Common use of Marketing of Transportation and Storage Services to Third Parties Clause in Contracts

Marketing of Transportation and Storage Services to Third Parties. During the Term, the Logistics Entity may provide transportation services to third parties on the Pipelines and storage services to third parties in the Tankage, provided that, (i) the provision of such transportation and storage services to third parties is not reasonably likely to negatively affect the Refining Entity’s ability to use either of the Pipelines or the Tankage in accordance with the terms of this Agreement in any material respect, (ii) prior to any third party use of either of the Pipelines or the Tankage or the entry into any agreement with respect thereto, the Logistics Entity shall have received prior written consent from the Refining Entity with respect to such third party usage or the entry into such agreement, as applicable, not to be unreasonably withheld, conditioned or delayed, (iii) to the extent such third-party usage reduces the storage capacity available to the Refining Entity below the Minimum Storage Capacity, the Storage Fee shall be reduced for such period as such storage services are provided to third parties by a dollar amount equal to: (1) the number of barrels of storage capacity that the Logistics Entity is making available per month in the Tankage for such third parties, multiplied by (2) $0.4167 (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 (iv) to the extent such third-party usage reduces the ability of the Logistics Entity to provide the Minimum Throughput Capacity, the Minimum Throughput Commitment shall be proportionately reduced to the extent of the difference between the Minimum Throughput Capacity and the amount that can be throughput in the Pipelines (prorated for the portion of the Contract Quarter during which the Minimum Throughput Capacity was unavailable). Notwithstanding the foregoing, to the extent the Logistics Entity is not using any portion of the Pipelines or the Tankage (the “Open Assets”) during a Force Majeure event set forth in Section 3 or the Notice Period set forth in Section 9, the Logistics Entity may provide transportation and/or storage services to third parties on the Open Assets pursuant to one or more third-party agreements without the consent of the Refining Entity, and the Minimum Throughput Commitment and the Storage Fee will be reduced to the extent of such third-party usage as set forth above; provided that such third-party agreements and related services shall terminate following the end of the Force Majeure Period or the restoration of Refinery operations, as applicable.

Appears in 5 contracts

Samples: Pipelines and Tankage Agreement, Pipelines and Tankage Agreement, Pipelines and Tankage Agreement (Delek US Holdings, Inc.)

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Marketing of Transportation and Storage Services to Third Parties. During From and after the TermExpiration Date, during the Logistics Entity Term the Partnership Parties may provide market transportation services to third parties on the Pipelines and storage services to third parties in the TankageStorage Facilities, provided that, (i) the provision of such transportation and storage services to third parties is not reasonably likely to negatively affect the Refining EntityCompany’s ability to use either any of the Pipelines or the Tankage Storage Facilities in accordance with the terms of this Agreement in any material respect, (ii) prior to marketing to any third party the use of either of the Pipelines or the Tankage Storage Facilities or the entry into any agreement with respect thereto, the Logistics Entity applicable Partnership Party shall have received prior written consent from the Refining Entity Company with respect to such third party usage marketing or the entry into such agreement, as applicable, not to be unreasonably withheld, conditioned or delayed, delayed and (iii) to the extent such third-party usage reduces the storage capacity available to the Refining Entity below the Minimum Storage Capacity, the Storage Fee shall be reduced for such period as such storage services are provided to third parties by a dollar amount equal to: (1) the number of barrels of storage capacity that the Logistics Entity is making available per month in the Tankage for such third parties, multiplied by (2) $0.4167 (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 (iv) to the extent such third-party usage reduces the ability of the Logistics Entity Partnership Parties to provide the applicable Minimum Throughput Capacity, 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 can be throughput in the applicable Pipelines (prorated for the portion of the Contract Quarter during which the such Minimum Throughput Capacity was unavailable). Nothing in this Section 4.7 shall be construed to limit any obligation of the Partnership Parties under the Interstate Commerce Act. Notwithstanding the foregoing, to the extent the Logistics Entity Partnership is not using any portion of the Pipelines or the Tankage (the “Open Assets”) during a Force Majeure event set forth in Section 3 Article 14 or the twelve-month Notice Period set forth in Section 9Article 15, the Logistics Entity Partnership Parties may provide market transportation and/or storage services to third parties on the Open Assets pursuant to one or more third-third party agreements without the consent of the Refining Entity, Company and the applicable Minimum Throughput Commitment and the Storage Fee will be proportionately reduced to the extent of such third-third party usage as set forth aboveusage; provided that such third-third party agreements and related services shall terminate following the end of the Force Majeure Period or the restoration of Refinery operations, as applicable.

Appears in 4 contracts

Samples: www.sec.gov, Pipelines and Storage Facilities Agreement (Delek US Holdings, Inc.), Pipelines and Storage Facilities Agreement (Delek Logistics Partners, LP)

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Marketing of Transportation and Storage Services to Third Parties. During From and after the TermExpiration Date, the Logistics Entity Owner may provide market transportation services to third parties on the Pipelines and storage services to third parties in the TankageStorage Facilities, provided that, (ia) the provision of such transportation and storage services to third parties is not reasonably likely to negatively affect the Refining EntityCustomer’s ability to use either any of the Pipelines or the Tankage Storage Facilities in accordance with the terms of this Agreement in any material respect, (iib) prior to marketing to any third party Third Party the use of either of the Pipelines or the Tankage Storage Facilities or the entry into any agreement with respect thereto, the Logistics Entity Owner shall have received prior written consent from the Refining Entity Customer with respect to such third party usage marketing or the entry into such agreement, as applicable, not to be unreasonably withheld, conditioned or delayed, (iii) to the extent such third-party usage reduces the storage capacity available to the Refining Entity below the Minimum Storage Capacity, the Storage Fee shall be reduced for such period as such storage services are provided to third parties by a dollar amount equal to: (1) the number of barrels of storage capacity that the Logistics Entity is making available per month in the Tankage for such third parties, multiplied by (2) $0.4167 (which amount shall be adjusted in accordance with the adjustments to the Storage Fee provided for in Sections 2(c), (k) delayed and (l) above, if applicable) and (ivc) to the extent such third-party usage reduces the ability of the Logistics Entity Owner to provide the applicable Minimum Throughput Capacity or the applicable Minimum Storage Capacity, the applicable Minimum Throughput Commitment or the Storage Fees, as applicable, shall be proportionately reduced to the extent of the difference between the applicable Minimum Throughput Capacity or the applicable Minimum Storage Capacity and the amount that can be throughput or stored in the Pipelines Assets (prorated for the portion of the Contract Quarter during which such Minimum Throughput Capacity or the Minimum Throughput Storage Capacity was unavailable). Nothing in this Section 8.7 shall be construed to limit any obligation of Owner under the Interstate Commerce Act. Notwithstanding the foregoing, to the extent the Logistics Entity Owner is not using any portion of the Pipelines or the Tankage (the “Open Assets”) during a Force Majeure event set forth in Section 3 Article XVII or the 12-month Notice Period set forth in Section 9Article XVIII, the Logistics Entity Owner may provide market transportation and/or storage services to third parties on the Open Assets pursuant to one or more third-party Third Party agreements without the consent of the Refining Entity, Customer and the applicable Minimum Throughput Commitment and the Storage Fee will be proportionately reduced to the extent of such third-party usage as set forth aboveThird Party usage; provided that such third-party Third Party agreements and related services shall terminate following the end of the Force Majeure Period or the restoration of Refinery operations, as applicable.

Appears in 2 contracts

Samples: Throughput Facilities Agreement, And Throughput Facilities Agreement (Delek Logistics Partners, LP)

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