Maintenance and Repair Standards. Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties shall maintain (i) the Magnolia Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership Parties’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties from providing the applicable Minimum Throughput Capacity. To the extent the Company is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership Parties, then the Lion Crude Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties can effectively throughput in the Lion Crude Pipelines (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) regardless of whether actual throughput prior to the reduction was below the Lion Crude
Appears in 3 contracts
Samples: Pipelines and Storage Facilities Agreement, Pipelines and Storage Facilities Agreement (Delek US Holdings, Inc.), Pipelines and Storage Facilities Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. Subject to interruptions for Force Majeure events pursuant to Section 3 and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties Logistics shall maintain (i) the Magnolia Pipeline Terminal with sufficient aggregate capacity to throughput a volume of Crude Oil Materials at least equal to the Magnolia Pipeline Minimum Throughput Capacity, Capacity and (ii) the El Dorado Crude Pipeline Tankage with a capacity sufficient aggregate capacity to throughput store a volume of Crude Oil Materials at least equal to the El Dorado Crude Pipeline applicable Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Storage Capacity. The Partnership PartiesLogistics’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure event or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties Logistics from providing the Minimum Throughput Capacity or storing the applicable Minimum Throughput Storage Capacity. To the extent the Company Refining is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting or storing volumes on the Lion Crude Pipelines equal to at least the Lion Crude applicable Minimum Throughput Commitment Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership PartiesLogistics (including any reduction in available storage capacity pursuant to Section 2(r)), then the Lion Crude (i) Refining’s Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties Logistics can effectively throughput in at the Lion Crude Pipelines Terminal (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) ), regardless of whether actual throughput prior to the reduction was below the Lion CrudeMinimum Throughput Commitment, and/or (ii) the Group A Storage Fee shall be reduced by the amount of $0.618 and/or the Group B Storage Fee shall be reduced by the amount of $0.50 (which amounts shall be adjusted in accordance with the adjustments to the Storage Fees provided for in Sections 2(d), (k) and (l) above, if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each barrel less than the applicable Minimum Storage Capacity that Logistics is unable to store at the Tankage regardless of whether Refining actually used such storage capacity. At such time as Logistics is capable of throughputting volumes equal to the full Minimum Throughput Commitment or storing HOU02:1274125 - 20 - volumes equal to the applicable Minimum Storage Capacity, as applicable, Refining’s obligation to throughput the full Minimum Throughput Commitment and to pay the full Storage Fees shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput of the Terminal or storage capacity of the Tankage should fall below the Minimum Throughput Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, Logistics shall make repairs to the Terminal and/or the Tankage to restore the capacity of the Terminal to that required for throughput of the Minimum Throughput Commitment and/or Tankage to that required for storing of the applicable Minimum Storage Capacity (“Restoration”). Except as provided below in Section 8(c), all of such Restoration shall be at Logistics’ cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of Refining, its employees, agents or customers.
Appears in 3 contracts
Samples: Throughput and Tankage Agreement, Throughput and Tankage Agreement (Delek Logistics Partners, LP), Throughput and Tankage Agreement (Delek US Holdings, Inc.)
Maintenance and Repair Standards. Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with customary terminal industry standards, the Partnership Parties Delek-Big Xxxxx shall maintain (i) the Magnolia Pipeline Terminal in a condition and with a capacity sufficient aggregate capacity to throughput a volume of Crude Oil Delek Refining’s Products at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity Capacity and to throughput store a volume of Crude Oil Delek Refining’s Products at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Storage Capacity. The Partnership Parties’ Delek-Big Sandy’s obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with industry standards that prevent prevents Delek-Big Xxxxx from terminalling the Partnership Parties from providing the applicable Minimum Throughput Capacity or storing the Minimum Storage Capacity. To the extent the Company Delek Refining is prevented for 30 or more days in any Contract Year from (i) throughputting terminalling volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting volumes on or using the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership PartiesDelek Big-Xxxxx, then the Lion Crude Delek Refining’s Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties Delek Refining can effectively throughput in at the Lion Crude Pipelines Terminal (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) regardless of whether the actual throughput prior to the reduction was below the Lion CrudeMinimum Throughput Commitment, and the Storage Fee shall be reduced by an amount of $0.57 per barrel (which amount shall be adjusted in accordance with adjustments to the Storage Fee provided for in Sections 3(e), 5 and 8(a) above, if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each barrel less than the Minimum Storage Capacity that Delek-Big Xxxxx is unable to store at the Terminal, regardless of whether Delek Refining actually used such storage capacity. At such time as Delek-Big Xxxxx is capable of terminalling volumes equal to the Minimum Throughput Capacity or using the Minimum Storage Capacity, as applicable, Delek Refining’s obligation to throughput the full Minimum Throughput Commitment and to pay the full Storage Fee shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput or storage capacity of the Terminal should fall below the Minimum Throughput Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, Delek-Big Xxxxx shall make repairs to the Terminal to restore the capacity of the Terminal to that required for throughput of the Minimum Throughput Capacity or using the Minimum Storage Capacity (“Restoration”). Except as provided below in Section 25(c), all of such Restoration shall be at Delek-Big Sandy’s cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of Delek Refining, its employees, agents or customers.
