Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine: (i) in the event of an unpermitted interruption as provided in Section 10.1(b); (ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2; (iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2; (iv) upon written notice from Shipper, if each of the following four conditions are satisfied: (A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date, (B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System, (C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and (D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan; (v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or (vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b). (b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives. (c) Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of (i) an unpermitted interruption as provided in Section 10.1(b) or (ii) an interruption or curtailment of receipts and deliveries as provided in Section 4.6(d). (d) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under this Agreement in accordance with the provisions hereof.
Appears in 2 contracts
Samples: Gathering Agreement (CONE Midstream Partners LP), Gathering Agreement (CONE Midstream Partners LP)
Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX Noble or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b).
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives.
(c) Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of (i) an unpermitted interruption as provided in Section 10.1(b) or (ii) an interruption or curtailment of receipts and deliveries as provided in Section 4.6(d).
(d) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under this Agreement in accordance with the provisions hereof.
Appears in 2 contracts
Samples: Gathering Agreement (CONE Midstream Partners LP), Gathering Agreement (CONE Midstream Partners LP)
Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer If Provider has failed to complete the facilities necessary to connect each a Planned Well Pad and/or Planned Well Receipt Point to the Gathering Terminals System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each within 270 Days of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected applicable Target Completion Date contained in the then-existing Gathering currently agreed Terminals System Plan;
(v) , then, upon written notice Notice from ShipperCustomer to Provider, with respect the volumes of Dedicated Crude Oil applicable to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b).
(b) Gatherer Planned Receipt Point shall also consider in good faith any proposal by Shipper made from time to time to be permanently release one or more of the Dedicated Properties and the production therefrom released from the dedication under this Agreement if Shipper reasonably believes and Customer may deliver and commit such Customer Crude Oil that installing pipelines and equipment necessary was formerly Dedicated Crude Oil to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipperother terminal facility, considering all gathering alternativespipeline system, storage facility, rail cars or other similar system or facilities as it shall determine in its sole discretion.
(cb) Certain Dedicated Production Crude Oil may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted (A) Provider failing to complete the facilities necessary to connect a Planned Receipt Point to the Terminals System by the applicable Target Completion Date contained in the then-currently agreed Terminals System Plan, and (B) such failure causing there to be insufficient capacity on the Terminals System to accommodate the volumes of Dedicated Crude Oil and Customer NGLs contained in the applicable System Production Estimates applicable to such time;
(ii) any curtailment or interruption of the System Services to be provided to Customer as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms;
(iii) a material breach of this Agreement by Provider as provided in Section 10.1(b) 13.1(b); or 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 (ii**).
(iv) an interruption or order of a Governmental Authority causing the curtailment of receipts and deliveries System Services to Customer as provided in Section 4.6(d)8.2.
(d) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under this Agreement in accordance with the provisions hereof.
Appears in 2 contracts
Samples: Terminal and Export Services Agreement (Hess Midstream Partners LP), Terminal and Export Services Agreement (Hess Midstream Partners LP)
Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper (or Initial Shipper, as applicable, as indicated below) may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) except as provided in Section 3.1(f), upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) except as provided in Section 3.1(f), upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Initial Shipper, if each of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth third (3rd) anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point Delivery Point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX Shipper or any of their its Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Initial Shipper free of the dedication as provided in Section 14.1(b).
(b) Gatherer shall also consider in good faith any proposal by Initial Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Initial Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Initial Shipper, considering all gathering alternatives.
(c) Shipper shall also consider in good faith any proposal by Gatherer made in its then-current Gathering System Plan to temporarily release one or more of the Dedicated Properties (limited to the applicable Well or Well Pad indicated in the applicable Gathering System Plan) and the production therefrom from the dedication under this Agreement (and exercise no other remedy available to Shipper under Section 3.2(d)) if Gatherer reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Gatherer. If, at any time after such temporary release, Shipper proposes to dedicate such Dedicated Properties and the production therefrom to another service provider based on a development plan that is consistent with or substantially similar to the Development Plan presented to Gatherer associated therewith, then such Dedicated Properties and the production therefrom shall be permanently released from the dedication under this Agreement. For the avoidance of doubt, any temporary or permanent release of Dedicated Properties pursuant to this Section 2.6(c) would not affect or reduce the Total Initial Shipper Permitted Transfer Acres.
(d) Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of (i) an unpermitted interruption as provided in Section 10.1(b) or (ii) an interruption or curtailment of receipts and deliveries as provided in Section 4.6(d).
(de) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under this Agreement in accordance with the provisions hereof.
