Garden Banks Gas Pipeline, LLC
Original Volume No. 1
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Effective Date: 04/16/1997, Docket: CP96-678-001, Status: Effective
Original Sheet No. 285 Original Sheet No. 285 : Effective
FORM OR RESERVE COMMITMENT AGREEMENT
2.3 From the obligations in Section 2.1, Shipper expressly reserves
unto itself, its successors and assigns, the following rights
and quantities of production sufficient to satisfy such rights:
(a) The right to operate the Committed Block(s) free from any
control by Transporter including, without limitation, the
right (but never the obligation) to drill new wells, to
repair and rework old wells, to plug and abandon any well
and to renew, surrender, release or terminate any lease
(in whole or in part) covering the affected lands;
(b) The right to deliver production to lessors of leases on
such lands in quantities sufficient to fulfill lease
obligations from time to time, including the right to
take royalty in kind; and
(c) The rights to use production for development and
operations of such lands, including (but not limited to)
the use of gas for fuel, drilling (including gas
drilling), deepening, reworking, compressing, gas
lifting, processing, treating, cycling, repressuring or
other supplemental recovery operations.
2.4 Temporary Release
(a) Shipper shall be released from its obligations under
Section 2.1 with respect to any quantities of Shipper's
production from the Committed Block(s) in excess of the
capacity available on Transporter's Facility (i) under
Shipper's existing Transportation Service Agreement(s),
(ii) under Rate Schedule IT-1 and (iii) for commitment to
firm service (referred to herein as "Excess
Deliverability"). In the event of Excess Deliverability,
Shipper shall be released from its obligations under
Section 2.1 with respect to the Impacted Quantities (as
defined in subsection 2.4(c)) pursuant to the provisions
of subsection 2.4(d).