Appears in 3 contracts
Samples: Terminalling Services Agreement, Terminalling Services Agreement (Delek Logistics Partners, LP), Terminalling Services Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. Subject to interruptions for Force Majeure events pursuant to Section 5 and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties Logistics shall maintain (i) the Magnolia Pipeline Terminal with sufficient aggregate capacity to throughput a volume of Crude Oil Materials at least equal to the Magnolia Pipeline Minimum Throughput Capacity, Capacity and (ii) the El Dorado Crude Pipeline Tankage with a capacity sufficient aggregate capacity to throughput store a volume of Crude Oil Materials at least equal to the El Dorado Crude Pipeline applicable Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Storage Capacity. The Partnership PartiesRecalibration or strapping of the Tankage will be performed from time to time by Logistics upon the reasonable request of Lion or otherwise in accordance with generally accepted industry standards. Logistics’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure event or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties Logistics from providing the Minimum Throughput Capacity or storing the applicable Minimum Throughput Storage Capacity. To the extent the Company Lion is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting or storing volumes on the Lion Crude Pipelines equal to at least the Lion Crude applicable Minimum Throughput Commitment Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership PartiesLogistics (including any reduction in available storage capacity pursuant to Section 2(k)), then the Lion Crude then, as applicable, (i) Lion’s Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties Logistics can effectively throughput in at the Lion Crude Pipelines Terminal (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) ), regardless of whether actual throughput Actual Throughput prior to the reduction was below the Minimum Throughput Commitment, and/or (ii) the Group A Storage Fee shall be reduced by the amount of $0.658, the Group B Storage Fee shall be reduced by the amount of $0.156, and/or the Group C Storage Fee shall be reduced by the amount of $0.964 (which amounts shall be adjusted in accordance with the adjustments to the Storage Fees provided for in Sections 2(d) and (i) above, if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each barrel less than the applicable Minimum Storage Capacity that Logistics is unable to store at the Tankage regardless of whether Lion Crudeactually used such storage capacity. At such time as Logistics is capable of throughputting volumes equal to the full Minimum Throughput Commitment or storing volumes equal to the applicable Minimum Storage Capacity, as applicable, Lion’s obligation to throughput the full Minimum Throughput Commitment and to pay the full Storage Fees shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput of the Terminal or storage capacity of the Tankage should fall below the Minimum Throughput Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, Logistics shall make repairs to the Terminal and/or the Tankage to restore the capacity of the Terminal to that required for throughput of the Minimum Throughput Commitment and/or Tankage to that required for storing of the applicable Minimum Storage Capacity (“Restoration”). Except as provided below in Section 10(c), all of such Restoration shall be at Logistics’ cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of Lion, its employees, agents or customers.
Appears in 3 contracts
Samples: Throughput and Tankage Agreement, Throughput and Tankage Agreement (Delek Logistics Partners, LP), Throughput and Tankage Agreement (Delek US Holdings, Inc.)
Maintenance and Repair Standards. (i) Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standardsMajeure, the Partnership Parties shall maintain (i) the Magnolia Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership Parties’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with customary crude petroleum and refined petroleum products pipeline standards, and any applicable regulatory requirements, TLO shall accept for shipment on the Short Haul Pipelines in accordance with pipeline industry standards all crude petroleum and refined petroleum products that prevent TRMC requests TLO to transport. Further, TLO shall maintain and repair all portions of the Partnership Parties from providing Short Haul Pipelines in accordance with pipeline industry standards and in a manner which allows the applicable Short Haul Pipelines to be capable, subject to Force Majeure, of shipping, storing and delivering volumes of crude petroleum and refined petroleum products which are no less than the Minimum Throughput Capacity. To .
(ii) If for any reason, including without limitation a Force Majeure event, the extent throughput capacity of any Segment of the Company is prevented for 30 or more days Short Haul Pipelines should fall below the Minimum Throughput Capacity, then (A) during such period of reduced throughput capacity, TRMC’s obligation to ship the Minimum Throughput Commitment and pay the Shortfall Payment shall be reduced as described in any Contract Year from Section 12(c) above and (iB) throughputting volumes on within a reasonable period of time after the Magnolia Pipeline equal commencement of such reduction, TLO shall make repairs to and/or replace the affected portion of the Short Haul Pipelines to restore the capacity of each Segment to the full Magnolia Pipeline required Minimum Throughput Capacity (“Restoration”). Except as provided below in Sections 13(c) and 13(d), all such Restoration shall be at TLO’s cost and expense unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of TRMC, its employees, agents or customers.
(iiiii) throughputting volumes Notwithstanding the above provisions, except pursuant to a Capacity Expansion requested by TRMC, TLO shall not be required to install any additional pumping capacity or other improvements on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment for reasons facilitate shipment of Force Majeure or other interruption a heavier grade of service affecting the facilities or assets of the Partnership Parties, then the Lion Crude Minimum Throughput Commitment shall be proportionately reduced crude petroleum than has historically been shipped to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties can effectively throughput Storage Facility for use in the Lion Crude Pipelines (prorated SLC Refinery. Upon request by TRMC for upgraded capacity for shipment of heavier crude petroleum grades in connection with a Restoration, the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) regardless of whether actual throughput prior Parties shall negotiate in good faith arrangements whereby TLO will install suitable upgrades to the reduction was below the Lion CrudeCrude Pipelines, consistent with Applicable Law, accepted pipeline design and operating procedures that will allow shipment of volumes of such heavier crude petroleum commensurate with historical volumes of lighter crude petroleum shipments, with TRMC to reimburse TLO for associated capital costs and increased operating costs, as otherwise provided herein.
