Common use of Delivery Procedure Clause in Contracts

Delivery Procedure. The Delivery procedure is described in Appendix I of this Agreement. 5.1 Under-delivery If in respect of the Delivery Period, the Contractual Quantity exceeds the Allocated Quantity by reason of Seller’s default, the Parties shall endeavor to resolve amicably such default within 10 (ten) business days following the occurrence of the Seller’s default or within any other time period agreed between the Parties (“Time Period for Remedies”). If the Seller does not remedy to its default within the Time Period for Remedies, then the Seller shall pay to the Buyer an amount equal to the product of (i) the default quantity and (ii) the difference, if positive, between (i) the unit price, at which the Buyer acting in a commercially reasonable manner is or would be able to purchase from a Third party (or a network operator) an equivalent quantity of Natural Gas to replace the default quantity and (ii) the Contractual Price. Notwithstanding the preceding, the Seller shall reimburse to the Buyer the amount of any incremental transportation costs and charges and other reasonable and verifiable costs or expenses incurred by the Buyer in respect of this Seller’s default. 5.2 Under-acceptance If in respect of the Delivery Period, the Contractual Quantity exceeds the Allocated Quantity by reason of Buyer’s default, the Parties shall endeavor to resolve amicably such default within 10 (ten) business days following the occurrence of the Buyer’s default or within any other time period agreed between the Parties (the “Time Period for Remedies”). If the Buyer does not remedy to its default within the Time Period for Remedies, then the Buyer shall pay to the Seller an amount equal to the product of (i) the default quantity and (ii) the difference, if positive, between (i) the Contractual Price and (ii) the unit price, at which the Seller acting in a commercially reasonable manner is or would be able to sell to a Third party (or a network operator) an equivalent quantity of Natural Gas to replace the default quantity. Notwithstanding the preceding, the Buyer shall reimburse to the Seller the amount of any incremental transportation costs and charges and other reasonable and verifiable costs or expenses incurred by the Seller in respect of this Buyer’s default. 5.3 Over-delivery If in respect of the Delivery Period, the Allocated Quantity exceeds the Contractual Quantity by reason of Seller’s default, the Parties shall endeavor to resolve amicably such default within 10 (ten) business days following the occurrence of the Seller’s default or within any other time period agreed between the Parties (the “Time Period for Remedies”). If the Seller does not remedy to its default within the Time Period for Remedies, then the Seller shall pay to the Buyer an amount equal to the product of (i) the absolute value of the excess quantity and (ii) the difference, if positive, between (i) the Contractual Price and (ii) the unit price, at which the Buyer acting in a commercially reasonable manner is or would be able to sell to a Third party (or a network operator) an equivalent quantity of Natural Gas to remove the absolute value of quantity in excess. Notwithstanding the preceding, the Seller shall reimburse to the Buyer the amount of any incremental transportation costs and charges and other reasonable and verifiable costs or expenses incurred by the Buyer in respect of this Seller’s default. 5.4 Over-acceptance If in respect of the Delivery Period, the Allocated Quantity exceeds Contractual Quantity by reason of Buyer’s default, the Parties shall endeavor to resolve amicably such default within10 (ten) business days following the occurrence of the Buyer’s default or within any other time period agreed between the Parties (the “Time Period for Remedies”). If the Buyer does not remedy to its default within the Time Period for Remedies, then the Buyer shall pay to the Seller an amount equal to the product of (i) the absolute value of excess quantity and (ii) the difference, if positive, between (i) the unit price, at which the Seller acting in a commercially reasonable manner is or would be able to purchase from a Third party (or a network operator) an equivalent quantity of Natural Gas to replace the absolute value of default quantity and (ii) the Contractual Price. Notwithstanding the preceding, the Buyer shall reimburse to the Seller the amount of any incremental transportation costs and charges and other reasonable and verifiable costs or expenses incurred by the Seller in respect of this Buyer’s default.