Common use of SHIPPER’S FAILURE TO CONFORM Clause in Contracts

SHIPPER’S FAILURE TO CONFORM. 3.2.1 Without prejudice to GC 3.1, if Shipper tenders for delivery Off-Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 3, to receive and accept in whole or in part any such Off-Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Specification LNG and to redeliver Natural Gas that complies with the Specification for the Redelivery Point. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Specification LNG and redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses.

Appears in 4 contracts

Samples: LNG Services Agreement, LNG Services Agreement, LNG Services Agreement

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SHIPPER’S FAILURE TO CONFORM. 3.2.1  Without prejudice to GC 3.1, if Shipper tenders for delivery Off-Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 3, to receive and accept in whole or in part any such Off-Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Specification LNG and to redeliver Natural Gas that complies with the Specification for the Redelivery Point. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Specification LNG and redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses.  If the Parties agree to unload the Off-Specification LNG, Terminal Operator shall use its reasonable endeavours (unless otherwise agreed) to redeliver Natural Gas at the Redelivery Point that is in compliance with the Specification for the Redelivery Point but, subject to GC 3.2.7, Terminal Operator cannot be held liable if, after having used its reasonable endeavours, the Natural Gas redelivered at the Redelivery Point is not in compliance with the Specification for the Redelivery Point. Terminal Operator shall give Shipper regular and frequent updates as to the status of this process, which shall be given at least once a Day. It is understood however that Shipper shall pay such direct costs, direct expenses and other direct losses actually incurred by Terminal Operator including the direct costs, direct expenses and other direct losses exceeding Terminal Operator’s agreed good faith estimate, which are properly documented and presented to Shipper provided Terminal Operator takes measures, acting as a Reasonable and Prudent Operator, to minimize such direct costs, direct expenses and other direct losses. Any properly documented direct damages, direct costs and direct expenses relating to the abovementioned consultation process shall be the full responsibility of Shipper, which include, amongst others, any delay and/or Demurrage Rate.  Terminal Operator shall unload LNG Ships in such a way as to minimise the risk of contaminating LNG already in the LNG Terminal which, when delivered, was in compliance with the Specification for the Delivery Point until the Nominated Cargo of LNG being unloaded is determined to be in compliance with the Specification for the Delivery Point.  If Terminal Operator has been notified, in accordance with the preceding paragraphs of this section, that the Nominated Cargo of LNG that is to be unloaded will not or may not meet the Specification for the Delivery Point, Terminal Operator shall not commingle such LNG that will or may not meet the Specification for the Delivery Point without first obtaining the consent of all Other Shippers and Other Users that currently have Gas In Storage within the LNG Terminal or would have Gas In Storage within the affected period pursuant to the RBS. Notwithstanding the approval of Other Shippers and/or Other Users, Terminal Operator shall be entitled to refuse to accept the Off-Specification LNG.  In case: Terminal Operator becomes aware later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for discharging, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point and if, in such case the LNG is delivered to Terminal Operator; or, Off-Specification LNG is delivered without having been accepted by Terminal Operator, Shipper shall reimburse Terminal Operator all reasonable properly documented direct costs, direct expenses and other direct losses (including (x) the costs related to the segregation of the Off-Specification LNG, (y) the treatment of LNG of Other Shippers and Other Users that is contaminated due to such delivery and (z) other means downstream of the LNG Terminal which Terminal Operator Could use to make the Natural Gas compliant with the Specifications for the Redelivery Point) actually incurred by Terminal Operator which are properly documented and presented to Shipper due to the failure of Shipper’s LNG to be in compliance with the Specification for the Delivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator and take all reasonable measures to minimize such direct costs, direct expenses and direct losses, which Terminal Operator may incur.  When Off-Specification LNG is being delivered by Shipper pursuant GC 3.2, Terminal Operator shall, upon becoming aware of the situation pursuant to the measurement and testing of the LNG at the Delivery Point by virtue of AC 3.4.4.1, notify Shipper as soon as possible hereof and shall have the right to request Shipper (master of the LNG Ship) to stop unloading LNG forthwith. Thereafter, if Terminal Operator cannot despite the use of its reasonable endeavours accept the Off-Specification LNG, Terminal Operator shall be entitled to request Shipper to cause the LNG Ship to promptly leave the LNG Terminal provided the master of the LNG Ship can do so safely (which actions may include but not be limited to rearranging of the LNG cargo within the LNG Ship). If Terminal Operator does not make such request, Shipper shall nevertheless have the right to stop unloading of the Off-Specification LNG and to leave the LNG Terminal. For the avoidance of doubt, any damages, costs and expenses shall be treated in accordance with the provisions of this GC 3.2.  If Terminal Operator has accepted from Shipper Off-Specification LNG at the Delivery Point, Shipper may not refuse to accept Off-Specification Natural Gas at the Redelivery Point, to the extent that Terminal Operator has used its reasonable endeavours to bring the Off-Specification LNG in compliance with the Specification in accordance with the provisions of this GC 3 and the cause of the Off-Specification Natural Gas is related to the Off-Specification LNG. The quality of the redelivered Natural Gas, insofar accepted by Terminal Operator at the Delivery Point, shall not be further out of compliance for the parameters for which the LNG was Off-Specification LNG and the Natural Gas shall not be out of compliance for any parameters for which the LNG was in compliance with the Specification for the Delivery Point.