Appears in 3 contracts
Samples: Transportation Services Agreement (Tesoro Logistics Lp), Transportation Services Agreement (Tesoro Corp /New/), Transportation Services Agreement (Tesoro Logistics Lp)
Maintenance and Repair Standards. (i) Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standardsMajeure, the Partnership Parties shall maintain (i) the Magnolia Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership Parties’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with customary crude petroleum pipeline standards, scheduling requirements as set forth in the Rules Tariff and any requirements of Applicable Law, THPP shall accept for shipment on the Pipeline System in accordance with pipeline industry standards all crude petroleum that prevent meets the Partnership Parties from providing quality specifications of the applicable Rules Tariff. Further, THPP shall maintain and repair all portions of the Pipeline System in accordance with pipeline industry standards and in a manner which allows the Pipeline System to be capable, subject to Force Majeure, of shipping, storing and delivering volumes of crude petroleum which are no less than (A) the Reserved Capacity of each Segment of the Pipeline System, (B) the Minimum Throughput Capacity. To Required Terminal Capacity for each Terminal and (C) the extent Minimum Required Gathering Line Capacity of each portion of the Company is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on gathering lines, tanks and associated lateral pipelines of the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and System.
(ii) throughputting volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment If for reasons of any reason, including without limitation a Force Majeure event, (A) the throughput capacity of any Segment should fall below the specified minimum Reserved Capacity, (B) the throughput or other interruption storage capacity of service affecting any Terminal should fall below the facilities Minimum Required Terminal Capacity or assets (C) the throughput or storage capacity of any gathering line, tank and associated lateral pipelines of the Partnership PartiesPipeline System should fall below the Minimum Required Gathering Line Capacity, then (Y) during such period of reduced throughput or storage TRMC’s obligation to ship the Lion Crude Minimum Throughput Commitment shall be proportionately reduced as described in Section 12(c) above and (Z) within a reasonable period of time after the commencement of such reduction, THPP shall make repairs to and/or replace the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties can effectively throughput in the Lion Crude Pipelines (prorated for the affected portion of the Contract Quarter during which Pipeline System to restore the Lion Crude Minimum Throughput Capacity was unavailable) regardless capacity of whether actual throughput prior each Segment, Terminal and Gathering System to the reduction Reserved Capacity, Minimum Required Terminal Capacity or Minimum Required Gathering Line Capacity, as applicable (collectively “Restoration”). Except as provided below in Sections 13(c) and 13(d), all such Restoration shall be at THPP’s cost and expense unless the damage creating the need for such repairs was below caused by the Lion Crudenegligence or willful misconduct of TRMC, its employees, agents or customers.
Appears in 2 contracts
Samples: Transportation Services Agreement (Tesoro Logistics Lp), Transportation Services Agreement (Tesoro Logistics Lp)
Maintenance and Repair Standards. (a) Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties Owner shall maintain (i) the Magnolia Pipeline Crude Oil Pipelines with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Crude Oil Pipelines Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline Product Pipelines with sufficient aggregate capacity to throughput a volume of Crude Oil Product at least equal to the El Dorado Crude Pipeline Product Pipelines Minimum Throughput Capacity, (iii) the Diesel Pipeline Rail Racks with sufficient aggregate capacity to throughput a volume of Crude Oil Materials at least equal to the Diesel Pipeline Rail Rack Minimum Throughput Capacity and Capacity, (iv) the Gasoline Pipeline Product Racks with sufficient aggregate capacity to throughput a volume of Product at least equal to the Product Racks Minimum Throughput Capacity, (v) the Xxxxxx Terminal with sufficient capacity to throughput a volume of Crude Oil Product at least equal to the Gasoline Pipeline Xxxxxx Terminal Minimum Throughput Capacity. The Partnership Parties’ , and (vi) the Storage Facilities with a capacity sufficient to store a volume of Materials at least equal to the Minimum Storage Capacity.
(b) Owner’s obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties Owner from providing the applicable Minimum Throughput Capacity or the Minimum Storage Capacity. To the extent the Company Customer is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline Pipelines or the Racks or through the Xxxxxx Terminal equal to the full Magnolia Pipeline daily bpd amount used in calculation of the applicable Minimum Throughput Capacity and (ii) throughputting Commitment, or storing volumes on the Lion Crude Pipelines equal to at least the Lion Crude applicable Minimum Throughput Commitment Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of Owner, then, as applicable:
(i) the Partnership Parties, then the Lion Crude applicable Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude applicable Minimum Throughput Capacity and the amount that the Partnership Parties Owner can effectively throughput in such Pipelines or Racks or through the Lion Crude Pipelines Xxxxxx Terminal (prorated for the portion of the Contract Quarter during which the Lion Crude applicable Minimum Throughput Capacity was unavailable) regardless of whether actual throughput amounts prior to the reduction was were below the Lion Crudeapplicable Minimum Throughput Commitments; and/or
(ii) the Storage Fee shall be reduced by the amount of $0.55 per Barrel (which amounts shall be adjusted in accordance with the adjustments provided for in Section 8.2 and Section 8.6(c), if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each Barrel less than the applicable Minimum Storage Capacity that Owner is unable to store at the Storage Facilities regardless of whether Customer actually used such storage capacity.
