West Texas Gas, Inc.

First Revised Volume No. 1

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Effective Date: 03/29/1992, Docket: RP92-135-000, Status: Effective

Original Sheet No. 19 Original Sheet No. 19 : Effective

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

14. Service Agreement (Continued):

 

14.2 Term of Agreement: The period of time to be covered by

the executed service agreement shall be determined by

agreement between the parties but shall not be longer than

twenty years, provided, however, that where the service

agreement supersedes or cancels an existing contract, the term

of the service agreement shall be not less than the un-

expired portion of the term contained in the contract to be

superseded or canceled, unless Buyer and Seller mutually agree

otherwise.

 

15. Volumetric Obligations and Requirements - Maximum Daily

Obligation: The maximum daily obligation shall be as mutually

agreed upon by Buyer and Seller in the executed service

agreement.

 

16. Changes in Maximum Daily Obligation:

16.1 Increases in Maximum Daily Obligation:

 

(a) Notice to Seller - When any Buyer desires to increase the

then effective maximum daily obligation, Buyer shall

notify Seller on or before February 1, of any year of the

total amount of the desired increase and the date on

which Buyer desires the increase to become effective.

Such effective date shall not be prior to November 1, of

the year in which Buyer gives notice to Seller, provided

that if the increase is more than five percent of the

then effective maximum daily obligation, Buyer's notice

shall specify an effective date not less than eighteen

months from February 1 of the year in which the notice is

given. With each notice, Buyer shall furnish detailed

estimates of Buyer's requirements.

 

(b) Procedure if Additional Facilities and Supplies Not

Required - If Seller determines in its judgment, giving

consideration to its obligations to all of its customers,

and its various sources of supply, that it will be able

to deliver the additional quantity of gas requested by

Buyer without obtaining additional facilities, Seller

shall notify Buyer by May 1, of such