Maricopa Arizona Gas Storage Unit Agreement

• Category: Oil Gas and Minerals - Agreements
• State: Multi-State
• County: Maricopa
• Control #: US-OG-1015
• Format: Word; Rich Text

Description

This is an agreement for a gas storage unit. Maricopa Arizona Gas Storage Unit Agreement is a legally binding document that outlines the terms and conditions between a gas storage facility and the customer, ensuring the safe and efficient storage of natural gas. This agreement provides a framework for the allocation of gas storage capacity, rates, operational procedures, and other essential elements. Key Terms and Components: 1. Gas Storage Facility: Maricopa Arizona Gas Storage Unit is a state-of-the-art storage facility designed to hold vast quantities of natural gas underground, ensuring its availability during peak demand periods or unforeseen disruptions. 2. Capacity Allocation: The Agreement defines the agreed-upon storage capacity that the customer is entitled to utilize within the facility. This allocation may vary depending on factors such as contract type, demand, and availability. 3. Rates and Fees: The agreement specifies the pricing structure, including the fees associated with capacity reservation, injections, withdrawals, and any additional services utilized by the customer. It outlines the payment terms and methods for calculating charges. 4. Operational Procedures: This section lays out the protocols and rules to be followed by both the gas storage facility and the customer. It covers procedures for scheduling, inventory management, notification of changes, emergency response, and access to the facility. 5. Term and Renewal: The duration of the agreement is defined, usually with options for renewal upon expiration. Both parties can negotiate any changes in terms, rates, or conditions during the renewal phase. 6. Force Mature: This clause outlines circumstances beyond the control of either party that may temporarily suspend or modify the agreement, such as acts of nature, strikes, or government regulations. 7. Termination: The agreement establishes the conditions under which either party may terminate the contract before its designated expiration date. It may include provisions for termination due to breach of contract, bankruptcy, or other specified reasons. 8. Confidentiality and Non-Disclosure: This section ensures the protection of sensitive information exchanged between the gas storage facility and the customer, preventing unauthorized access or disclosure. 9. Dispute Resolution: The agreement may include provisions for resolving disputes, such as mediation or arbitration, to avoid costly litigation. Different Types of Maricopa Arizona Gas Storage Unit Agreements: 1. Firm Storage Agreement: This type of agreement provides customers with a guaranteed, uninterrupted gas storage capacity, regardless of market conditions or changes in demand. Customers with firm agreements have the highest priority when accessing and utilizing the storage facility. 2. Interruptible Storage Agreement: This agreement offers customers a lower-cost option but does not guarantee uninterrupted access to the gas storage facility. These customers may face curtailment during periods of high demand. 3. Swing Storage Agreement: Swing contracts allow customers to flexibly adjust their injected and withdrawn gas volumes within certain predetermined limits. This type of agreement caters to customers requiring greater flexibility in gas storage utilization. 4. Asset Management Agreement: This agreement allows third-party service providers to manage and optimize the customer's gas storage assets, including storage inventory management, nomination optimization, and portfolio management on their behalf. Maricopa Arizona Gas Storage Unit Agreement is a comprehensive legal instrument that safeguards the interests of both the gas storage facility and the customer, ensuring reliable and efficient gas storage services within the specified terms and conditions.

Maricopa Arizona Gas Storage Unit Agreement is a legally binding document that outlines the terms and conditions between a gas storage facility and the customer, ensuring the safe and efficient storage of natural gas. This agreement provides a framework for the allocation of gas storage capacity, rates, operational procedures, and other essential elements. Key Terms and Components: 1. Gas Storage Facility: Maricopa Arizona Gas Storage Unit is a state-of-the-art storage facility designed to hold vast quantities of natural gas underground, ensuring its availability during peak demand periods or unforeseen disruptions. 2. Capacity Allocation: The Agreement defines the agreed-upon storage capacity that the customer is entitled to utilize within the facility. This allocation may vary depending on factors such as contract type, demand, and availability. 3. Rates and Fees: The agreement specifies the pricing structure, including the fees associated with capacity reservation, injections, withdrawals, and any additional services utilized by the customer. It outlines the payment terms and methods for calculating charges. 4. Operational Procedures: This section lays out the protocols and rules to be followed by both the gas storage facility and the customer. It covers procedures for scheduling, inventory management, notification of changes, emergency response, and access to the facility. 5. Term and Renewal: The duration of the agreement is defined, usually with options for renewal upon expiration. Both parties can negotiate any changes in terms, rates, or conditions during the renewal phase. 6. Force Mature: This clause outlines circumstances beyond the control of either party that may temporarily suspend or modify the agreement, such as acts of nature, strikes, or government regulations. 7. Termination: The agreement establishes the conditions under which either party may terminate the contract before its designated expiration date. It may include provisions for termination due to breach of contract, bankruptcy, or other specified reasons. 8. Confidentiality and Non-Disclosure: This section ensures the protection of sensitive information exchanged between the gas storage facility and the customer, preventing unauthorized access or disclosure. 9. Dispute Resolution: The agreement may include provisions for resolving disputes, such as mediation or arbitration, to avoid costly litigation. Different Types of Maricopa Arizona Gas Storage Unit Agreements: 1. Firm Storage Agreement: This type of agreement provides customers with a guaranteed, uninterrupted gas storage capacity, regardless of market conditions or changes in demand. Customers with firm agreements have the highest priority when accessing and utilizing the storage facility. 2. Interruptible Storage Agreement: This agreement offers customers a lower-cost option but does not guarantee uninterrupted access to the gas storage facility. These customers may face curtailment during periods of high demand. 3. Swing Storage Agreement: Swing contracts allow customers to flexibly adjust their injected and withdrawn gas volumes within certain predetermined limits. This type of agreement caters to customers requiring greater flexibility in gas storage utilization. 4. Asset Management Agreement: This agreement allows third-party service providers to manage and optimize the customer's gas storage assets, including storage inventory management, nomination optimization, and portfolio management on their behalf. Maricopa Arizona Gas Storage Unit Agreement is a comprehensive legal instrument that safeguards the interests of both the gas storage facility and the customer, ensuring reliable and efficient gas storage services within the specified terms and conditions.