(c) At such time as Owner is capable of throughputting volumes equal to the full applicable Minimum Throughput Capacity or storing volumes equal to the applicable Minimum Storage Capacity, as applicable, Customer’s obligation to throughput the full applicable Minimum Throughput Commitment and to pay the full Storage Fees shall be restored.
(d) If for any reason, including, without limitation, a Force Majeure event, the throughput of the Pipelines or the Racks or Xxxxxx Terminal or storage capacity of the Storage Facilities should fall below the applicable Minimum Throughput Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, Owner shall make repairs to the Assets to restore the capacity of the Assets to that required for throughput of the applicable Minimum Throughput Capacity and/or required for storing of the applicable Minimum Storage Capacity (“Restoration”). Except as provided below in Section 10.3, all of such Restoration shall be at Owner’s cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of Customer, its employees, agents or customers. Owner shall maintain the Assets in good working order, reasonable wear and tear excepted.
Appears in 2 contracts
Samples: Pipelines, Storage and Throughput Facilities Agreement, Pipelines, Storage and Throughput Facilities Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with customary terminal and pipeline industry standards, the Partnership Parties shall maintain as applicable, Delek-Big Sandy shxxx xaintain (i) the Magnolia Pipeline in a condition and with a capacity sufficient aggregate to ship a volume of Delek Refining’s Products at least equal to the Minimum Pipeline Capacity and (ii) the Terminal in a condition and with a capacity sufficient to throughput a volume of Crude Oil Delek Refining’s Products at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity Capacity and to throughput store a volume of Crude Oil Delek Refining’s Products at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Storage Capacity. The Partnership Parties’ Delek-Big Sandy’s obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with industry standards that prevent prevents Delek-Big Sandy frxx xxansporting the Partnership Parties from providing Minimum Pipeline Capacity, terminalling the applicable Minimum Throughput Terminalling Capacity or storing the Minimum Storage Capacity. To the extent the Company Delek Refining is prevented for 30 or more days in any Contract Year from (i) throughputting transporting volumes on the Magnolia Pipeline equal to the full Magnolia Minimum Pipeline Minimum Throughput Capacity and (ii) throughputting Capacity, terminalling volumes on the Lion Crude Pipelines equal to at least the Lion Crude full Minimum Throughput Commitment Terminalling Capacity or using the Minimum Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership PartiesFacilities (including any reduction in available storage capacity pursuant to Section 3(c)(ii)), then the Lion Crude Delek Refining’s (i) Minimum Pipeline Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Pipeline Capacity and the amount that the Partnership Parties Delek Refining can effectively throughput in ship on the Lion Crude Pipelines Pipeline (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Pipeline Capacity was unavailable) regardless of whether the actual shipments prior to the reduction were below the Minimum Pipeline Throughput Commitment, (ii) Minimum Terminalling Throughput Commitment shall be proportionately reduced to the extent of the difference between the Minimum Terminalling Capacity and the amount that Delek Refining can effectively throughput at the Terminal (prorated for the portion of the Contract Quarter during which the Minimum Throughput Capacity was unavailable) regardless of whether the actual throughput prior to the reduction was below the Lion CrudeMinimum Terminalling Throughput Commitment, and (iii) the Storage Fee shall be reduced by an amount of $[0.57] per barrel (which amount shall be adjusted in accordance with adjustments to the Storage Fee provided for in Sections 3(d), 5 and 8(a) above, if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each barrel less than the Minimum Storage Capacity that Delek-Big Sandy is xxxxle to store at the Terminal, regardless of whether Delek Refining actually used such storage capacity. At such time as Delek-Big Sandy is xxxxble of transporting volumes equal to the Minimum Pipeline Capacity, terminalling volumes equal to the Minimum Terminalling Capacity or using the Minimum Storage Capacity, as applicable, Delek Refining’s obligation to throughput the full Minimum Throughput Commitment and to pay the full Storage Fee shall be restored. If for any reason, including, without limitation, a Force Majeure event, the transportation capacity of the Pipeline should fall below the Minimum Pipeline Capacity or the throughput or storage capacity of the Terminal should fall below the Minimum Terminalling Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, Delek-Big Sandy shxxx xake repairs to the Facilities, as applicable, to restore the capacity of the Facilities to that required for shipment and throughput of the Minimum Throughput Commitment or using the Minimum Storage Capacity (“Restoration”). Except as provided below in Section 25(c), all of such Restoration shall be at Delek-Big Sandy’s cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of Delek Refining, its employees, agents or customers.