Appears in 2 contracts
Samples: Gathering Agreement (CONE Midstream Partners LP), Gathering Agreement (CONE Midstream Partners LP)
Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer If Provider has failed to complete the facilities necessary to connect each a Planned Well Pad and/or Planned Well Receipt Point to the Gathering TGP System by On-Line Deadline as provided in Section 3.2;within:
(iiii) 90 Days of the applicable Target Completion Date contained in the then-currently agreed System Plan, then, upon written notice Notice from ShipperCustomer to Provider, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfiedCustomer shall be entitled to:
(A) in the first production case of any such written Notice delivered during the Initial Term: (1) request a temporary Recalculation Election pursuant to Section 7.1(g)(y), in which case (x) the Dedicated Production Estimate that is applicable to such Planned Receipt Point will be deemed deleted from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary Dedicated Production Estimate contained in the then-currently agreed Development Plan, (y) the Committed Build-Out at issue (and all Committed Build-Out Costs related thereto) will be deleted from the then-currently agreed System Plan, and (z) the Fees resulting from such Recalculation Election will be utilized, subject to the last 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 (**). sentence of this Section 4.4(a)(i)(A), for the remainder of the Execution Date,then-current Year, and (2) a temporary reduction in the then-applicable MVC to reflect the deletion of the applicable portion of the Dedicated Production Estimate, which reduction in MVC will remain in effect, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year. Any such temporary Recalculation Election and reduction in MVC shall, in each case, be terminated, and the Fees and MVC shall each revert back to their respective levels prior to such election, upon the completion of the connection of the Planned Receipt Point to the TGP System; or
(B) at in the time case of any such notice such Well Pad or Planned Well Pad is located more than three miles written Notice delivered from and after the beginning of the Secondary Term: receive a temporary (1) release from the nearest then-existing connection to dedication hereunder of the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from Estimate that is applicable to such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement Receipt Point, and (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D2) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected reduction in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect applicable MVC to such reflect the temporary release of the applicable portion of the Dedicated Production that is unitized Estimate, which temporary release and reduction in MVC will remain in effect, in each case, until the earlier of (x) the end of then-current Year, or pooled with oil and gas leases or mineral interests (y) the completion of Third Parties, if none the connection of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilledPlanned Receipt Point to the TGP System; or
(viii) if such Dedicated Properties are transferred by Shipper free 180 Days of the dedication as provided applicable Target Completion Date contained in Section 14.1(b).
(b) Gatherer the then-currently agreed System Plan, then, upon written Notice from Customer to Provider, the volumes of Dedicated Production applicable to such Planned Receipt Point shall also consider in good faith any proposal by Shipper made from time to time to be permanently release one or more of the Dedicated Properties and the production therefrom released from the dedication under this Agreement if Shipper reasonably believes and Customer may deliver and commit such Customer Gas that installing pipelines and equipment necessary was formerly Dedicated Production to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternativesother processor or fractionator as it shall determine in its sole discretion.
(cb) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted any curtailment or interruption of the System Services to be provided to Customer as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms, in each case, other than any Bypass election;
(ii) a material breach of this Agreement by Provider as provided in Section 10.1(b) or 13.1(b); or
(iiiii) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Customer as provided in Section 4.6(d)8.2.
(dc) At In the event that any “Dedicated Production” (as such term is defined in the GGA) is released from the dedication under the GGA, Customer shall have the right to request that the corresponding Dedicated Production also be released from the dedication hereunder. Any such request shall be subject to Provider’s prior written consent, such consent not to be unreasonably withheld. Any such release from dedication hereunder shall last for the duration specified in the 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 (**). request from Customer, but in no event shall such release hereunder be longer than the applicable release under the GGA (and, for the avoidance of Shipperdoubt, the Parties shall execute a release reasonably acceptable to Shipper (which, in requested hereunder may be permanent if the case of a permanent release, shall be in recordable form) reflecting the corresponding release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under the GGA is permanent); provided, however, that no such release of Dedicated Production permitted pursuant to this Agreement Section 4.4(c) shall result in accordance with a reduction in the provisions hereofMVC pursuant to Section 6.1.
Appears in 2 contracts
Samples: Gas Processing and Fractionation Agreement (Hess Midstream Partners LP), Gas Processing and Fractionation Agreement (Hess Midstream Partners LP)
Releases from Dedication. (a) If Gatherer has failed to complete the facilities necessary to connect a Planned Receipt Point to the Gathering System within 180 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, the volumes of Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect applicable to such Xxxxx or Planned XxxxxTERMS 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 (**). Receipt Point shall be permanently released from the dedication under this Agreement, Agreement and Shipper may deliver and commit such Shipper Crude Oil that was formerly Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) determine in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b)its sole discretion.
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives.
(c) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted (A) Gatherer failing to complete the facilities necessary to connect a Planned Receipt Point to the Gathering System by the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, and (B) such failure causing there to be insufficient capacity on the applicable Subsystem to accommodate the volumes of Dedicated Production contained in the applicable System Production Estimates applicable to such time and Subsystem;
(ii) the Parties agreeing (whether pursuant to Section 5.3(e) or otherwise) upon the Target Completion Date for a Planned Receipt Point that is greater than three Months following the date on which Shipper requested that such Planned Receipt Point be operational in its applicable proposed Updated Development Plan delivered pursuant to Section 5.1(a), as more particularly provided in Section 5.3(f)(i);
(iii) any curtailment or interruption of the System Services to be provided to Shipper as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms;
(iv) a material breach of this Agreement by Gatherer as provided in Section 10.1(b) or 13.1(b); or
(iiv) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Shipper as provided in Section 4.6(d)8.2.
(dc) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall Certain Dedicated Production may also be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties permanently released from dedication under this Agreement as expressly provided in accordance with the provisions hereofSection 5.3(f)(ii).
