Common use of Off-Specification Gas Clause in Contracts

Off-Specification Gas. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Specification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Specification Gas. (b) The Receiving Participant must, within 2 hours after receiving or giving an Off-Specification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Specification Gas described in that Off-Specification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) If the Receiving Participant: (i) does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Specification Gas, the Receiving Participant will be taken to have accepted the Off-Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). (d) If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) will be taken to have delivered the gas in accordance with this agreement; (ii) will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Specification Gas as described in the Off-Specification Notice; (iii) must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Specification Notice, give the Receiving Participant a further Off-Specification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Specification Gas: (i) the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Specification Gas by the Receiving Participant, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Specification Gas that was rejected or taken to have been rejected.

Off-Specification Gas. This clause 14.5.4 does not apply to Physical Gas Transactions in respect of a Delivery Point at a gas storage facility. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Specification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Specification Gas. (b) The Receiving Participant must, within 2 hours after receiving or giving an Off-Specification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Off- Specification Gas described in that Off-Specification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) If the Receiving Participant: (i) does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Specification Gas, the Receiving Participant will be taken to have accepted the Off-Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). (d) If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) will be taken to have delivered the gas in accordance with this agreement; (ii) will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Specification Gas as described in the Off-Specification Notice; (iii) must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Specification Notice, give the Receiving Participant a further Off-Specification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Off- Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Off- Specification Gas: (i) the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Specification Gas by the Receiving Participant, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Off- Specification Gas that was rejected or taken to have been rejected.

Off-Specification Gas. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Specification OffSpecification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Off- Specification Gas. (b) The Receiving Participant must, within 2 hours after receiving or giving an Off-Specification OffSpecification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Specification Gas described in that Off-Specification OffSpecification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) If the Receiving Participant: (i) does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Specification OffSpecification Gas, the Receiving Participant will be taken to have accepted the Off-Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). (d) If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) will be taken to have delivered the gas in accordance with this agreement; (ii) will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Specification Gas as described in the Off-Specification Notice; (iii) must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Specification OffSpecification Notice, give the Receiving Participant a further Off-Specification OffSpecification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification OffSpecification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Specification Gas: (i) the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Specification Gas by the Receiving Participant, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Specification Gas that was rejected or taken to have been rejected.

Off-Specification Gas. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Off- Specification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Specification Gas. (b) The Receiving Participant must, within 2 hours after receiving or giving an Off-Off- Specification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Specification Gas described in that Off-Off- Specification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) If the Receiving Participant: (i) does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Off- Specification Gas, , (iii) the Receiving Participant will be taken to have accepted the Off-Off- Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). (d) If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) will be taken to have delivered the gas in accordance with this agreement; (ii) will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Off- Specification Gas as described in the Off-Specification Notice; (iii) must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Off- Specification Notice, give the Receiving Participant a further Off-Off- Specification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Specification Gas: (i) the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Off-Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Specification Gas by the Receiving Participant, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Specification Gas that was rejected or taken to have been rejected.

Off-Specification Gas. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Off- Specification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Specification Gas. (b) The Receiving Participant must, within 2 hours after receiving or giving an Off-Off- Specification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Specification Gas described in that Off-Off- Specification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) If the Receiving Participant: (i) does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Off- Specification Gas, the Receiving Participant will be taken to have accepted the Off-Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). (d) If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) will be taken to have delivered the gas in accordance with this agreement; (ii) will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Off- Specification Gas as described in the Off-Specification Notice; (iii) must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Specification Notice, give the Receiving Participant a further Off-Specification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Specification Gas: (i) the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Specification Gas by the Receiving Participant, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Specification Gas that was rejected or taken to have been rejected.

Off-Specification Gas. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Specification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Specification Gas. (b) . The Receiving Participant must, within 2 hours after receiving or giving an Off-Off- Specification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Specification Gas described in that Off-Off- Specification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) . If the Receiving Participant: (i) : does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) or to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Off- Specification Gas, the Receiving Participant will be taken to have accepted the Off-Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). (d) . If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) : will be taken to have delivered the gas in accordance with this agreement; (ii) ; will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Specification Gas as described in the Off-Specification Notice; (iii) ; must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Specification Notice, give the Receiving Participant a further Off-Specification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) and must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Specification Gas: (i) the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Specification Gas by the Receiving Participant, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Specification Gas that was rejected or taken to have been rejected.