Appears in 2 contracts
Samples: Services Agreement (Delek Logistics Partners, LP), Services Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties shall maintain (i) the Magnolia Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership Parties’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties from providing the applicable Minimum Throughput Capacity. To the extent the Company is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership Parties, then the Lion Crude Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties can effectively throughput in the Lion Crude Pipelines (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) regardless of whether actual throughput prior to the reduction was below the Lion CrudeCrude Minimum Throughput Commitment. To the extent the Company is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the El Dorado Crude Pipeline equal to at least the El Dorado Crude Pipeline Minimum Throughput Capacity or (ii) throughputting volumes on the Products Pipeline equal to at least the Products Minimum Throughput Commitment for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership Parties, then the applicable Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the applicable Minimum Throughput Capacity and the amount that the Partnership Parties can effectively throughput in such Pipelines (prorated for the portion of the Contract Quarter during which the applicable Minimum Throughput Capacity was unavailable) regardless of whether actual throughput amounts prior to the reduction were below the applicable Minimum Throughput Commitments. At such time as the Partnership Parties are capable of throughputting volumes equal to the full applicable Minimum Throughput Capacity, the Company’s obligation to throughput the full applicable Minimum Throughput Commitment shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput of the Pipelines should fall below the applicable Minimum Throughput Capacity, then with due diligence and dispatch, the Partnership Parties shall make repairs to the Pipelines to restore the capacity of the Pipelines to that required for throughput of the applicable Minimum Throughput Capacity (“Restoration”). Except as provided below in Section 6.3, all of such Restoration shall be at the Partnership Parties’ cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of the Company, its employees, agents or customers. The Partnership Parties shall maintain the Gathering System and the Rail Pipeline in good working order.
Appears in 2 contracts
Samples: Pipelines and Storage Facilities Agreement (Delek Logistics Partners, LP), Pipelines and Storage Facilities Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. (i) Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standardsMajeure, the Partnership Parties shall maintain (i) the Magnolia Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership Parties’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with customary crude petroleum and refined petroleum products pipeline standards, and any applicable regulatory requirements, TLO shall accept for shipment on the Short Haul Pipelines in accordance with pipeline industry standards all crude petroleum and refined petroleum products that prevent the Partnership Parties from providing the applicable Minimum Throughput CapacityTRMC requests TLO to transport. To the extent the Company is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity Further, TLO shall maintain and (ii) throughputting volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment for reasons of Force Majeure or other interruption of service affecting the facilities or assets repair all portions of the Partnership PartiesShort Haul Pipelines in accordance with pipeline industry standards and in a manner which allows the Short Haul Pipelines to be capable, then subject to Force Majeure, of shipping, storing and delivering volumes of crude petroleum and refined petroleum products which are no less than the Lion Crude Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that UNEV Connection to be capable, subject to Force Majeure, of delivering volumes of refined petroleum products which are no less than the Partnership Parties can effectively UNEV Minimum Throughput Capacity.
(ii) If for any reason, including without limitation a Force Majeure event, the throughput capacity of any Segment of the Short Haul Pipelines should fall below the Minimum Throughput Capacity, or the throughput capacity of the UNEV Connection should fall below the UNEV Minimum Throughput Capacity then (A) during such period of reduced throughput capacity, TRMC's obligation to ship the Minimum Throughput Commitment or to deliver the UNEV Minimum Throughput Commitment, applicable shall be reduced as described in Section 13(c) above and (B) within a reasonable period of time after the Lion Crude Pipelines (prorated for commencement of such reduction, TLO shall make repairs to and/or replace the affected portion of the Contract Quarter during which Short Haul Pipelines or the Lion Crude UNEV Connection to restore the capacity of each Segment to the required Minimum Throughput Capacity was unavailable) regardless and the capacity of whether actual throughput prior the UNEV Connection to the reduction required UNEV Minimum Throughput Capacity ("Restoration"). Except as provided below in Sections 14(c) and 14(d), all such Restoration shall be at TLO' s cost and expense unless the damage creating the need for such repairs was below caused by the Lion Crudenegligence or willful misconduct of TRMC, its employees, agents or customers.
(iii) Notwithstanding the above provlSlons, except pursuant to a Capacity Expansion requested by TRMC, TLO shall not be required to install any additional pumping capacity or other improvements on the Crude Pipelines to facilitate shipment of a heavier grade of crude petroleum than has historically been shipped to the Storage Facility for use in the SLC Refinery. Upon request by TRMC for upgraded capacity for shipment of heavier crude petroleum grades in connection with a Restoration, the Parties shall negotiate in good faith arrangements whereby TLO will install suitable upgrades to the Crude Pipelines, consistent with Applicable Law, accepted pipeline design and operating procedures that will allow shipment of volumes of such heavier crude petroleum commensurate with historical volumes of lighter crude petroleum shipments, with TRMC to reimburse TLO for associated capital costs and increased operating costs, as otherwise provided herein.
