Alaska Precedent Agreement for Firm Natural Gas Storage Service

• Category: Oil Gas and Minerals - Agreements
• State: Multi-State
• Control #: US-OG-1089
• Format: Word; Rich Text

Description

This form is a precedent agreement for a firm national gas storage service. Alaska Precedent Agreement for Firm Natural Gas Storage Service (DEAFNESS) is a legally binding contract established between a firm natural gas storage service provider and a customer in the state of Alaska. This agreement outlines the terms and conditions governing the utilization of natural gas storage facilities, ensuring a smooth and efficient supply of natural gas to meet customer demands. The DEAFNESS is designed to cater to the unique needs of various entities involved in natural gas storage operations, whether it be producers, distributors, or consumers. It provides a framework to establish a consistent and reliable system for long-term natural gas storage, promoting a stable energy supply for both residential and industrial consumers. This type of agreement enables the customer to secure a predetermined amount of natural gas storage capacity within the designated storage facility. The customer commits to paying for and utilizing the allocated storage capacity during the stipulated term, which is typically a specific number of months or years. Additionally, the agreement ensures the customer's priority access to the reserved storage capacity, irrespective of market conditions or seasonal demands. There are often different variations of Alaska Precedent Agreements for Firm Natural Gas Storage Service, reflecting the diverse requirements and preferences of the involved parties. Some notable types may include: 1. Base Firm DEAFNESS: This agreement guarantees a fixed storage capacity for a specified duration, providing the customer with consistent gas storage access throughout the entire contract term. 2. Interruptible Firm DEAFNESS: This agreement allows the customer to access the storage capacity as long as the system's overall load allows. However, there might be a possibility that the storage service could be interrupted during periods of high demand or emergencies. 3. Shared Firm DEAFNESS: This type of agreement enables multiple customers to share a common storage capacity, dividing it based on their individual needs and market demand. It allows for a cost-effective approach while maintaining a reliable supply. Regardless of the specific type, an Alaska Precedent Agreement for Firm Natural Gas Storage Service ensures that both the service provider and the customer have a mutually beneficial and legally binding agreement, promoting fair and efficient utilization of the natural gas storage facilities.

Alaska Precedent Agreement for Firm Natural Gas Storage Service (DEAFNESS) is a legally binding contract established between a firm natural gas storage service provider and a customer in the state of Alaska. This agreement outlines the terms and conditions governing the utilization of natural gas storage facilities, ensuring a smooth and efficient supply of natural gas to meet customer demands. The DEAFNESS is designed to cater to the unique needs of various entities involved in natural gas storage operations, whether it be producers, distributors, or consumers. It provides a framework to establish a consistent and reliable system for long-term natural gas storage, promoting a stable energy supply for both residential and industrial consumers. This type of agreement enables the customer to secure a predetermined amount of natural gas storage capacity within the designated storage facility. The customer commits to paying for and utilizing the allocated storage capacity during the stipulated term, which is typically a specific number of months or years. Additionally, the agreement ensures the customer's priority access to the reserved storage capacity, irrespective of market conditions or seasonal demands. There are often different variations of Alaska Precedent Agreements for Firm Natural Gas Storage Service, reflecting the diverse requirements and preferences of the involved parties. Some notable types may include: 1. Base Firm DEAFNESS: This agreement guarantees a fixed storage capacity for a specified duration, providing the customer with consistent gas storage access throughout the entire contract term. 2. Interruptible Firm DEAFNESS: This agreement allows the customer to access the storage capacity as long as the system's overall load allows. However, there might be a possibility that the storage service could be interrupted during periods of high demand or emergencies. 3. Shared Firm DEAFNESS: This type of agreement enables multiple customers to share a common storage capacity, dividing it based on their individual needs and market demand. It allows for a cost-effective approach while maintaining a reliable supply. Regardless of the specific type, an Alaska Precedent Agreement for Firm Natural Gas Storage Service ensures that both the service provider and the customer have a mutually beneficial and legally binding agreement, promoting fair and efficient utilization of the natural gas storage facilities.