Pigging and Pipeline Operations. As of the Effective Date, Venoco utilizes the Pigging and Pipeline Facilities to conduct Pigging and Pipeline Operations. During the Option Period, Venoco intends to continue to conduct Pigging and Pipeline Operations and may, in Venoco's discretion, expand, replace, reconfigure or alter the Pigging and Pipeline Facilities, pipelines and other equipment and facilities in the ordinary course of business and in order to accommodate increased Hydrocarbon production from Platform Gail and the resumption of Hydrocarbon production from Platform Grace. Clearwater acknowledges that Venoco's right to conduct Pigging and Pipeline Operations is critical to the efficient and lawful operation of Platform Gail, Platform Grace and the Santa Xxxxx Unit and that nothing in this Agreement shall authorize or entitle Clearwater to prevent, disrupt or interfere with in any manner whatsoever Venoco's Pigging and Pipeline Operations at any time before the Closing Date; provided, that the Parties acknowledge that they have agreed to include in the Purchase Agreement and the Lease Transaction Agreements, as applicable, the terms and conditions under which Clearwater may reconfigure the Pigging and Pipeline Facilities and any expanded, replacement, reconfigured or altered pigging facilities, pipelines and other equipment and facilities after the Closing, and other terms pertaining to Pigging and Pipeline Operations conducted after the Closing.
Pigging and Pipeline Operations. (i) Buyer hereby agrees to conduct, or cause to be conducted, from Platform Grace (or such other location as may be determined by Buyer as provided in sub-paragraph (ii) below)
Pigging and Pipeline Operations. The costs of Existing Pigging and Pipeline Operations shall be borne and paid by Buyer and the costs of Additional Pigging and Pipeline Operations shall be borne and paid by Venoco, except that the cost of moving the Pigging and Pipeline Operations or reconfiguring the equipment and facilities involved in the Pigging and Pipeline Operations pursuant to sub-paragraph (ii) below shall be borne and paid by Buyer as provided in sub-paragraph (iii) below. Buyer shall conduct such Pigging and Pipeline Operations throughout the LNG Project Term and so long thereafter as Venoco desires; provided, however, that after the end of the LNG Project Term, unless (x) Buyer has relocated the equipment and facilities (including facilities located on Platform Gail and related subsea and/or land-based facilities) involved in the Pigging and Pipeline Operations such that all such operations and facilities are moved off of Platform Grace (pursuant to Section 4.2(a)(ii)), or (y) Buyer has transferred ownership of Platform Grace to Venoco (pursuant to Section 8.3(d)), Buyer shall maintain and make available Platform Grace, and shall conduct all Pigging and Pipeline Operations requested by Venoco (or, at Venoco's election, shall permit Venoco to conduct Pigging and Pipeline Operations) until the permanent cessation of Hydrocarbon production from Platform Gail and the Santa Xxxxx Unit.