Appears in 1 contract
Samples: Transportation Services Agreement (Tesoro Logistics Lp)
Maintenance and Repair Standards. Subject to interruptions for Force Majeure events pursuant to Section 4 and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties Logistics shall maintain (i) the Magnolia Pipeline Rail Offloading Facility with sufficient aggregate capacity to offload and throughput a volume of Crude Oil Materials at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership PartiesLogistics shall be under no obligation hereunder to maintain the tracks, locomotives or railcars. Logistics’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure event or interruptions for routine repair and maintenance consistent - 18 - with industry standards that prevent the Partnership Parties Logistics from providing the applicable Minimum Throughput Capacity. To the extent the Company XXXX is prevented for 30 or more days in any Contract Year from (i) throughputting delivering volumes on the Magnolia Pipeline for offload and throughput equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment for reasons of Force Majeure or other interruption of service (but not including interruptions of service due to a default by Lion or XXXX under this Agreement), in each case to the extent affecting the facilities or assets of the Partnership PartiesLogistics, then the Lion Crude Minimum Quarterly Throughput Commitment Payment shall be proportionately reduced calculated as follows: This reduction to the extent of the difference between the Lion Crude Minimum Quarterly Throughput Capacity and the amount that the Partnership Parties can effectively throughput in the Lion Crude Pipelines (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) Payment occurs regardless of whether actual throughput prior to the reduction was below the Lion CrudeMinimum Throughput Capacity. At such time as Logistics is capable of offloading and throughputting volumes equal to the full Minimum Throughput Capacity for an entire Month, XXXX’x obligation to make the full Minimum Quarterly Throughput Payment shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput of the Rail Offloading Facility should fall below the Minimum Throughput Capacity, (i) such failure, in and of itself, shall not be deemed a breach of this Agreement, (ii) subject to Section 5(b), XXXX’x sole remedy will be for an adjustment to the Minimum Quarterly Throughput payment and (iii) Logistics shall, with due diligence and dispatch, make repairs to the Rail Offloading Facility to restore the capacity of the Rail Offloading Facility to that required for throughput of the Minimum Throughput Capacity (“Restoration”). Except as provided below in Section 9(c), all of such Restoration shall be at Logistics’ cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of XXXX, its employees, agents or customers.
Appears in 1 contract
Samples: Throughput Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. Subject to interruptions for Force Majeure events pursuant to Section 3 and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties Logistics shall maintain (i) the Magnolia Pipeline Terminal with sufficient aggregate capacity to throughput a volume of Crude Oil Materials at least equal to the Magnolia Pipeline Minimum Throughput Capacity, Capacity and (ii) the El Dorado Crude Pipeline Tankage with a capacity sufficient aggregate capacity to throughput store a volume of Crude Oil Materials at least equal to the El Dorado Crude Pipeline applicable Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Storage Capacity. The Partnership PartiesLogistics’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure event or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties Logistics from providing the Minimum Throughput Capacity or storing the applicable Minimum Throughput Storage Capacity. To the extent the Company DKTS is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting or storing volumes on the Lion Crude Pipelines equal to at least the Lion Crude applicable Minimum Throughput Commitment Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership PartiesLogistics (including any reduction in available storage capacity pursuant to Section 2(r)), then the Lion Crude (i) DKTS’s Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties Logistics can effectively throughput in at the Lion Crude Pipelines Terminal (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) ), regardless of whether actual throughput prior to the reduction was below the Lion CrudeMinimum Throughput Commitment, and/or (ii) the Group A Storage Fee shall be reduced by the amount of $0.618 and/or the Group B Storage Fee shall be reduced by the amount of $0.50 (which amounts shall be adjusted in accordance with the adjustments to the Storage Fees provided for in Sections 2(d), (k) and (l) above, if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each barrel less than the applicable Minimum Storage Capacity that Logistics is unable to store at the Tankage regardless of whether DKTS actually used such storage capacity. At such time as Logistics is capable of throughputting volumes equal to the full Minimum Throughput Commitment or storing volumes equal to the applicable Minimum Storage Capacity, as applicable, DKTS’s obligation to throughput the full Minimum Throughput Commitment and to pay the full Storage Fees shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput of the Terminal or storage capacity of the Tankage should fall below the Minimum Throughput Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, Logistics shall make repairs to the Terminal and/or the Tankage to restore the capacity of the Terminal to that required for throughput of the Minimum Throughput Commitment and/or Tankage to that required for storing of the applicable Minimum Storage Capacity (“Restoration”). Except as provided below in Section 8(c), all of such Restoration shall be at Logistics’ cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of DKTS, its employees, agents or customers.
Appears in 1 contract
Samples: Throughput and Tankage Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. (i) Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standardsMajeure, the Partnership Parties shall maintain (i) the Magnolia Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership Parties’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with customary crude petroleum and refined petroleum products pipeline standards, and any applicable regulatory requirements, TLO shall accept for shipment on the Short Haul Pipelines in accordance with pipeline industry standards all Crude Oil and Petroleum Products that prevent the Partnership Parties from providing the applicable Minimum Throughput CapacityTRMC requests TLO to transport. To the extent the Company is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity Further, TLO shall maintain and (ii) throughputting volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment for reasons of Force Majeure or other interruption of service affecting the facilities or assets repair all portions of the Partnership PartiesShort Haul Pipelines in accordance with pipeline industry standards and in a manner which allows the Short Haul Pipelines to be capable, then subject to Force Majeure, of shipping, storing and delivering volumes of Crude Oil and Petroleum Products which are no less than the Lion Crude Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Pipeline Throughput Capacity and the amount that Product Pipeline Throughput Capacity.