Appears in 2 contracts

Samples: LNG Services Agreement, LNG Services Agreement

SHIPPER’S FAILURE TO CONFORM. 3.2.1 Without prejudice to GC 3.14.1, if Shipper tenders for delivery Off-Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 34, to receive and accept in whole or in part any such Off-Off- Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Specification LNG and (i) to redeliver Natural Gas that complies with the Specification for the Redelivery PointPoint or (ii) to redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Off-Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Specification LNG and (i) redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery PointPoint or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses. If the Parties agree to unload the Off-Specification LNG, Terminal Operator shall use its reasonable endeavours (unless otherwise agreed) to (i) redeliver Natural Gas at the Redelivery Point that is in compliance with the Specification for the Redelivery Point or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading but, subject to GC 4.2.7, Terminal Operator cannot be held liable if, after having used its reasonable endeavours, the Natural Gas redelivered at the Redelivery Point or the LNG redelivered at the Redelivery Point for Loading is not in compliance with the Specification for the Redelivery Point or Redelivery Point for Loading. Terminal Operator shall give Shipper regular and frequent updates as to the status of this process, which shall be given at least once a Day. It is understood however that Shipper shall pay such direct costs, direct expenses and other direct losses actually incurred by Terminal Operator including the direct costs, direct expenses and other direct losses exceeding Terminal Operator’s agreed good faith estimate, which are properly documented and presented to Shipper provided Terminal Operator takes measures, acting as a Reasonable and Prudent Operator, to minimize such direct costs, direct expenses and other direct losses. Any properly documented direct damages, direct costs and direct expenses relating to the abovementioned consultation process shall be the full responsibility of Shipper, which include, amongst others, any delay and/or Demurrage Rate. Terminal Operator shall unload LNG Ships in such a way as to minimise the risk of contaminating LNG already in the LNG Terminal which, when delivered, was in compliance with the Specification for the Delivery Point until the Nominated Cargo of LNG being unloaded is determined to be in compliance with the Specification for the Delivery Point. If Terminal Operator has been notified, in accordance with the preceding paragraphs of this section, that the Nominated Cargo of LNG that is to be unloaded will not or may not meet the Specification for the Delivery Point, Terminal Operator shall not commingle such LNG that will or may not meet the Specification for the Delivery Point without first obtaining the consent of all Other Shippers and Other Users that currently have Gas In Storage within the LNG Terminal or would have Gas In Storage within the affected period pursuant to the RBS. Notwithstanding the approval of Other Shippers and/or Other Users, Terminal Operator shall be entitled to refuse to accept the Off-Specification LNG. In case: Shipper shall reimburse Terminal Operator all reasonable properly documented direct costs, direct expenses and other direct losses (including (x) the costs related to the segregation of the Off-Specification LNG, (y) the treatment of LNG of Other Shippers and Other Users that is contaminated due to such delivery and (z) other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specifications for the Redelivery Point, or the LNG compliant with the Specifications for the Redelivery Point for Loading) actually incurred by Terminal Operator which are properly documented and presented to Shipper due to the failure of Shipper’s LNG to be in compliance with the Specification for the Delivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator and take all reasonable measures to minimize such direct costs, direct expenses and direct losses, which Terminal Operator may incur. When Off-Specification LNG is being delivered by Shipper pursuant GC 4.2, Terminal Operator shall, upon becoming aware of the situation pursuant to the measurement and testing of the LNG at the Delivery Point by virtue of AC 3.4.4.1, notify Shipper as soon as possible hereof and shall have the right to request Shipper (master of the LNG Ship) to stop unloading LNG forthwith. Thereafter, if Terminal Operator cannot despite the use of its reasonable endeavours accept the Off- Specification LNG, Terminal Operator shall be entitled to request Shipper to cause the LNG Ship to promptly leave the LNG Terminal provided the master of the LNG Ship can do so safely (which actions may include but not be limited to rearranging of the LNG cargo within the LNG Ship). If Terminal Operator does not make such request, Shipper shall nevertheless have the right to stop unloading of the Off- Specification LNG and to leave the LNG Terminal. For the avoidance of doubt, any damages, costs and expenses shall be treated in accordance with the provisions of this GC 4.2. If Terminal Operator has accepted from Shipper Off-Specification LNG at the Delivery Point (or from Transhipper at the Delivery Point for Transshipment and Transshipper subsequently transfers such Off-Specification LNG to Shipper), Shipper may not (and Shipper procures that any other User to whom the Off- Specification LNG is transferred shall not) refuse to accept Off-Specification Natural Gas at the Redelivery Point or Off-Specification LNG at the Redelivery Point for Loading, to the extent that Terminal Operator has used its reasonable endeavours to bring the Off-Specification LNG in compliance with the Specification in accordance with the provisions of this GC 4 and the cause of the Off-Specification Natural Gas is related to the Off-Specification LNG. The quality of the redelivered Natural Gas, insofar accepted by Terminal Operator at the Delivery Point, shall not be further out of compliance for the parameters for which the LNG was Off-Specification LNG and the Natural Gas shall not be out of compliance for any parameters for which the LNG was in compliance with the Specification for the Delivery Point.

