Common use of Excess Deliveries Clause in Contracts

Excess Deliveries. When the actual quantity of Gas received at a Point(s) of Receipt, less Fuel and Loss, is less than the confirmed Delivery Nomination, the excess quantity of Gas, hereinafter referred to as “Excess Deliveries”, shall be sold by Gatherer and purchased by Shipper at one hundred and twenty percent (120%) of the highest daily price posted for Houston Ship Channel, as reported in Gas Daily, published by The M▇▇▇▇▇-▇▇▇▇ Companies, during the Month in which the imbalance occurred, less the applicable location differential and transport fuel, plus Gatherer’s gathering and fuel rate(s). In the event Gas Daily ceases to be published or fails to report the necessary index price, Gatherer shall notify Shipper of the substitute index price to be used. Gatherer shall have the right to curtail all gathering service, in whole or in part on all or a portion of its System, at any time for reasons of Force Majeure incurred by Gatherer or Shipper’s Transporter, or when, in Gatherer’s reasonable judgment, capacity or operating conditions so require, or it is desirable or necessary to make modifications, repairs or operating changes to the System. Gatherer shall provide Shipper such notice of the curtailment as is reasonable under the circumstances. Gatherer will use reasonable efforts to identify and curtail only those Shippers whose Gas is nominated through the Point(s) of Receipt, or portion of the System, which are subject to curtailment. All curtailments will be made ratably for all affected Shippers, in accordance with each such Shipper’s confirmed nominations.

Excess Deliveries. When the actual quantity of Gas received at a Point(s) of Receipt, less Fuel and Loss, is less than the confirmed Delivery Nomination, the excess quantity of Gas, hereinafter referred to as “Excess Deliveries”, shall be sold by Gatherer and purchased by Shipper at one hundred and twenty percent (120%) of the highest daily price posted for Houston Ship Channelprice, as reported in Gas DailyDaily Waha, published by The M▇▇▇▇▇-▇▇▇▇ Companies, during the Month in which the imbalance occurred, less the applicable location differential and transport fuel, plus Gatherer’s gathering and fuel rate(s). In the event Gas Daily Waha ceases to be published or fails to report the necessary index price, Gatherer shall notify Shipper of the substitute index price to be used. Gatherer shall have the right to curtail all gathering service, in whole or in part on all or a portion of its System, at any time for reasons of Force Majeure incurred by Gatherer or Shipper’s Transporter, or when, in Gatherer’s reasonable judgment, capacity or operating conditions so require, or it is desirable or necessary to make modifications, repairs or operating changes to the System. Gatherer shall provide Shipper such notice of the curtailment as is reasonable under the circumstances. Gatherer will use reasonable efforts to identify and curtail only those Shippers whose Gas is nominated through the Point(s) of Receipt, or portion of the System, which are subject to curtailment. All curtailments will be made ratably for all affected Shippers, in accordance with each such Shipper’s confirmed nominations.