(ii) If for any reason, including without limitation a Force Majeure event, the Partnership Parties can effectively throughput capacity of the Crude Pipeline should fall below the Minimum Crude Pipeline Throughput Volume, or the throughput capacity of the Product Pipelines should fall below the Minimum Product Pipeline Throughput Volume, then (A) during such period of reduced throughput capacity, TRMC’s obligation to ship the Minimum Crude Pipeline Throughput Volume or the Minimum Product Pipeline Throughput Volume, as applicable, shall be reduced as described in Section 18(c) above and (B) within a reasonable period of time after the Lion Crude Pipelines (prorated for commencement of such reduction, TLO shall make repairs to and/or replace the affected portion of the Contract Quarter during which Short Haul Pipelines to restore the Lion capacity of the Crude Minimum Pipeline to the Crude Pipeline Throughput Capacity was unavailable) regardless and to restore the capacity of whether actual throughput prior the Product Pipelines to the reduction Product Pipeline Throughput Capacity (“Restoration”). Except as provided below in Sections 19(c) and 19(d), all such Restoration shall be at TLO’s cost and expense unless the damage creating the need for such repairs was below caused by the Lion Crudenegligence or willful misconduct of TRMC, its employees, agents or customers.
Appears in 1 contract
Maintenance and Repair Standards. Subject to interruptions for Force Majeure events pursuant to Section 4 and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties Logistics shall maintain (i) the Magnolia Pipeline Rail Offloading Facility with sufficient aggregate capacity to offload and throughput a volume of Crude Oil Materials at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Capacity. The Partnership PartiesLogistics shall be under no obligation hereunder to maintain the tracks, locomotives or railcars. Logistics’ obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure event or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties Logistics from providing the applicable Minimum Throughput Capacity. To the extent the Company DKTS is prevented for 30 or more days in any Contract Year from (i) throughputting delivering volumes on the Magnolia Pipeline for offload and throughput equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment for reasons of Force Majeure or other interruption of service (but not including interruptions of service due to a default by DKTS under this Agreement), in each case to the extent affecting the facilities or assets of the Partnership PartiesLogistics, then the Lion Crude Minimum Quarterly Throughput Commitment Payment shall be proportionately reduced calculated as follows: This reduction to the extent of the difference between the Lion Crude Minimum Quarterly Throughput Capacity and the amount that the Partnership Parties can effectively throughput in the Lion Crude Pipelines (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) Payment occurs regardless of whether actual throughput prior to the reduction was below the Lion CrudeMinimum Throughput Capacity. At such time as Logistics is capable of offloading and throughputting volumes equal to the full Minimum Throughput Capacity for an entire Month, DKTS’ obligation to make the full Minimum Quarterly Throughput Payment shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput of the Rail Offloading Facility should fall below the Minimum Throughput Capacity, (i) such failure, in and of itself, shall not be deemed a breach of this Agreement, (ii) subject to Section 5(b), DKTS’ sole remedy will be for an adjustment to the Minimum Quarterly Throughput payment and (iii) Logistics shall, with due diligence and dispatch, make repairs to the Rail Offloading Facility to restore the capacity of the Rail Offloading Facility to that required for throughput of the Minimum Throughput Capacity (“Restoration”). Except as provided below in Section 9(c), all of such Restoration shall be at Logistics’ cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of DKTS, its employees, agents or customers.
Appears in 1 contract
Samples: Throughput Agreement (Delek Logistics Partners, LP)
Maintenance and Repair Standards. Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with customary terminal and pipeline industry standards, the Partnership Parties as applicable, Delek-Big Xxxxx shall maintain (i) the Magnolia Pipeline in a condition and with a capacity sufficient aggregate to ship a volume of DKTS’ Products at least equal to the Minimum Pipeline Capacity and (ii) the Terminal in a condition and with a capacity sufficient to throughput a volume of Crude Oil DKTS’ Products at least equal to the Magnolia Pipeline Minimum Throughput Capacity, (ii) the El Dorado Crude Pipeline with sufficient aggregate capacity Capacity and to throughput store a volume of Crude Oil DKTS’ Products at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Storage Capacity. The Partnership Parties’ Delek-Big Sandy’s obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with industry standards that prevent prevents Delek-Big Xxxxx from transporting the Partnership Parties from providing Minimum Pipeline Capacity, terminalling the applicable Minimum Throughput Terminalling Capacity or storing the Minimum Storage Capacity. To the extent the Company DKTS is prevented for 30 or more days in any Contract Year from (i) throughputting transporting volumes on the Magnolia Pipeline equal to the full Magnolia Minimum Pipeline Minimum Throughput Capacity and (ii) throughputting Capacity, terminalling volumes on the Lion Crude Pipelines equal to at least the Lion Crude full Minimum Throughput Commitment Terminalling Capacity or using the Minimum Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership PartiesFacilities (including any reduction in available storage capacity pursuant to Section 3(c)(ii)), then the Lion Crude DKTS’ (i) Minimum Pipeline Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Pipeline Capacity and the amount that the Partnership Parties DKTS can effectively throughput in ship on the Lion Crude Pipelines Pipeline (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Pipeline Capacity was unavailable) regardless of whether the actual shipments prior to the reduction were below the Minimum Pipeline Throughput Commitment, (ii) Minimum Terminalling Throughput Commitment shall be proportionately reduced to the extent of the difference between the Minimum Terminalling Capacity and the amount that DKTS can effectively throughput at the Terminal (prorated for the portion of the Contract Quarter during which the Minimum Throughput Capacity was unavailable) regardless of whether the actual throughput prior to the reduction was below the Lion CrudeMinimum Terminalling Throughput Commitment, and (iii) the Storage Fee shall be reduced by an amount of $0.57 per barrel (which amount shall be adjusted in accordance with adjustments to the Storage Fee provided for in Sections 3(d), 5 and 8(a) above, if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each barrel less than the Minimum Storage Capacity that Delek-Big Xxxxx is unable to store at the Terminal, regardless of whether DKTS actually used such storage capacity. At such time as Delek-Big Xxxxx is capable of transporting volumes equal to the Minimum Pipeline Capacity, terminalling volumes equal to the Minimum Terminalling Capacity or using the Minimum Storage Capacity, as applicable, DKTS’ obligation to throughput the full Minimum Throughput Commitment and to pay the full Storage Fee shall be restored. If for any reason, including, without limitation, a Force Majeure event, the transportation capacity of the Pipeline should fall below the Minimum Pipeline Capacity or the throughput or storage capacity of the Terminal should fall below the Minimum Terminalling Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, Delek-Big Xxxxx shall make repairs to the Facilities, as applicable, to restore the capacity of the Facilities to that required for shipment and throughput of the Minimum Throughput Commitment or using the Minimum Storage Capacity (“Restoration”). Except as provided below in Section 25(c), all of such Restoration shall be at Delek-Big Sandy’s cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of DKTS, its employees, agents or customers.
