Salt Lake Utah Gas Storage Agreement

• Category: Oil Gas and Minerals - Agreements
• State: Multi-State
• County: Salt Lake
• 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. Salt Lake Utah Gas Storage Agreement refers to a legal contract that establishes the terms and conditions for the storage and usage of natural gas in the Salt Lake region of Utah, United States. It outlines the rights, responsibilities, and obligations of the parties involved in the gas storage agreement. The agreement typically involves a gas storage operator and one or more gas storage customers. The Salt Lake Utah Gas Storage Agreement is crucial for both parties as it ensures the reliable and efficient supply of natural gas to meet the customers' needs while promoting the safe and environmentally responsible operation of the storage facilities. This agreement is designed to protect the interests of all stakeholders involved and establish a framework for collaboration and dispute resolution. The agreement includes various key provisions, such as: 1. Storage Capacity: The agreement specifies the amount of natural gas storage capacity allocated to each customer, considering factors like existing infrastructure, technical capabilities, and market demand. 2. Injection and Withdrawal Rights: It outlines the rights of customers to inject or withdraw natural gas from the storage facility. This includes determining the permitted flow rates, injection and withdrawal pressures, and scheduling procedures. 3. Usage and Delivery Obligations: The agreement defines the customer's obligations regarding gas usage and delivery, including quality and quantity requirements, delivery point specifications, and measures to mitigate disruptions to gas supply. 4. Pricing and Payment: It addresses the pricing structure, payment terms, and invoice details, including any penalties or surcharges for non-compliance with the agreement terms. It may also include provisions for price adjustments based on market conditions or regulatory changes. 5. Maintenance and Inspection: The agreement mandates regular maintenance, inspection, and testing of the storage facilities to ensure their safe and efficient operation. It may include provisions for planned maintenance schedules and emergency response protocols. Different types of Salt Lake Utah Gas Storage Agreements may exist depending on various factors, including the scale of the facility, ownership structure, and customer requirements. Some variations include: 1. Firm Storage Agreement: This type of agreement guarantees the customer a specific storage capacity and uninterrupted access to the storage facility within the reserved capacity. 2. Interruptible Storage Agreement: In this agreement, the customer has lower priority access to the storage facility and the rights to use the storage capacity may be temporarily interrupted or curtailed based on the operator's needs or other precedence criteria. 3. Hub Services Agreement: This agreement may involve a centralized gas storage hub that provides storage services to multiple customers. It often focuses on establishing standard terms and tariff structures to encourage participation and fair market access. Overall, the Salt Lake Utah Gas Storage Agreement plays a critical role in facilitating the reliable storage and supply of natural gas in the region while creating a fair and transparent environment for all parties involved.

Salt Lake Utah Gas Storage Agreement refers to a legal contract that establishes the terms and conditions for the storage and usage of natural gas in the Salt Lake region of Utah, United States. It outlines the rights, responsibilities, and obligations of the parties involved in the gas storage agreement. The agreement typically involves a gas storage operator and one or more gas storage customers. The Salt Lake Utah Gas Storage Agreement is crucial for both parties as it ensures the reliable and efficient supply of natural gas to meet the customers' needs while promoting the safe and environmentally responsible operation of the storage facilities. This agreement is designed to protect the interests of all stakeholders involved and establish a framework for collaboration and dispute resolution. The agreement includes various key provisions, such as: 1. Storage Capacity: The agreement specifies the amount of natural gas storage capacity allocated to each customer, considering factors like existing infrastructure, technical capabilities, and market demand. 2. Injection and Withdrawal Rights: It outlines the rights of customers to inject or withdraw natural gas from the storage facility. This includes determining the permitted flow rates, injection and withdrawal pressures, and scheduling procedures. 3. Usage and Delivery Obligations: The agreement defines the customer's obligations regarding gas usage and delivery, including quality and quantity requirements, delivery point specifications, and measures to mitigate disruptions to gas supply. 4. Pricing and Payment: It addresses the pricing structure, payment terms, and invoice details, including any penalties or surcharges for non-compliance with the agreement terms. It may also include provisions for price adjustments based on market conditions or regulatory changes. 5. Maintenance and Inspection: The agreement mandates regular maintenance, inspection, and testing of the storage facilities to ensure their safe and efficient operation. It may include provisions for planned maintenance schedules and emergency response protocols. Different types of Salt Lake Utah Gas Storage Agreements may exist depending on various factors, including the scale of the facility, ownership structure, and customer requirements. Some variations include: 1. Firm Storage Agreement: This type of agreement guarantees the customer a specific storage capacity and uninterrupted access to the storage facility within the reserved capacity. 2. Interruptible Storage Agreement: In this agreement, the customer has lower priority access to the storage facility and the rights to use the storage capacity may be temporarily interrupted or curtailed based on the operator's needs or other precedence criteria. 3. Hub Services Agreement: This agreement may involve a centralized gas storage hub that provides storage services to multiple customers. It often focuses on establishing standard terms and tariff structures to encourage participation and fair market access. Overall, the Salt Lake Utah Gas Storage Agreement plays a critical role in facilitating the reliable storage and supply of natural gas in the region while creating a fair and transparent environment for all parties involved.