Appears in 2 contracts

Samples: www.fluxys.com, www.fluxys.com

SHIPPER’S FAILURE TO CONFORM. 3.2.1 Without prejudice to GC 3.14.1, if Shipper tenders for delivery Off-Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 34, to receive and accept in whole or in part any such Off-Off- Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Specification LNG and (i) to redeliver Natural Gas that complies with the Specification for the Redelivery PointPoint or (ii) to redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Off-Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Specification LNG and (i) redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery PointPoint or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses. If the Parties agree to unload the Off-Specification LNG, Terminal Operator shall use its reasonable endeavours (unless otherwise agreed) to (i) redeliver Natural Gas at the Redelivery Point that is in compliance with the Specification for the Redelivery Point or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading but, subject to GC 4.2.7, Terminal Operator cannot be held liable if, after having used its reasonable endeavours, the Natural Gas redelivered at the Redelivery Point or the LNG redelivered at the Redelivery Point for Loading is not in compliance with the Specification for the Redelivery Point or Redelivery Point for Loading. Terminal Operator shall give Shipper regular and frequent updates as to the status of this process, which shall be given at least once a Day. It is understood however that Shipper shall pay such direct costs, direct expenses and other direct losses actually incurred by Terminal Operator including the direct costs, direct expenses and other direct losses exceeding Terminal Operator’s agreed good faith estimate, which are properly documented and presented to Shipper provided Terminal Operator takes measures, acting as a Reasonable and Prudent Operator, to minimize such direct costs, direct expenses and other direct losses. Any properly documented direct damages, direct costs and direct expenses relating to the abovementioned consultation process shall be the full responsibility of Shipper, which include, amongst others, any delay and/or Demurrage Rate. Terminal Operator shall unload LNG Ships in such a way as to minimise the risk of contaminating LNG already in the LNG Terminal which, when delivered, was in compliance with the Specification for the Delivery Point until the Nominated Cargo of LNG being unloaded is determined to be in compliance with the Specification for the Delivery Point. If Terminal Operator has been notified, in accordance with the preceding paragraphs of this section, that the Nominated Cargo of LNG that is to be unloaded will not or may not meet the Specification for the Delivery Point, Terminal Operator shall not commingle such LNG that will or may not meet the Specification for the Delivery Point without first obtaining the consent of all Other Shippers and Other Users that currently have Gas In Storage within the LNG Terminal or would have Gas In Storage within the affected period pursuant to the RBS. Notwithstanding the approval of Other Shippers and/or Other Users, Terminal Operator shall be entitled to refuse to accept the Off-Specification LNG. In case: Shipper shall reimburse Terminal Operator all reasonable properly documented direct costs, direct expenses and other direct losses (including (x) the costs related to the segregation of the Off-Specification LNG, (y) the treatment of LNG of Other Shippers and Other Users that is contaminated due to such delivery and (z) other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specifications for the Redelivery Point, or the LNG compliant with the Specifications for the Redelivery Point for Loading) actually incurred by Terminal Operator which are properly documented and presented to Shipper due to the failure of Shipper’s LNG to be in compliance with the Specification for the Delivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator and take all reasonable measures to minimize such direct costs, direct expenses and direct losses, which Terminal Operator may incur. When Off-Specification LNG is being delivered by Shipper pursuant GC 4.2, Terminal Operator shall, upon becoming aware of the situation pursuant to the measurement and testing of the LNG at the Delivery Point by virtue of AC 3.4.4.1, notify Shipper as soon as possible hereof and shall have the right to request Shipper (master of the LNG Ship) to stop unloading LNG forthwith. Thereafter, if Terminal Operator cannot despite the use of its reasonable endeavours accept the Off- Specification LNG, Terminal Operator shall be entitled to request Shipper to cause the LNG Ship to promptly leave the LNG Terminal provided the master of the LNG Ship can do so safely (which actions may include but not be limited to rearranging of the LNG cargo within the LNG Ship). If Terminal Operator does not make such request, Xxxxxxx shall nevertheless have the right to stop unloading of the Off- Specification LNG and to leave the LNG Terminal. For the avoidance of doubt, any damages, costs and expenses shall be treated in accordance with the provisions of this GC 4.2. If Terminal Operator has accepted from Shipper Off-Specification LNG at the Delivery Point (or from Transhipper at the Delivery Point for Transshipment and Transshipper subsequently transfers such Off-Specification LNG to Shipper), Shipper may not (and Shipper procures that any other User to whom the Off- Specification LNG is transferred shall not) refuse to accept Off-Specification Natural Gas at the Redelivery Point or Off-Specification LNG at the Redelivery Point for Loading, to the extent that Terminal Operator has used its reasonable endeavours to bring the Off-Specification LNG in compliance with the Specification in accordance with the provisions of this GC 4 and the cause of the Off-Specification Natural Gas is related to the Off-Specification LNG. The quality of the redelivered Natural Gas, insofar accepted by Terminal Operator at the Delivery Point, shall not be further out of compliance for the parameters for which the LNG was Off-Specification LNG and the Natural Gas shall not be out of compliance for any parameters for which the LNG was in compliance with the Specification for the Delivery Point.

