Idaho Gas Storage Agreement

• Category: Oil Gas and Minerals - Agreements
• State: Multi-State
• Control #: US-OG-723
• Format: Word; Rich Text

Description

This form is used when Owner owns and operates underground gas storage facilities and Customer desires storage service for natural gas to serve its Plant, and Owner is willing to render such storage services. Idaho Gas Storage Agreement refers to a legally binding contract between a gas storage provider and a customer, outlining the terms and conditions for storing natural gas in underground facilities located in the state of Idaho. This agreement allows customers, including utility companies, industrial facilities, and other gas-dependent entities, to ensure a reliable and accessible supply of natural gas during periods of high demand or emergencies. The Idaho Gas Storage Agreement typically contains various key components, including: 1. Parties Involved: It identifies the gas storage provider, known as the "seller," and the customer, often referred to as the "buyer." Both parties' legal names, addresses, and contact details are mentioned. 2. Storage Capacity: The agreement specifies the available storage capacity to be provided to the buyer. It may outline the volume of gas that can be stored, the maximum injection and withdrawal rates, and any restrictions or limitations on the usage. 3. Storage Term: The contract defines the duration of the agreement, which can be short-term or long-term, depending on the requirements of the buyer. Short-term agreements typically last for a few months to a year, while long-term agreements may span several years or even decades. 4. Pricing and Payment: The pricing structure for gas storage services is detailed, specifying the charges for capacity reservation, injection, withdrawal, and other associated costs. The payment terms, including billing frequency, due dates, and acceptable payment methods, are also outlined. 5. Operating Procedures: This section outlines the operational guidelines, including scheduling procedures for injection and withdrawal, nomination and confirmation processes, communication protocols, and the responsibilities of both parties for the efficient management of the storage facilities. 6. Force Mature and Termination: The agreement typically contains provisions relating to force majeure events, defining circumstances beyond the control of the parties that may result in the suspension or termination of the agreement. It also outlines the conditions under which either party can terminate the agreement, including notice periods and associated penalties, if applicable. There are different types of Idaho Gas Storage Agreements, tailored to meet the varying needs of customers: 1. Firm Storage Agreements: These agreements offer customers assured access to a specified storage capacity throughout the contracted term. The buyer pays a premium for this guaranteed availability, which ensures priority access to stored gas. 2. Interruptible Storage Agreements: These agreements provide storage services at a lower cost, but with the understanding that the buyer's gas injection or withdrawal may be interrupted or curtailed under certain circumstances. This type of agreement is suitable for customers willing to accept occasional interruptions in exchange for cost savings. In summary, the Idaho Gas Storage Agreement is a contractual arrangement that allows customers to secure natural gas storage capacity within Idaho's underground facilities. It enables reliable gas supply, offers flexibility, and ensures smooth operations during periods of high demand or emergencies. The agreement encompasses various essential aspects, such as storage capacity, pricing, operating procedures, and termination conditions. The types of agreements available include firm storage agreements with priority access and interruptible storage agreements that offer cost savings with lower reliability guarantees.

Idaho Gas Storage Agreement refers to a legally binding contract between a gas storage provider and a customer, outlining the terms and conditions for storing natural gas in underground facilities located in the state of Idaho. This agreement allows customers, including utility companies, industrial facilities, and other gas-dependent entities, to ensure a reliable and accessible supply of natural gas during periods of high demand or emergencies. The Idaho Gas Storage Agreement typically contains various key components, including: 1. Parties Involved: It identifies the gas storage provider, known as the "seller," and the customer, often referred to as the "buyer." Both parties' legal names, addresses, and contact details are mentioned. 2. Storage Capacity: The agreement specifies the available storage capacity to be provided to the buyer. It may outline the volume of gas that can be stored, the maximum injection and withdrawal rates, and any restrictions or limitations on the usage. 3. Storage Term: The contract defines the duration of the agreement, which can be short-term or long-term, depending on the requirements of the buyer. Short-term agreements typically last for a few months to a year, while long-term agreements may span several years or even decades. 4. Pricing and Payment: The pricing structure for gas storage services is detailed, specifying the charges for capacity reservation, injection, withdrawal, and other associated costs. The payment terms, including billing frequency, due dates, and acceptable payment methods, are also outlined. 5. Operating Procedures: This section outlines the operational guidelines, including scheduling procedures for injection and withdrawal, nomination and confirmation processes, communication protocols, and the responsibilities of both parties for the efficient management of the storage facilities. 6. Force Mature and Termination: The agreement typically contains provisions relating to force majeure events, defining circumstances beyond the control of the parties that may result in the suspension or termination of the agreement. It also outlines the conditions under which either party can terminate the agreement, including notice periods and associated penalties, if applicable. There are different types of Idaho Gas Storage Agreements, tailored to meet the varying needs of customers: 1. Firm Storage Agreements: These agreements offer customers assured access to a specified storage capacity throughout the contracted term. The buyer pays a premium for this guaranteed availability, which ensures priority access to stored gas. 2. Interruptible Storage Agreements: These agreements provide storage services at a lower cost, but with the understanding that the buyer's gas injection or withdrawal may be interrupted or curtailed under certain circumstances. This type of agreement is suitable for customers willing to accept occasional interruptions in exchange for cost savings. In summary, the Idaho Gas Storage Agreement is a contractual arrangement that allows customers to secure natural gas storage capacity within Idaho's underground facilities. It enables reliable gas supply, offers flexibility, and ensures smooth operations during periods of high demand or emergencies. The agreement encompasses various essential aspects, such as storage capacity, pricing, operating procedures, and termination conditions. The types of agreements available include firm storage agreements with priority access and interruptible storage agreements that offer cost savings with lower reliability guarantees.