Appears in 2 contracts
Samples: Crude Oil Gathering Agreement (Hess Midstream Partners LP), Crude Oil Gathering Agreement (Hess Midstream Partners LP)
Releases from Dedication. (a) If Gatherer has failed to complete the facilities necessary to connect a Planned Receipt Point to the Gathering System within:
(i) 90 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, Shipper shall be entitled to:
(A) in the case of any such written Notice delivered during the Initial Term: (1) request a temporary Recalculation Election pursuant to Section 7.1(e)(y), in which case (x) the Dedicated Production Estimate that is applicable to such Planned Receipt Point will be deemed deleted from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Padsthe Dedicated Production Estimate contained in the then-currently agreed Development Plan, (y) the Committed Build-Out at issue (and all Committed Build-Out Costs related thereto) will be deleted from the then-currently agreed Gathering System Plan, and (z) the Fees resulting from such Recalculation Election will be utilized, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year, and (2) a temporary reduction in the then-applicable MVC to reflect the deletion of the applicable portion of the Dedicated Production Estimate, which reduction in MVC will remain in effect, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year. Any such temporary Recalculation Election and reduction in MVC shall, in each case, be terminated, and the acreage Fees and MVC shall each revert back to their respective levels prior to such election, upon the completion of the connection of the Planned Receipt Point to the Gathering System; or 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 (**).
(B) in the case of any such written Notice delivered from and after the beginning of the Secondary Term: receive a temporary (1) release from the dedication hereunder of the Dedicated Production Estimate that is applicable to such Planned Receipt Point, and (2) reduction in the then-applicable MVC to reflect the temporary release of the applicable portion of the Dedicated Production Estimate, which temporary release and reduction in MVC will remain in effect, in each Drilling Unit with respect case, until the earlier of (x) the end of then-current Year, or (y) the completion of the connection of the applicable Planned Receipt Point to the Gathering System; or
(ii) 180 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, the volumes of Dedicated Production applicable to such Xxxxx or Planned Xxxxx, Receipt Point shall be permanently released from the dedication under this Agreement, Agreement and Shipper may deliver and commit such Shipper Gas that was formerly Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) determine in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b)its sole discretion.
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives.
(c) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted the Parties agreeing (whether pursuant to Section 5.3(e) or otherwise) upon the Target Completion Date for a Planned Receipt Point that is greater than three Months following the date on which Shipper requested that such Planned Receipt Point be operational in its applicable proposed Updated Development Plan delivered pursuant to Section 5.1(a), as more particularly provided in Section 5.3(f)(i);
(ii) any curtailment or interruption of the System Services to be provided to Shipper as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms;
(iii) a material breach of this Agreement by Gatherer as provided in Section 10.1(b) or 13.1(b); or
(iiiv) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Shipper as provided in Section 4.6(d)8.2.
(dc) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall Certain Dedicated Production may also be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties permanently released from dedication under this Agreement as expressly provided in accordance with the provisions hereofSection 5.3(f)(ii).
Appears in 2 contracts
Samples: Gas Gathering Agreement (Hess Midstream Partners LP), Gas Gathering Agreement (Hess Midstream Partners LP)
Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer If Provider has failed to complete the facilities necessary to connect each a Planned Well Pad and/or Planned Well Receipt Point to the Gathering Xxxxxx System by On-Line Deadline as provided in Section 3.2;within:
(iiii) 90 Days of the applicable Target Completion Date contained in the then-currently agreed System Plan, then, upon written notice Notice from ShipperCustomer to Provider, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfiedCustomer shall be entitled to:
(A) in the first production case of any such written Notice delivered during the Initial Term: (1) request a temporary Recalculation Election pursuant to Section 7.1(g)(y), in which case (x) the Dedicated Production Estimate that is applicable to such Planned Receipt Point will be deemed deleted from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary Dedicated Production Estimate contained in the then-currently agreed Development Plan, (y) the Committed Build-Out at issue (and all Committed Build-Out Costs related thereto) will be deleted from the then-currently agreed System Plan, and (z) the Fees resulting from such Recalculation Election will be utilized, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the Execution Date,then-current Year, and (2) a temporary reduction in the then-applicable MVC to reflect the deletion of the applicable portion of the Dedicated Production Estimate, which reduction in MVC will remain in effect, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year. Any such temporary Recalculation Election and reduction in MVC shall, in each case, be terminated, and the Fees and MVC shall each revert back to their respective levels prior to such election, upon the completion of the connection of the Planned Receipt Point to the Xxxxxx System; or
(B) at in the time case of any such notice such Well Pad or Planned Well Pad is located more than three miles written Notice delivered from and after the beginning of the Secondary Term: receive a temporary (1) release from the nearest then-existing connection to dedication hereunder of the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from Estimate that is applicable to such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement Receipt Point, and (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D2) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected reduction in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect applicable MVC to such reflect the temporary release of the applicable portion of the Dedicated Production that is unitized Estimate, which temporary release and reduction in MVC will remain in effect, in each case, until the earlier of (x) the end of then-current Year, or pooled with oil and gas leases or mineral interests (y) the completion of Third Parties, if none the connection of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilledPlanned Receipt Point to the Xxxxxx System; or
or 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 (vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b**).
(bii) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more 180 Days of the applicable Target Completion Date contained in the then-currently agreed System Plan, then, upon written Notice from Customer to Provider, the volumes of Dedicated Properties and the production therefrom Production applicable to such Planned Receipt Point shall be permanently released from the dedication under this Agreement if Shipper reasonably believes and Customer may deliver and commit such Customer Gas that installing pipelines and equipment necessary was formerly Dedicated Production to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternativesother processor or fractionator as it shall determine in its sole discretion.
(cb) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted any curtailment or interruption of the System Services to be provided to Customer as set forth in Section 8.5(e) or in Section 1.5 of the Operating Terms, in each case, other than any Bypass election;
(ii) a material breach of this Agreement by Provider as provided in Section 10.1(b) or 13.1(b); or
(iiiii) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Customer as provided in Section 4.6(d)8.2.