Appears in 1 contract

Samples: www.fluxys.com

SHIPPER’S FAILURE TO CONFORM. 3.2.1 Without prejudice to GC 3.14.1, if Shipper tenders for delivery Off-Off- Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 34, to receive and accept in whole or in part any such Off-Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Off- Specification LNG and (i) to redeliver Natural Gas that complies with the Specification for the Redelivery PointPoint or (ii) to redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Off-Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Off-Specification LNG and (i) redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery PointPoint or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses. If the Parties agree to unload the Off-Specification LNG, Terminal Operator shall use its reasonable endeavours (unless otherwise agreed) to (i) redeliver Natural Gas at the Redelivery Point that is in compliance with the Specification for the Redelivery Point or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading but, subject to GC 4.2.7, Terminal Operator cannot be held liable if, after having used its reasonable endeavours, the Natural Gas redelivered at the Redelivery Point or the LNG redelivered at the Redelivery Point for Loading is not in compliance with the Specification for the Redelivery Point or Redelivery Point for Loading. Terminal Operator shall give Shipper regular and frequent updates as to the status of this process, which shall be given at least once a Day. It is understood however that Shipper shall pay such direct costs, direct expenses and other direct losses actually incurred by Terminal Operator including the direct costs, direct expenses and other direct losses exceeding Terminal Operator’s agreed good faith estimate, which are properly documented and presented to Shipper provided Terminal Operator takes measures, acting as a Reasonable and Prudent Operator, to minimize such direct costs, direct expenses and other direct losses. Any properly documented direct damages, direct costs and direct expenses relating to the abovementioned consultation process shall be the full responsibility of Shipper, which include, amongst others, any delay and/or Demurrage Rate. Terminal Operator shall unload LNG Ships in such a way as to minimise the risk of contaminating LNG already in the LNG Terminal which, when delivered, was in compliance with the Specification for the Delivery Point until the Nominated Cargo of LNG being unloaded is determined to be in compliance with the Specification for the Delivery Point. If Terminal Operator has been notified, in accordance with the preceding paragraphs of this section, that the Nominated Cargo of LNG that is to be unloaded will not or may not meet the Specification for the Delivery Point, Terminal Operator shall not commingle such LNG that will or may not meet the Specification for the Delivery Point without first obtaining the consent of all Other Shippers and Other Users that currently have Gas In Storage within the LNG Terminal or would have Gas In Storage within the affected period pursuant to the RBS. Notwithstanding the approval of Other Shippers and/or Other Users, Terminal Operator shall be entitled to refuse to accept the Off-Specification LNG. In case: Shipper shall reimburse Terminal Operator all reasonable properly documented direct costs, direct expenses and other direct losses (including (x) the costs related to the segregation of the Off-Specification LNG, (y) the treatment of LNG of Other Shippers and Other Users that is contaminated due to such delivery and (z) other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specifications for the Redelivery Point, or the LNG compliant with the Specifications for the Redelivery Point for Loading) actually incurred by Terminal Operator which are properly documented and presented to Shipper due to the failure of Shipper’s LNG to be in compliance with the Specification for the Delivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator and take all reasonable measures to minimize such direct costs, direct expenses and direct losses, which Terminal Operator may incur. When Off-Specification LNG is being delivered by Shipper pursuant GC 4.2, Terminal Operator shall, upon becoming aware of the situation pursuant to the measurement and testing of the LNG at the Delivery Point by virtue of AC 3.4.4.1, notify Shipper as soon as possible hereof and shall have the right to request Shipper (master of the LNG Ship) to stop unloading LNG forthwith. Thereafter, if Terminal Operator cannot despite the use of its reasonable endeavours accept the Off-Specification LNG, Terminal Operator shall be entitled to request Shipper to cause the LNG Ship to promptly leave the LNG Terminal provided the master of the LNG Ship can do so safely (which actions may include but not be limited to rearranging of the LNG cargo within the LNG Ship). If Terminal Operator does not make such request, Xxxxxxx shall nevertheless have the right to stop unloading of the Off-Specification LNG and to leave the LNG Terminal. For the avoidance of doubt, any damages, costs and expenses shall be treated in accordance with the provisions of this GC 4.2. If Terminal Operator has accepted from Shipper Off-Specification LNG at the Delivery Point (or from Transhipper at the Delivery Point for Transshipment and Transshipper subsequently transfers such Off- Specification LNG to Shipper), Shipper may not (and Shipper procures that any other User to whom the Off-Specification LNG is transferred shall not) refuse to accept Off-Specification Natural Gas at the Redelivery Point or Off-Specification LNG at the Redelivery Point for Loading (and Shipper procures that any other User to whom the Off-Specification LNG is transferred), to the extent that Terminal Operator has used its reasonable endeavours to bring the Off-Specification LNG in compliance with the Specification in accordance with the provisions of this GC 4 and the cause of the Off-Specification Natural Gas is related to the Off-Specification LNG. The quality of the redelivered Natural Gas, insofar accepted by Terminal Operator at the Delivery Point, shall not be further out of compliance for the parameters for which the LNG was Off- Specification LNG and the Natural Gas shall not be out of compliance for any parameters for which the LNG was in compliance with the Specification for the Delivery Point.

