Gathering System for Additional Xxxxx. Upon notification by Redwood of its successful completion of any additional well or xxxxx in the AMI, Gateway shall commence, or cause to be commenced, the construction of a gathering line(s) from the additional well(s) to the Xxxx Xxxxxxx Well No. 1 (or any other additional well), or the Treatment Plant (or Redwood's or a Third Party's treating facilities, as the case may be), the actual location and route of the gathering line(s) to be determined at Gateway's sole discretion, after reasonable consultation with Redwood. Any such additional gathering line(s) shall be constructed and operated in accordance with the specifications set forth in that Gas Purchase Agreement. Gateway will build any additional gathering line(s) at its sole cost, risk, and expense; provided, however, with respect to each additional well, to the extent that the gathering line (whether between xxxxx or between the well and the applicable treating facilities) exceeds five thousand feet (5,000'), Redwood will reimburse Gateway for its actual direct costs associated with that portion of the gathering line which exceeds five thousand feet (5,000'). To the extent that Redwood has the right to lay pipelines across any of the lands or leases in the AMI and such right may be assigned, then, if requested by Gateway, Redwood shall assign such rights to Gateway to assist in the installation of the gathering and transportation pipelines, provided that Gateway shall reimburse Redwood for all costs and expenses, if any, incurred in any assignment of pipeline right-of-way or similar instrument. No payment made by Redwood to Gateway hereunder shall constitute a release or waiver of Redwood's audit rights and right to seek reimbursement for any audit exceptions under Section 8.14 below.
