Common use of Gathering Clause in Contracts

Gathering. Section 4.1 of the Base Contract shall be amended in its entirety as follows: “Seller shall have sole responsibility for transporting gas to the Receipt Points. Buyer shall cause Seller’s gas to be received at the Receipt Points and shall cause Seller’s gas to be gathered and redelivered to the Delivery Points. Seller shall bear line loss, dehydration fuel, and applicable compression fuel which may occur or be necessary to accomplish the gathering of Seller’s Gas from the Receipt Points to the Delivery Points, other than any extraordinary line losses retained by the Gathering System operator under the Gathering Agreement. Line loss (or gain), dehydration fuel, and applicable compression fuel shall be measured for each Month as the difference between the total volume of Gas received by the Gathering System from all shippers at the Receipt Points less the total volume of Gas delivered by the Gathering System operator on behalf of all shippers to the Delivery Points and then allocated by Buyer to Seller’s Gas at each Delivery Point. Seller shall retain the right to process its Gas delivered hereunder in the Rogersville Plant for the extraction of natural gas liquids under the terms of the Processing Agreement. The quantity (in MMBtu’s) of Seller’s Gas purchased hereunder by Buyer at the Delivery Points (which shall exclude the Existing Contracts Volume) shall be deemed to be equal to the sum of (in MMBtu’s) (i) for Seller’s Gas processed in the Rogersville Plant, the quantity of residue gas remaining at the tailgate of the Rogersville Plant as measured under the Processing Agreement and (ii) for Seller’s Gas delivered to other Delivery Points, the quantity of Seller’s Gas sold and measured under the Gas Sales Contracts under which Buyer resells such Gas at such Delivery Points. Seller grants to Buyer and its Affiliates or designees the right to monitor the receipt and delivery point meters constituting a portion of the Gathering System for purposes of verifying compliance with this Agreement and the Gathering Agreement, and, if the Seller or its Affiliate fail to take any meter readings and measurements when and as required under this Agreement or the Gathering Agreement, Seller, on behalf of itself and its Affiliates, authorizes Buyer or any Buyer Affiliate or designee to take such required meter readings and measurements.”