Appears in 1 contract

Samples: Terminalling Agreement

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SHIPPER’S FAILURE TO CONFORM. 3.2.1 Without prejudice to GC 3.14.1, if Shipper tenders for delivery Off-Off- Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 34, to receive and accept in whole or in part any such Off-Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Off- Specification LNG and (i) to redeliver Natural Gas that complies with the Specification for the Redelivery PointPoint or (ii) to redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Off-Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Off-Specification LNG and (i) redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery PointPoint or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses. If the Parties agree to unload the Off-Specification LNG, Terminal Operator shall use its reasonable endeavours (unless otherwise agreed) to (i) redeliver Natural Gas at the Redelivery Point that is in compliance with the Specification for the Redelivery Point or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading but, subject to GC 4.2.7, Terminal Operator cannot be held liable if, after having used its reasonable endeavours, the Natural Gas redelivered at the Redelivery Point or the LNG redelivered at the Redelivery Point for Loading is not in compliance with the Specification for the Redelivery Point or Redelivery Point for Loading. Terminal Operator shall give Shipper regular and frequent updates as to the status of this process, which shall be given at least once a Day. It is understood however that Shipper shall pay such direct costs, direct expenses and other direct losses actually incurred by Terminal Operator including the direct costs, direct expenses and other direct losses exceeding Terminal Operator’s agreed good faith estimate, which are properly documented and presented to Shipper provided Terminal Operator takes measures, acting as a Reasonable and Prudent Operator, to minimize such direct costs, direct expenses and other direct losses. Any properly documented direct damages, direct costs and direct expenses relating to the abovementioned consultation process shall be the full responsibility of Shipper, which include, amongst others, any delay and/or Demurrage Rate. Terminal Operator shall unload LNG Ships in such a way as to minimise the risk of contaminating LNG already in the LNG Terminal which, when delivered, was in compliance with the Specification for the Delivery Point until the Nominated Cargo of LNG being unloaded is determined to be in compliance with the Specification for the Delivery Point. If Terminal Operator has been notified, in accordance with the preceding paragraphs of this section, that the Nominated Cargo of LNG that is to be unloaded will not or may not meet the Specification for the Delivery Point, Terminal Operator shall not commingle such LNG that will or may not meet the Specification for the Delivery Point without first obtaining the consent of all Other Shippers and Other Users that currently have Gas In Storage within the LNG Terminal or would have Gas In Storage within the affected period pursuant to the RBS. Notwithstanding the approval of Other Shippers and/or Other Users, Terminal Operator shall be entitled to refuse to accept the Off-Specification LNG. In case: Shipper shall reimburse Terminal Operator all reasonable properly documented direct costs, direct expenses and other direct losses (including (x) the costs related to the segregation of the Off-Specification LNG, (y) the treatment of LNG of Other Shippers and Other Users that is contaminated due to such delivery and (z) other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specifications for the Redelivery Point, or the LNG compliant with the Specifications for the Redelivery Point for Loading) actually incurred by Terminal Operator which are properly documented and presented to Shipper due to the failure of Shipper’s LNG to be in compliance with the Specification for the Delivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator and take all reasonable measures to minimize such direct costs, direct expenses and direct losses, which Terminal Operator may incur. When Off-Specification LNG is being delivered by Shipper pursuant GC 4.2, Terminal Operator shall, upon becoming aware of the situation pursuant to the measurement and testing of the LNG at the Delivery Point by virtue of AC 3.4.4.1, notify Shipper as soon as possible hereof and shall have the right to request Shipper (master of the LNG Ship) to stop unloading LNG forthwith. Thereafter, if Terminal Operator cannot despite the use of its reasonable endeavours accept the Off-Specification LNG, Terminal Operator shall be entitled to request Shipper to cause the LNG Ship to promptly leave the LNG Terminal provided the master of the LNG Ship can do so safely (which actions may include but not be limited to rearranging of the LNG cargo within the LNG Ship). If Terminal Operator does not make such request, Shipper shall nevertheless have the right to stop unloading of the Off-Specification LNG and to leave the LNG Terminal. For the avoidance of doubt, any damages, costs and expenses shall be treated in accordance with the provisions of this GC 4.2. If Terminal Operator has accepted from Shipper Off-Specification LNG at the Delivery Point (or from Transhipper at the Delivery Point for Transshipment and Transshipper subsequently transfers such Off- Specification LNG to Shipper), Shipper may not (and Shipper procures that any other User to whom the Off-Specification LNG is transferred shall not) refuse to accept Off-Specification Natural Gas at the Redelivery Point or Off-Specification LNG at the Redelivery Point for Loading (and Shipper procures that any other User to whom the Off-Specification LNG is transferred), to the extent that Terminal Operator has used its reasonable endeavours to bring the Off-Specification LNG in compliance with the Specification in accordance with the provisions of this GC 4 and the cause of the Off-Specification Natural Gas is related to the Off-Specification LNG. The quality of the redelivered Natural Gas, insofar accepted by Terminal Operator at the Delivery Point, shall not be further out of compliance for the parameters for which the LNG was Off- Specification LNG and the Natural Gas shall not be out of compliance for any parameters for which the LNG was in compliance with the Specification for the Delivery Point.

