External Expansions Clause Samples
External Expansions. (a) Creation of Common Facilities Company
(i) Subject to Section 7.5(b) (External Expansions – Consent to Permitted CFCo Contribution) below, in connection with an External Expansion, the Borrower may form a new subsidiary that is a CFCo (any such Project Facilities held by CFCo, the “Common Facilities”).
(ii) Subject to Section 7.5(b) (External Expansions – Consent to Permitted CFCo Contribution) below, in connection with an External Expansion, the Borrower, the Pipeline Company, the Procurement Company or any of their respective Subsidiaries may contribute Common Facilities owned by the Borrower, the Pipeline Company, the Procurement Company or any such Subsidiaries to CFCo (such contribution, a “Permitted CFCo Contribution”).
External Expansions. To the extent that a proposed Expansion involves an Expansion other than an Internal Expansion as described in paragraph 8.09(a) above (an "External Expansion"), the Consenting Partners shall have the option for a period of one hundred eighty (180) days after the Rejection Date to commence construction of the External Expansion at their own expense and for their account in such manner as they may agree; provided, however, that upon the successful completion thereof said facilities and all easements and other appurtenances held in connection therewith shall be conveyed by the Consenting Partners to all Partners in undivided shares in accordance with the respective Sharing Ratios, said conveyance to be made free and clear of all liens and encumbrances except for the right of the Consenting Partners to recover from all of the revenues attributable to such property an amount (the "External Expansion Cost Recovery Amount") the present value of which, discounted from the date received to the date of the earliest unrecovered cost hereunder at an annual rate of fifteen percent (15%), is equal to one hundred and twenty-five percent (125%) of all costs incurred by the Consenting Partners in connection with such Expansion. Each of the Partners shall upon receipt of such conveyance convey all of its right, title and interest in said property to the Partnership subject to the right of the Consenting Partners to receive the External Expansion Cost Recovery Amount as provided above. Notwithstanding anything herein to the contrary, the Partnership and those Partners other than the Consenting Partners shall have the right to elect not to receive a conveyance of the External Expansion property hereunder.