(dc) At In the event that any “Dedicated Production” (as such term is defined in the GGA) is released from the dedication under the GGA, Customer shall have the right to request that the corresponding Dedicated Production also be released from the dedication hereunder. Any such request shall be subject to Provider’s prior written consent, such consent not to be unreasonably withheld. Any such release from dedication hereunder shall last for the duration specified in the request from Customer, but in no event shall such release hereunder be longer than the applicable release under the GGA (and, for the avoidance of Shipperdoubt, the Parties shall execute a release reasonably acceptable to Shipper (which, in requested hereunder may be permanent if the case of a permanent release, shall be in recordable form) reflecting the corresponding release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under the GGA is permanent); provided, however, that no such release of Dedicated Production permitted pursuant to this Agreement Section 4.4(c) shall result in accordance with a reduction in the provisions hereofMVC pursuant to Section 6.1.
Appears in 1 contract
Samples: Gas Processing and Fractionation Agreement (Hess Midstream Partners LP)
Releases from Dedication. (a) If for any reason Carrier cannot receive at the Origin Point the entire volume of Dedicated Production Raw Make that Shipper is ready, willing and able to deliver hereunder, including without limitation as a result of prorationing or scheduled maintenance on the Pipeline System or any relevant upstream or downstream facilities, Force Majeure, operating pressure at the Destination Point exceeding 1,350 psig, or if such Raw Make fails to meet the applicable Raw Make Quality Specifications, then that portion of such Dedicated Raw Make that Carrier cannot so receive shall be temporarily released from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Padsthe Dedication during the period of time, and only to the acreage in each Drilling Unit with respect to extent, that Carrier cannot for any reason receive such Xxxxx or Planned XxxxxDedicated Raw Make, and Shipper shall be permanently free to sell such temporarily released from dedication Raw Make to third parties or to transport such temporarily released Raw Make via modes of transportation other than Carrier. Notwithstanding the foregoing sentence, there shall be no such temporary release if Carrier fails or is unable to receive the entire volume of Dedicated Raw Make as a result of a breach by Shipper or failure by Shipper or Shipper’s Affiliate to use good faith efforts to cause Raw Make processed at a processing plant operated by Shipper or Shipper’s Affiliate to meet the applicable Raw Make Quality Specifications. Carrier shall promptly provide written notice of any event that could reasonably be expected to materially affect the Services under this Agreement, including without limitation any notices regarding scheduled maintenance, matters that affect available capacity and Shipper may deliver Carrier’s ability to take the Dedicated Raw Make, and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to construction or development work on such facilities as the necessity for making repairs, alterations, enlargements or connections to, or performing maintenance on, machinery or facilities of production, manufacture, transportation, distribution, processing or consumption. With respect to any Planned Well Pad and/or Planned Xxxxx notices received by Carrier regarding the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipperanticipated unavailability of capacity, if each facilities or Services upstream or downstream of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering Pipeline System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b).
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives.
(c) Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of (i) an unpermitted interruption as provided in Section 10.1(b) or (ii) an interruption or curtailment of receipts and deliveries as provided in Section 4.6(d).
(d) At the request of Shipper, the Parties shall execute a release reasonably acceptable coordinate in good faith in an effort to Shipper (whichmitigate any disruptions, in delays or other effects of such facility actions or events on the case of a permanent release, shall be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under Services contemplated by this Agreement in accordance with the provisions hereofAgreement.
Appears in 1 contract
Samples: Transportation Services Agreement (Altus Midstream Co)
Releases from Dedication. (a) If for any reason Carrier cannot receive at the Origin Point the entire volume of Dedicated Production Raw Make that Shipper is ready, willing and able to deliver hereunder, including without limitation as a result of prorationing or scheduled maintenance on the Pipeline System or any relevant upstream or downstream facilities, Force Majeure, operating pressure at the Destination Point exceeding 1,350 psig, or if such Raw Make fails to meet the applicable Raw Make Quality Specifications, then that portion of such Dedicated Raw Make that Carrier cannot so receive shall be temporarily released from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Padsthe Dedication during the period of time, and only to the acreage in each Drilling Unit with respect to extent, that Carrier cannot for any reason receive such Xxxxx or Planned XxxxxDedicated Raw Make, and Shipper shall be permanently free to sell such temporarily released from dedication Raw Make to third parties or to transport such temporarily released Raw Make via modes of transportation other than Carrier. Notwithstanding the foregoing sentence, there shall be no such temporary release if Carrier fails or is unable to receive the entire volume of Dedicated Raw Make as a result of a breach by Shipper or failure by Shipper or Shipper’s Affiliate to use good faith efforts to cause Raw Make processed at a processing plant operated by Shipper or Shipper’s Affiliate to meet the applicable Raw Make Quality Specifications. Carrier shall promptly provide written notice of any event that could reasonably be expected to materially affect the Services under this Agreement, including without limitation any notices regarding scheduled maintenance, matters that affect available capacity and Shipper may deliver Carrier’s ability to take the Dedicated Raw Make, and commit with respect to construction or development work on such Dedicated Production facilities as the necessity for making repairs, alterations, enlargements or connections to, or performing maintenance on, machinery or facilities of production, manufacture, transportation, distribution, processing or consumption. With respect to any notices received by Carrier regarding the anticipated unavailability of capacity, facilities or Services upstream or downstream of the Pipeline System, the Parties shall coordinate in good faith in an effort to mitigate any disruptions, delays or other effects of such other gatherer facility actions or gatherers as it shall determine:events on the Services contemplated by this Agreement.
