MINIMUM VOLUME COMMITMENT; FEES Clause Samples

MINIMUM VOLUME COMMITMENT; FEES. 9.1 Each Month during the Term hereof, Shipper (together with its Affiliates and Successors) shall deliver to Gatherer at the Receipt Points a minimum of 15,000 Barrels per Day (the “Minimum Volume Commitment”) for ten (10) years beginning on the System Completion Date. For purpose of calculating Shipper’s delivery of the Minimum Volume Commitment, volume shall be calculated based on the trailing three (3) Month average volume gathered by Gatherer on the Gathering System. In the event that Shipper does not deliver the Minimum Volume Commitment in any given Month, Gatherer shall charge the Tier 1 Gathering Fee on the aggregate Minimum Volume Commitment for such Month in lieu of the Gathering Fees contemplated by Section 9.2(a). 9.2 As consideration of the services rendered by Gatherer under this Agreement, Shipper shall pay to Gatherer the following fees (the “Fees”): (a) A Gathering Fee on all of Shipper’s Oil delivered at the Delivery Points from well▇ ▇▇ the Core Units and the Additional Units based on the following volumetric tiers: Tier 1: First 15,000 Barrels per Day 0 $2.00 per Barrel Tier 2: Greater than 15,000 and less than 30,000 Barrels per Day 0 $1.50 per Barrel Tier 3: Greater than 30,000 Barrels per Day 0 $1.00 per Barrel For the avoidance of doubt, the rates in the table above are tiered. The Tier 1 rate applies to the first 15,000 Barrels per Day of transported volumes, the Tier 2 rate applies to the next 15,000 Barrels per Day of transported volumes and the Tier 3 rate applies to volumes in excess of 30,000 Barrels per Day. (b) A Gathering Fee on all of Shipper’s Oil delivered at the Delivery Points from well▇ ▇▇ the Excluded Units and the Outside Units (“Excluded Volumes”) equal to $1.00 per Barrel (the “Preferential Fee”); provided, however, that in the event Shipper has delivered less than the Minimum Volume Commitment in the applicable Month, the Preferential Fee will be equal to the Tier 1 Gathering Fee with respect to such amount of Excluded Volumes as is necessary for Shipper to meet the Minimum Volume Commitment. (c) A Truck Loading Fee equal to $0.25 per Barrel on all of Shipper’s Oil either loaded onto or unloaded from trucks at the CDP or any other Delivery Point agreed to by the Parties. 9.3 Beginning in the second year following the System Completion Date, the Tier 2 Gathering Fee, the Tier 3 Gathering Fee, the Preferential Fee and the Truck Loading Fee will be increased by the amount equal to the annual percentage increase cha...