of the Service End Date, as specified in the relevant Services Confirmation.

Gas Pledge. 14.3.1 If the Storage User cannot submit an unconditional and irrevocable Financial Bank Guarantee, a Gas Pledge can alternatively be accepted as Collateral. To the extent that the Storage User is the owner of the Natural Gas, the Storage User gives to the Storage Operator, in accordance with the provisions mentioned in attachment H1 of the Access Code for Storage, a quantity of Natural Gas in Gas Pledge (the Pledged natural Natural Gas) with a value equal to the average invoice amount of two (2) months (VAT included) calculated for the next Storage Year and with a remaining duration of not less thant than thirty (30) Days. The volume of Pledged Natural Gas for Month M is defined by dividing this average invoice amount by the ZTP European Gas Spot Index of the last Business Day of Month M-1. If the Service has a duration of less than thirty (30) days, the Storage User shall pay to the Storage Operator at the latest on the date of the Subscription of the Service, the expected invoice amount (VAT included). Any modification of the Storage User’s Subscribed Service(s), lower or higher, during the Storage Year covered by the Gas Pledge, shall automatically entail the adjustment of the quantity of the quantity of Pledged Natural Gas. The Storage Operator shall be entitled at any time during the Storage Year covered by the Gas Pledge to request Storage User to demonstrate within fifteen (15) Business Days after the notification by Storage Operator that the Pledged Natural Gas is in fact compliant with this Article 14 of this attachment. On a yearly basis and at the latest on the first day of the Storage Year and to the extent the Storage User has subscribed a Services Confirmation, the Storage User shall provide proof to the Storage Operator that the Pledged Natural Gas still complies with the requirements set in Article 14 of this attachment. The Gas Pledge shall at all times have a validity of at least two (2) Months after the expiry of the Service End Date, as specified in the relevant Services Confirmation. As specified in Article 14.2.1, a cash deposit can be used by Storage User to meet this requirement. If a Gas Pledge is used, the expected set-up is as follows: start with a cash deposit, switch to a Gas Pledge and then revert to a cash deposit once the stored gas is no longer sufficient to cover the creditworthiness obligation.