(ib) in If a Force Majeure event renders Carrier unable to receive Dedicated Raw Make at the event of Origin Point for three (3) consecutive Days or longer (an unpermitted interruption as provided in Section 10.1(b“Extended Carrier Force Majeure”);
, then (iiA) upon Carrier’s receipt of written notice from Shipper, if Gatherer has failed to complete that portion of such Dedicated Raw Make that Carrier cannot either receive at the facilities necessary to connect each Planned Well Pad and/or Planned Well Origin Point because of such Extended Carrier Force Majeure shall be temporarily released from the Dedication only to the Gathering System by On-Line Deadline as provided in Section 3.2;
extent that Carrier is unable to so receive such Dedicated Raw Make because of such Extended Carrier Force Majeure, and (iiiB) upon written notice from Shipper, if Gatherer has failed Shipper shall resume deliveries of Dedicated Raw Make temporarily released pursuant to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfied:
immediately preceding clause (A) no later than the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary Day of the Execution Date,
Month following thirty (B30) at the time Days after Carrier provides Shipper written notice it is capable of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver receiving such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b).
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternativesRaw Make.
(c) Notwithstanding Section 4.6(a) and Section 4.6(b) above, other than in instances in which Shipper is in breach or Raw Make fails to meet the applicable Raw Make Quality Specifications, if, for any one hundred eighty (180) consecutive Days or for any cumulative one hundred eighty (180) Days in any three hundred sixty-five (365) Day period, Carrier does not receive or ceases receiving any volume of Dedicated Production may also Raw Make delivered or otherwise made available for delivery to the Origin Point by Shipper (or that would be temporarily released made available at the Origin Point, but was not because of Carrier’s continuing failure to receive Shipper’s Dedicated Raw Make for any reason), then upon Shipper’s written notice to Carrier (“Release Notice”, and the date of delivery to Carrier, “Release Notice Date”), which shall be given within ninety (90) Days after the applicable one hundred eighty (180) consecutive Days or one hundred eightieth (180th) cumulative Day, Shipper shall be entitled to a permanent release from dedication under this Agreement the Dedication for the average volume of Dedicated Raw Make that Carrier was not able to take at the Origin Point during the subject period, and for a percentage of the Dedicated Area proportionate to the average volume of Dedicated Raw Make that Carrier was not able to take compared to Shipper’s Deemed Volume Commitment, with such permanent release to be effective on the thirtieth (30th) Day following the Release Notice Date; provided, however, if during the thirty (30) Day period following the Release Notice Date, Carrier delivers to Shipper a written plan, to be implemented at Carrier’s sole cost and expense, that Carrier reasonably and in good faith believes will enable it to receive all Dedicated Raw Make available for delivery at the Origin Point on or before the ninetieth (90th) Day following the Release Notice Date, then Shipper’s right to the release shall be suspended during such ninety (90) Day period, or, if Carrier’s failure to receive Dedicated Raw Make is a result of Force Majeure, Carrier shall have one hundred eighty (180) Days to complete such plan and Shipper’s release right shall be suspended during such one hundred eighty (180) Day period; provided, further, that if, by the ninety-first (91st) Day or one hundred eighty-first (181st) Day (as expressly provided in this Agreementapplicable) following the Release Notice Date, including in Carrier for any reason does not receive all Dedicated Raw Make available for delivery at the event of Origin Point, then Shipper’s permanent release shall be effective on such ninety-first (i91st) an unpermitted interruption Day or one hundred eighty-first (181st) Day (as provided in Section 10.1(b) or (ii) an interruption or curtailment of receipts and deliveries as provided in Section 4.6(dapplicable).
(d) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under this Agreement in accordance with the provisions hereof.
Appears in 1 contract
Samples: Transportation Services Agreement (Altus Midstream Co)
Releases from Dedication. (a) If Gatherer has failed to complete the facilities necessary to connect a Planned Receipt Point to the Gathering System within:
(i) 90 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, Shipper shall be entitled to:
(A) in the case of any such written Notice delivered during the Initial Term applicable to the relevant Subsystem: (1) request a temporary Recalculation Election pursuant to Section 7.1(e)(y), in which case (x) the Dedicated Production Estimate that is applicable to such Planned Receipt Point will be deemed deleted from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Padsthe Dedicated Production Estimate contained in the then-currently agreed Development Plan, (y) the Committed Build-Out at issue (and all Committed Build-Out Costs related thereto) will be deleted from the then-currently agreed Gathering System Plan, and (z) the Fees resulting from such Recalculation Election will be utilized, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year, and (2) a temporary reduction in the then-applicable MVC to reflect the deletion of the applicable portion of the Dedicated Production Estimate, which reduction in MVC will remain in effect, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year. Any such temporary Recalculation Election and reduction in MVC shall, in each case, be terminated, and the acreage Fees and MVC shall each revert back to their respective levels prior to such election, upon the completion of the connection of the Planned Receipt Point to the applicable Subsystem; or
(B) in the case of any such written Notice delivered from and after the beginning of the Secondary Term applicable to the relevant Subsystem: receive a temporary (1) release from the dedication hereunder of the Dedicated Production Estimate that is applicable to such Planned Receipt Point, and (2) reduction in the then-applicable MVC to reflect the temporary release of the applicable portion of the Dedicated Production Estimate, which temporary release and reduction in MVC will remain in effect, in each Drilling Unit with respect case, until the earlier of (x) the end of then-current Year, or (y) the completion of the connection of the applicable Planned Receipt Point to the applicable Subsystem; or
(ii) 180 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, the volumes of Dedicated Production applicable to such Xxxxx or Planned Xxxxx, Receipt Point shall be permanently released from the dedication under this Agreement, Agreement and Shipper may deliver and commit such Shipper Gas that was formerly Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) determine in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b)its sole discretion.