Appears in 1 contract

Samples: Terminalling Agreement

SHIPPER’S FAILURE TO CONFORM. 3.2.1  Without prejudice to GC 3.1, if Shipper tenders for delivery Off-Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 3, to receive and accept in whole or in part any such Off-Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Specification LNG and to redeliver Natural Gas that complies with the Specification for the Redelivery Point. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Specification LNG and redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses.  If the Parties agree to unload the Off-Specification LNG, Terminal Operator shall use its reasonable endeavours (unless otherwise agreed) to redeliver Natural Gas at the Redelivery Point that is in compliance with the Specification for the Redelivery Point but, subject to section 3.2.7, Terminal Operator cannot be held liable if, after having used its reasonable endeavours, the Natural Gas redelivered at the Redelivery Point is not in compliance with the Specification for the Redelivery Point. Terminal Operator shall give Shipper regular and frequent updates as to the status of this process, which shall be given at least once a Day. It is understood however that Shipper shall pay such direct costs, direct expenses and other direct losses actually incurred by Terminal Operator including the direct costs, direct expenses and other direct losses exceeding Terminal Operator’s agreed good faith estimate, which are properly documented and presented to Shipper provided Terminal Operator takes measures, acting as a Reasonable and Prudent Operator, to minimize such direct costs, direct expenses and other direct losses. Any properly documented direct damages, direct costs and direct expenses relating to the abovementioned consultation process shall be the full responsibility of Shipper, which include, amongst others, any delay and/or Demurrage Rate.  Terminal Operator shall unload LNG Ships in such a way as to minimise the risk of contaminating LNG already in the LNG Terminal which, when delivered, was in compliance with the Specification for the Delivery Point until the Nominated Cargo of LNG being unloaded is determined to be in compliance with the Specification for the Delivery Point.  If Terminal Operator has been notified, in accordance with the preceding paragraphs of this section, that the Nominated Cargo of LNG that is to be unloaded will not or may not meet the Specification for the Delivery Point, Terminal Operator shall not commingle such LNG that will or may not meet the Specification for the Delivery Point without first obtaining the consent of all Other Shippers and Other Users that currently have Gas In Storage within the LNG Terminal or would have Gas In Storage within the affected period pursuant to the RBS. Notwithstanding the approval of Other Shippers and/or Other Users, Terminal Operator shall be entitled to refuse to accept the Off-Specification LNG.  In case: Terminal Operator becomes aware later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for discharging, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point and if, in such case the LNG is delivered to Terminal Operator; or, Off-Specification LNG is delivered without having been accepted by Terminal Operator, Shipper shall reimburse Terminal Operator all reasonable properly documented direct costs, direct expenses and other direct losses (including (x) the costs related to the segregation of the Off-Specification LNG, (y) the treatment of LNG of Other Shippers and Other Users that is contaminated due to such delivery and (z) other means downstream of the LNG Terminal which Terminal Operator Could use to make the Natural Gas compliant with the Specifications for the Redelivery Point) actually incurred by Terminal Operator which are properly documented and presented to Shipper due to the failure of Shipper’s LNG to be in compliance with the Specification for the Delivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator and take all reasonable measures to minimize such direct costs, direct expenses and direct losses, which Terminal Operator may incur.  When Off-Specification LNG is being delivered by Shipper pursuant GC 3.2, Terminal Operator shall, upon becoming aware of the situation pursuant to the measurement and testing of the LNG at the Delivery Point by virtue of AC 3.4.4.1, notify Shipper as soon as possible hereof and shall have the right to request Shipper (master of the LNG Ship) to stop unloading LNG forthwith. Thereafter, if Terminal Operator cannot despite the use of its reasonable endeavours accept the Off-Specification LNG, Terminal Operator shall be entitled to request Shipper to cause the LNG Ship to promptly leave the Unloading Port provided the master of the LNG Ship can do so safely (which actions may include but not be limited to rearranging of the LNG cargo within the LNG Ship). If Terminal Operator does not make such request, Shipper shall nevertheless have the right to stop unloading of the Off-Specification LNG and to leave the Unloading Port. For the avoidance of doubt, any damages, costs and expenses shall be treated in accordance with the provisions of this GC 3.2.  If Terminal Operator has accepted from Shipper Off-Specification LNG at the Delivery Point, Shipper may not refuse to accept Off-Specification Natural Gas at the Redelivery Point, to the extent that Terminal Operator has used its reasonable endeavours to bring the Off-Specification LNG in compliance with the Specification in accordance with the provisions of this section 3 and the cause of the Off-Specification Natural Gas is related to the Off-Specification LNG. The quality of the redelivered Natural Gas, insofar accepted by Terminal Operator at the Delivery Point, shall not be further out of compliance for the parameters for which the LNG was Off-Specification LNG and the Natural Gas shall not be out of compliance for any parameters for which the LNG was in compliance with the Specification for the Delivery Point.