Appears in 1 contract
Maintenance and Repair Standards. Subject to Force Majeure and interruptions for planned repair and maintenance scheduled in advance and other routine repair and maintenance consistent with industry standards, the Partnership Parties Logistics Entity shall maintain (i) the Magnolia Pipeline Pipelines with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Magnolia Pipeline Minimum Throughput Capacity, Capacity and (ii) the El Dorado Crude Pipeline Tankage with a capacity sufficient aggregate capacity to throughput store a volume of Crude Oil at least equal to the El Dorado Crude Pipeline Minimum Throughput Capacity, (iii) the Diesel Pipeline with sufficient aggregate capacity to throughput a volume of Crude Oil at least equal to the Diesel Pipeline Minimum Throughput Capacity and (iv) the Gasoline Pipeline with sufficient capacity to throughput a volume of Crude Oil at least equal to the Gasoline Pipeline Minimum Throughput Storage Capacity. The Partnership Parties’ Logistics Entity’s obligations may be temporarily suspended during the occurrence of, and for the entire duration of, a Force Majeure or interruptions for routine repair and maintenance consistent with industry standards that prevent the Partnership Parties Logistics Entity from providing the applicable Minimum - 16 - Throughput Capacity or storing the Minimum Storage Capacity. To the extent the Company DKTS is prevented for 30 or more days in any Contract Year from (i) throughputting volumes on the Magnolia Pipeline equal to the full Magnolia Pipeline Minimum Throughput Capacity and (ii) throughputting or terminalling volumes on the Lion Crude Pipelines equal to at least the Lion Crude Minimum Throughput Commitment Storage Capacity for reasons of Force Majeure or other interruption of service affecting the facilities or assets of the Partnership PartiesLogistics Entity, then the Lion Crude DKTS’s Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Lion Crude Minimum Throughput Capacity and the amount that the Partnership Parties Logistics Entity can effectively throughput in the Lion Crude Pipelines (prorated for the portion of the Contract Quarter during which the Lion Crude Minimum Throughput Capacity was unavailable) ), regardless of whether actual throughput prior to the reduction was below the Lion CrudeMinimum Throughput Commitment, and/or its Storage Fee shall be reduced by an amount of $0.4167 per barrel (which amount shall be adjusted in accordance with the adjustments to the Storage Fee provided for in Sections 2(c), (k) and (l) above, if applicable, and prorated for the portion of the applicable month during which such storage was unavailable) for each barrel less than the Minimum Storage Capacity that the Logistics Entity is unable to terminal at the Tankage regardless of whether DKTS actually used such storage capacity. At such time as the Logistics Entity is capable of throughputting volumes equal to the full Minimum Throughput Capacity or terminalling volumes equal to the Minimum Storage Capacity, as applicable, DKTS’s obligation to throughput the full Minimum Throughput Commitment and to pay the full Storage Fee shall be restored. If for any reason, including, without limitation, a Force Majeure event, the throughput of the Pipelines or storage capacity of the Tankage should fall below the Minimum Throughput Capacity or the Minimum Storage Capacity, respectively, then with due diligence and dispatch, the Logistics Entity shall make repairs to the Pipelines and/or the Tankage to restore the capacity of the Pipelines to that required for throughput of the Minimum Throughput Capacity and/or the Tankage to that required for terminalling of the Minimum Storage Capacity (“Restoration”). Except as provided below in Section 8(c), all of such Restoration shall be at the Logistics Entity’s cost and expense, unless the damage creating the need for such repairs was caused by the negligence or willful misconduct of DKTS, its employees, agents or customers.
Appears in 1 contract
Samples: Pipelines and Tankage Agreement (Delek Logistics Partners, LP)