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives.
(c) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted the Parties agreeing (whether pursuant to Section 5.3(e) or otherwise) upon the Target Completion Date for a Planned Receipt Point that is greater than three Months following the date on which Shipper requested that such Planned Receipt Point be operational in its applicable proposed Updated Development Plan delivered pursuant to Section 5.1(a), as more particularly provided in Section 5.3(f)(i); 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 (**).
(ii) any curtailment or interruption of the System Services to be provided to Shipper as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms;
(iii) a material breach of this Agreement by Gatherer as provided in Section 10.1(b) or 13.1(b); or
(iiiv) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Shipper as provided in Section 4.6(d)8.2.
(dc) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall Certain Dedicated Production may also be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties permanently released from dedication under this Agreement as expressly provided in accordance with the provisions hereofSection 5.3(f)(ii).
Appears in 1 contract
Samples: Gas Gathering Agreement (Hess Midstream Partners LP)
Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer If Provider has failed to complete the facilities necessary to connect each a Planned Well Pad and/or Planned Well Receipt Point to the Gathering Xxxxxx System by On-Line Deadline as provided in Section 3.2;within:
(iiii) 90 Days of the applicable Target Completion Date contained in the then-currently agreed System Plan, then, upon written notice Notice from ShipperCustomer to Provider, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfiedCustomer shall be entitled to:
(A) in the first production case of any such written Notice delivered during the Initial Term: (1) request a temporary Recalculation Election pursuant to Section 7.1(g)(y), in which case (x) the Dedicated Production Estimate that is applicable to such Planned Receipt Point will be deemed deleted from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary Dedicated Production Estimate contained in the then-currently agreed Development Plan, (y) the Committed Build-Out at issue (and all Committed Build-Out Costs related thereto) will be deleted from the then-currently agreed System Plan, and (z) the Fees resulting from such Recalculation Election will be utilized, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the Execution Date,then-current Year, and (2) a temporary reduction in the then-applicable MVC to reflect the deletion of the applicable portion of the Dedicated Production Estimate, which reduction in MVC will remain in effect, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year. Any such temporary Recalculation Election and reduction in MVC shall, in each case, be terminated, and the Fees and MVC shall each revert back to their respective levels prior to such election, upon the completion of the connection of the Planned Receipt Point to the Xxxxxx System; or
(B) at in the time case of any such notice such Well Pad or Planned Well Pad is located more than three miles written Notice delivered from and after the beginning of the Secondary Term: receive a temporary (1) release from the nearest then-existing connection to dedication hereunder of the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from Estimate that is applicable to such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement Receipt Point, and (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D2) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected reduction in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect applicable MVC to such reflect the temporary release of the applicable portion of the Dedicated Production that is unitized Estimate, which temporary release and reduction in MVC will remain in effect, in each case, until the earlier of (x) the end of then-current Year, or pooled with oil and gas leases or mineral interests (y) the completion of Third Parties, if none the connection of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilledPlanned Receipt Point to the Xxxxxx System; or
or CERTAIN CONFIDENTIAL PORTIONS OF THIS EXHIBIT WERE OMITTED BY MEANS OF MARKING SUCH PORTIONS WITH BRACKETS (vi“[***]”) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b)BECAUSE THE IDENTIFIED CONFIDENTIAL PORTIONS (I) ARE NOT MATERIAL AND (II) IS THE TYPE OF INFORMATION THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL.
(bii) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more 180 Days of the applicable Target Completion Date contained in the then-currently agreed System Plan, then, upon written Notice from Customer to Provider, the volumes of Dedicated Properties and the production therefrom Production applicable to such Planned Receipt Point shall be permanently released from the dedication under this Agreement if Shipper reasonably believes and Customer may deliver and commit such Customer Gas that installing pipelines and equipment necessary was formerly Dedicated Production to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternativesother processor or fractionator as it shall determine in its sole discretion.
(cb) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted any curtailment or interruption of the System Services to be provided to Customer as set forth in Section 8.5(e) or in Section 1.5 of the Operating Terms, in each case, other than any Bypass election;
(ii) a material breach of this Agreement by Provider as provided in Section 10.1(b) or 13.1(b); or
(iiiii) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Customer as provided in Section 4.6(d)8.2.
(dc) At In the event that any "Dedicated Production" (as such term is defined in the GGA) is released from the dedication under the GGA, Customer shall have the right to request that the corresponding Dedicated Production also be released from the dedication hereunder. Any such request shall be subject to Provider's prior written consent, such consent not to be unreasonably withheld. Any such release from dedication hereunder shall last for the duration specified in the request from Customer, but in no event shall such release hereunder be longer than the applicable release under the GGA (and, for the avoidance of Shipperdoubt, the Parties shall execute a release reasonably acceptable to Shipper (which, in requested hereunder may be permanent if the case of a permanent release, shall be in recordable form) reflecting the corresponding release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under the GGA is permanent); provided, however, that no such release of Dedicated Production permitted pursuant to this Agreement Section 4.4(c) shall result in accordance with a reduction in the provisions hereofMVC pursuant to Section 6.1.
