- 7 - which Seller can lawfully deliver hereunder consistently with prudent operation of Seller’s wells and with all rules and regulations of any regulatory authority having jurisdiction. (E) If any given subject well or wells be connected to Buyer’s pipeline system and prepared to deliver gas to Buyer hereunder during only part of any given accounting period, then Buyer’s take obligation in respect of such well or wells for such accounting period shall be that propor- tion of the take obligation otherwise applicable which the number of days such well or wells are connected to Buyer’s system and prepared to deliver gas to Buyer hereunder during such period bears to the total number of days in the period. (F) In order to avoid disproportionate withdrawals of gas from any well or wells, it is agreed that if gas from any particular well or wells otherwise deliverable hereunder is not delivered to Buyer, either because the gas is delivered to Seller’s lessors or used by Seller for operations in the area pursuant to other provisions of this contract or for any other reason, then Buyer’s take obligations hereunder in respect of such well or wells may, at Buyer’s option, be reduced by amounts equivalent to such volumes produced but not delivered to Buyer. (G) Seller recognizes that the efficient conduct of Buyer’s business requires the main- tenance of accurate gas reserve records, and Seller agrees to cooperate with Buyer to that end and to make available to Buyer such information as to subject wells as may be necessary or useful to Buyer from time to time in its reserve studies. (H) If Buyer does not receive the annual minimum which Buyer is obligated to receive hereunder during a particular Contract Year, and the annual minimum was available and tendered by Seller for delivery hereunder in accordance with the provisions of this contract, Buyer shall pay to Seller at the price per Mcf payable hereunder on the last day of the particular Contract Year for a volume (hereinafter for convenience referred to as the "annual shortage") equal toPage: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011