Appears in 1 contract

Samples: LNG Services Agreement

SHIPPER’S FAILURE TO CONFORM. 3.2.1 Without prejudice to GC 3.14.1, if Shipper tenders for delivery Off-Off- Specification LNG, Terminal Operator may refuse, without prejudice to any other right or remedy it may have under this GC 34, to receive and accept in whole or in part any such Off-Specification LNG. Notwithstanding the previous sentence, Terminal Operator shall use its reasonable endeavours, with the existing installations and provided Terminal Operator shall not incur any costs other than those, which Shipper shall reimburse pursuant to this section, to accept such Off-Off- Specification LNG and (i) to redeliver Natural Gas that complies with the Specification for the Redelivery PointPoint or (ii) to redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Shipper shall notify Terminal Operator as soon as reasonably possible once Shipper knows or has reason to suspect that the LNG scheduled to be delivered to the LNG Terminal shall not or may not be in compliance with the Specification for the Delivery Point. Insofar as Terminal Operator knows, ultimately no later than six (6) hours before the High Tide on which an LNG Ship actually proceeds to the LNG Terminal for unloading, that the LNG scheduled to be delivered to the LNG Terminal will not or may not be in compliance with the Specification for the Delivery Point, Terminal Operator shall not knowingly accept delivery of such a Nominated Cargo of LNG, in whole or in part, from Shipper without first informing Shipper of the terms and conditions upon which Terminal Operator could accept delivery of such Off- Off-Specification LNG including, as the case may be, a good faith estimate of any direct costs, direct expenses and other direct losses (including, amongst others, the costs and expenses related to: the segregation of the Off-Specification LNG; the treatment of LNG of Other Shippers or Other Users that may be contaminated due to such acceptance; and, other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specification for the Redelivery Point), which Terminal Operator believes it will incur in order to accept delivery of the Off- Off-Specification LNG and (i) redeliver to Shipper Natural Gas which complies with the Specification for the Redelivery PointPoint or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading. Terminal Operator shall act as a Reasonable and Prudent Operator in order to minimize such direct costs, direct expenses and direct losses. If the Parties agree to unload the Off-Specification LNG, Terminal Operator shall use its reasonable endeavours (unless otherwise agreed) to (i) redeliver Natural Gas at the Redelivery Point that is in compliance with the Specification for the Redelivery Point or (ii) redeliver to Shipper LNG which complies with the Specification for the Redelivery Point for Loading but, subject to GC 4.2.7, Terminal Operator cannot be held liable if, after having used its reasonable endeavours, the Natural Gas redelivered at the Redelivery Point or the LNG redelivered at the Redelivery Point for Loading is not in compliance with the Specification for the Redelivery Point or Redelivery Point for Loading. Terminal Operator shall give Shipper regular and frequent updates as to the status of this process, which shall be given at least once a Day. It is understood however that Shipper shall pay such direct costs, direct expenses and other direct losses actually incurred by Terminal Operator including the direct costs, direct expenses and other direct losses exceeding Terminal Operator’s agreed good faith estimate, which are properly documented and presented to Shipper provided Terminal Operator takes measures, acting as a Reasonable and Prudent Operator, to minimize such direct costs, direct expenses and other direct losses. Any properly documented direct damages, direct costs and direct expenses relating to the abovementioned consultation process shall be the full responsibility of Shipper, which include, amongst others, any delay and/or Demurrage Rate. Terminal Operator shall unload LNG Ships in such a way as to minimise the risk of contaminating LNG already in