Appears in 1 contract
Samples: Gas Processing and Fractionation Agreement (Hess Midstream LP)
Releases from Dedication. (a) If Gatherer has failed to complete the facilities necessary to connect a Planned Receipt Point to the Gathering System within 180 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, the volumes of Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect applicable to such Xxxxx or Planned Xxxxx, CERTAIN CONFIDENTIAL PORTIONS OF THIS EXHIBIT WERE OMITTED BY MEANS OF MARKING SUCH PORTIONS WITH BRACKETS (“[***]”) BECAUSE THE IDENTIFIED CONFIDENTIAL PORTIONS (I) ARE NOT MATERIAL AND (II) IS THE TYPE OF INFORMATION THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL. Receipt Point shall be permanently released from the dedication under this Agreement, Agreement and Shipper Xxxxxxx may deliver and commit such Shipper Crude Oil that was formerly Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) determine in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b)its sole discretion.
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives.
(c) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted (A) Gatherer failing to complete the facilities necessary to connect a Planned Receipt Point to the Gathering System by the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, and (B) such failure causing there to be insufficient capacity on the applicable Subsystem to accommodate the volumes of Dedicated Production contained in the applicable System Production Estimates applicable to such time and Subsystem;
(ii) the Parties agreeing (whether pursuant to Section 5.3(e) or otherwise) upon the Target Completion Date for a Planned Receipt Point that is greater than three Months following the date on which Shipper requested that such Planned Receipt Point be operational in its applicable proposed Updated Development Plan delivered pursuant to Section 5.1(a), as more particularly provided in Section 5.3(f)(i);
(iii) any curtailment or interruption of the System Services to be provided to Shipper as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms;
(iv) a material breach of this Agreement by Xxxxxxxx as provided in Section 10.1(b) or 13.1(b); or
(iiv) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Shipper as provided in Section 4.6(d)8.2.
(dc) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall Certain Dedicated Production may also be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties permanently released from dedication under this Agreement as expressly provided in accordance with the provisions hereofSection 5.3(f)(ii).
Appears in 1 contract
Releases from Dedication. (a) If Gatherer has failed to complete the facilities necessary to connect a Planned Receipt Point to the Gathering System within:
(i) 90 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, Shipper shall be entitled to:
(A) in the case of any such written Notice delivered during the Initial Term applicable to the relevant Subsystem: (1) request a temporary Recalculation Election pursuant to Section 7.1(e)(y), in which case (x) the Dedicated Production Estimate that is applicable to such Planned Receipt Point will be deemed deleted from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Padsthe Dedicated Production Estimate contained in the then-currently agreed Development Plan, (y) the Committed Build-Out at issue (and all Committed Build-Out Costs related thereto) will be deleted from the then-currently agreed Gathering System Plan, and (z) the Fees resulting from such Recalculation Election will be utilized, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year, and (2) a temporary reduction in the then-applicable MVC to reflect the deletion of the applicable portion of the Dedicated Production Estimate, which reduction in MVC will remain in effect, subject to the last sentence of this Section 4.4(a)(i)(A), for the remainder of the then-current Year. Any such temporary Recalculation Election and reduction in MVC shall, in each case, be terminated, and the acreage Fees and MVC shall each revert back to their respective levels prior to such election, upon the completion of the connection of the Planned Receipt Point to the applicable Subsystem; or
(B) in the case of any such written Notice delivered from and after the beginning of the Secondary Term applicable to the relevant Subsystem: receive a temporary (1) release from the dedication hereunder of the Dedicated Production Estimate that is applicable to such Planned Receipt Point, and (2) reduction in the then-applicable MVC to reflect the temporary release of the applicable portion of the Dedicated Production Estimate, which temporary release and reduction in MVC will remain in effect, in each Drilling Unit with respect case, until the earlier of (x) the end of then-current Year, or (y) the completion of the connection of the applicable Planned Receipt Point to the applicable Subsystem; or
(ii) 180 Days of the applicable Target Completion Date contained in the then-currently agreed Gathering System Plan, then, upon written Notice from Shipper to Gatherer, the volumes of Dedicated Production applicable to such Xxxxx or Planned Xxxxx, Receipt Point shall be permanently released from the dedication under this Agreement, Agreement and Shipper may deliver and commit such Shipper Gas that was formerly Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) determine in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer has failed to complete the facilities necessary to connect each Planned Well Pad and/or Planned Well to the Gathering System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected in the then-existing Gathering System Plan;
(v) upon written notice from Shipper, with respect to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b)its sole discretion.
(b) Gatherer shall also consider in good faith any proposal by Shipper made from time to time to permanently release one or more of the Dedicated Properties and the production therefrom from the dedication under this Agreement if Shipper reasonably believes that installing pipelines and equipment necessary to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipper, considering all gathering alternatives.
(c) Certain Dedicated Production may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted the Parties agreeing (whether pursuant to Section 5.3(e) or otherwise) upon the Target Completion Date for a Planned Receipt Point that is greater than three Months following the date on which Shipper requested that such Planned Receipt Point be operational in its applicable proposed Updated Development Plan delivered pursuant to Section 5.1(a), as more particularly provided in Section 5.3(f)(i); CERTAIN CONFIDENTIAL PORTIONS OF THIS EXHIBIT WERE OMITTED BY MEANS OF MARKING SUCH PORTIONS WITH BRACKETS (“[***]”) BECAUSE THE IDENTIFIED CONFIDENTIAL PORTIONS (I) ARE NOT MATERIAL AND (II) IS THE TYPE OF INFORMATION THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL.
(ii) any curtailment or interruption of the System Services to be provided to Shipper as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms;
(iii) a material breach of this Agreement by Xxxxxxxx as provided in Section 10.1(b) or 13.1(b); or
(iiiv) an interruption or order of a Governmental Authority that causes the curtailment of receipts and deliveries System Services to Shipper as provided in Section 4.6(d)8.2.
(dc) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall Certain Dedicated Production may also be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties permanently released from dedication under this Agreement as expressly provided in accordance with the provisions hereofSection 5.3(f)(ii).
Appears in 1 contract
Releases from Dedication. (a) Dedicated Production from Xxxxx or Planned Xxxxx on one or more Well Pads or Planned Well Pads, and the acreage in each Drilling Unit with respect to such Xxxxx or Planned Xxxxx, shall be permanently released from dedication under this Agreement, and Shipper may deliver and commit such Dedicated Production to such other gatherer or gatherers as it shall determine:
(i) in the event of an unpermitted interruption as provided in Section 10.1(b);
(ii) upon written notice from Shipper, if Gatherer If Provider has failed to complete the facilities necessary to connect each a Planned Well Pad and/or Planned Well Receipt Point to the Gathering Terminals System by On-Line Deadline as provided in Section 3.2;
(iii) upon written notice from Shipper, if Gatherer has failed to commence the Gathering Services with respect to any Planned Well Pad and/or Planned Xxxxx by the On-Line Deadline as provided in Section 3.2;
(iv) upon written notice from Shipper, if each within 270 Days of the following four conditions are satisfied:
(A) the first production from any Well or Planned Well on a Well Pad or Planned Well Pad has not occurred on or before the fifth anniversary of the Execution Date,
(B) at the time of such notice such Well Pad or Planned Well Pad is located more than three miles from the nearest then-existing connection to the Gathering System,
(C) a non-Affiliated Third Party gatherer offers a lower cost of service to connect such Well Pad or Planned Well Pad and deliver such Dedicated Production produced from such Xxxxx or Planned Xxxxx to the desired delivery point than Gatherer offers under this Agreement (and following such notice does enter into an agreement for the gathering of such Dedicated Production), and
(D) such Well Pads or Planned Well Pad and Xxxxx or Planned Xxxxx are located outside of the area served or to be served by the then existing Gathering System as reflected applicable Target Completion Date contained in the then-existing Gathering currently agreed Terminals System Plan;
(v) , then, upon written notice Notice from ShipperCustomer to Provider, with respect the volumes of Dedicated Crude Oil applicable to such Dedicated Production that is unitized or pooled with oil and gas leases or mineral interests of Third Parties, if none of Shipper, CNX or any of their Affiliates is the operator of such unit or pooled area at the time the applicable Well is drilled; or
(vi) if such Dedicated Properties are transferred by Shipper free of the dedication as provided in Section 14.1(b).
(b) Gatherer Planned Receipt Point shall also consider in good faith any proposal by Shipper made from time to time to be permanently release one or more of the Dedicated Properties and the production therefrom released from the dedication under this Agreement if Shipper reasonably believes and Customer may deliver and commit such Customer Crude Oil that installing pipelines and equipment necessary was formerly Dedicated Crude Oil to connect such Dedicated Properties to the Gathering System would be economically disadvantageous for Shipperother terminal facility, considering all gathering alternativespipeline system, storage facility, rail cars or other similar system or facilities as it shall determine in its sole discretion.
(cb) Certain Dedicated Production Crude Oil may also be temporarily released from dedication under this Agreement as expressly provided in this Agreement, including in the event of of:
(i) an unpermitted (A) Provider failing to complete the facilities necessary to connect a Planned Receipt Point to the Terminals System by the applicable Target Completion Date contained in the then-currently agreed Terminals System Plan, and (B) such failure causing there to be insufficient capacity on the Terminals System to accommodate the volumes of Dedicated Crude Oil and Customer NGLs contained in the applicable System Production Estimates applicable to such time;
(ii) any curtailment or interruption of the System Services to be provided to Customer as set forth in Section 8.5(d) or in Section 1.5 of the Operating Terms;
(iii) a material breach of this Agreement by Provider as provided in Section 10.1(b13.1(b); or CERTAIN CONFIDENTIAL PORTIONS OF THIS EXHIBIT WERE OMITTED BY MEANS OF MARKING SUCH PORTIONS WITH BRACKETS (“[***]”) or BECAUSE THE IDENTIFIED CONFIDENTIAL PORTIONS (iiI) ARE NOT MATERIAL AND (II) IS THE TYPE OF INFORMATION THAT THE REGISTRANT TREATS AS PRIVATE OR CONFIDENTIAL.
(iv) an interruption or order of a Governmental Authority causing the curtailment of receipts and deliveries System Services to Customer as provided in Section 4.6(d)8.2.
(d) At the request of Shipper, the Parties shall execute a release reasonably acceptable to Shipper (which, in the case of a permanent release, shall be in recordable form) reflecting the release of particular Xxxxx, Planned Xxxxx and/or Drilling Units and associated acreage included in the Dedicated Properties from dedication under this Agreement in accordance with the provisions hereof.
Appears in 1 contract
Samples: Terminal and Export Services Agreement (Hess Midstream LP)