the LNG Terminal which, when delivered, was in compliance with the Specification for the Delivery Point until the Nominated Cargo of LNG being unloaded is determined to be in compliance with the Specification for the Delivery Point. If Terminal Operator has been notified, in accordance with the preceding paragraphs of this section, that the Nominated Cargo of LNG that is to be unloaded will not or may not meet the Specification for the Delivery Point, Terminal Operator shall not commingle such LNG that will or may not meet the Specification for the Delivery Point without first obtaining the consent of all Other Shippers and Other Users that currently have Gas In Storage within the LNG Terminal or would have Gas In Storage within the affected period pursuant to the RBS. Notwithstanding the approval of Other Shippers and/or Other Users, Terminal Operator shall be entitled to refuse to accept the Off-Specification LNG. In case: Shipper shall reimburse Terminal Operator all reasonable properly documented direct costs, direct expenses and other direct losses (including (x) the costs related to the segregation of the Off-Specification LNG, (y) the treatment of LNG of Other Shippers and Other Users that is contaminated due to such delivery and (z) other means downstream of the LNG Terminal which Terminal Operator could use to make the Natural Gas compliant with the Specifications for the Redelivery Point, or the LNG compliant with the Specifications for the Redelivery Point for Loading) actually incurred by Terminal Operator which are properly documented and presented to Shipper due to the failure of Shipper’s LNG to be in compliance with the Specification for the Delivery Point. Terminal Operator shall act as a Reasonable and Prudent Operator and take all reasonable measures to minimize such direct costs, direct expenses and direct losses, which Terminal Operator may incur. When Off-Specification LNG is being delivered by Shipper pursuant GC 4.2, Terminal Operator shall, upon becoming aware of the situation pursuant to the measurement and testing of the LNG at the Delivery Point by virtue of AC 3.4.4.1, notify Shipper as soon as possible hereof and shall have the right to request Shipper (master of the LNG Ship) to stop unloading LNG forthwith. Thereafter, if Terminal Operator cannot despite the use of its reasonable endeavours accept the Off-Specification LNG, Terminal Operator shall be entitled to request Shipper to cause the LNG Ship to promptly leave the LNG Terminal provided the master of the LNG Ship can do so safely (which actions may include but not be limited to rearranging of the LNG cargo within the LNG Ship). If Terminal Operator does not make such request, Shipper shall nevertheless have the right to stop unloading of the Off-Specification LNG and to leave the LNG Terminal. For the avoidance of doubt, any damages, costs and expenses shall be treated in accordance with the provisions of this GC 4.2. If Terminal Operator has accepted from Shipper Off-Specification LNG at the Delivery Point (or from Transhipper at the Delivery Point for Transshipment and Transshipper subsequently transfers such Off- Specification LNG to Shipper), Shipper may not (and Shipper procures that any other User to whom the Off-Specification LNG is transferred shall not) refuse to accept Off-Specification Natural Gas at the Redelivery Point or Off-Specification LNG at the Redelivery Point for Loading, to the extent that Terminal Operator has used its reasonable endeavours to bring the Off-Specification LNG in compliance with the Specification in accordance with the provisions of this GC 4 and the cause of the Off- Specification Natural Gas is related to the Off-Specification LNG. The quality of the redelivered Natural Gas, insofar accepted by Terminal Operator at the Delivery Point, shall not be further out of compliance for the parameters for which the LNG was Off-Specification LNG and the Natural Gas shall not be out of compliance for any parameters for which the LNG was in compliance with the Specification for the Delivery Point.

Appears in 1 contract

Samples: www.fluxys.com

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