Off-Specification Gas. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Off- Specification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Specification Gas. (b) . The Receiving Participant must, within 2 hours after receiving or giving an Off-Off- Specification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Specification Gas described in that Off-Off- Specification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) . If the Receiving Participant: (i) : does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) or to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Off- Specification Gas, the Receiving Participant will be taken to have accepted the Off-Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). (d) . If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) : will be taken to have delivered the gas in accordance with this agreement; (ii) ; will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Specification Gas as described in the Off-Specification Notice; (iii) ; must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Specification Notice, give the Receiving Participant a further Off-Specification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) and must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) . The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) . Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) . If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Specification Gas: (i) : the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Off-Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) ; the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) ; the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) ; any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) and except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Off- Specification Gas by the Receiving Participant, unless and to the extent that: (A) : the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) or the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) . If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) : the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) and the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) but the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) : the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) or the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Specification Gas that was rejected or taken to have been rejected.

Off-Specification Gas. (a) Each of the Receiving Participant and the Delivering Participant must notify the other as soon as reasonably practicable after it becomes aware that Off-Off- Specification Gas may be or has been delivered at the Delivery Point by the Delivering Participant (an Off-Specification Notice). The Off-Specification Notice must, as far as reasonably possible, identify how the Off-Specification Gas differs from the Specification, the quantity of the Off-Specification Gas and (in the case of a notice given by the Delivering Participant) the expected duration of the supply of Off-Specification Gas. (b) The Receiving Participant must, within 2 hours after receiving or giving an Off-Off- Specification Notice, advise the Delivering Participant by notice whether it rejects or accepts all or any of the Off-Specification Gas described in that Off-Off- Specification Notice and delivered after the time the Receiving Participant gives that advice, subject to clause 14.5.4(e). (c) If the Receiving Participant: (i) does not give a notice rejecting the Off-Specification Gas within the time period specified in clause 14.5.4(b) and subsequently takes delivery of the Off-Specification Gas; or (ii) to the extent it has rejected the Off-Specification Gas, fails to use its reasonable endeavours to prevent acceptance of that quantity of Off-Off- Specification Gas, the Receiving Participant will be taken to have accepted the Off-Specification Gas described in the Off-Specification Notice, as if it complied with the Specification, subject to clause 14.5.4(e). [Note formatting correction – had previously been numbered as (c)(iii).] (d) If the Receiving Participant accepts Off-Specification Gas by notice given under clause 14.5.4(b) or is taken to have accepted Off-Specification Gas by operation of clause 14.5.4(c), the Delivering Participant: (i) will be taken to have delivered the gas in accordance with this agreement; (ii) will not be responsible in any way for any loss, cost, damage or expense arising out of the acceptance by the Receiving Participant of Off-Off- Specification Gas as described in the Off-Specification Notice; (iii) must, if the Off-Specification Gas made available for delivery varies materially further from the Specifications than is described in the Off-Specification Notice, give the Receiving Participant a further Off-Specification Notice (and the Receiving Participant must have a further opportunity to accept or reject that gas, for which purpose clauses 14.5.4(b) and 14.5.4(c) apply); and (iv) must use reasonable endeavours to resume deliveries of gas that complies with the Specification and must notify the Receiving Participant as soon as reasonably practicable after those deliveries resume. (e) The Receiving Participant may, at any time after accepting (or being deemed to accept) delivery of Off-Specification Gas, notify the Delivering Participant that it rejects further deliveries of Off-Specification Gas from a time specified in the notice (not earlier than 2 hours after giving the notice). The Receiving Participant must endeavour to give as much notice as reasonably practicable. (f) Notwithstanding any other provision of this clause, if the Gas Transporter rejects delivery or receipt of Off-Specification Gas at the Delivery Point, the Receiving Participant is automatically taken to have rejected that Off-Specification Gas and must notify the Delivering Participant as soon as reasonably practicable. (g) If the Receiving Participant rejects, or is taken to have rejected, delivery or further delivery of Off-Specification Gas: (i) the Delivering Participant must use reasonable endeavours to prevent delivery of Off- Specification Gas (subject to paragraph (ii)) and to resume delivery of gas that complies with the Specification as soon as reasonably practicable; (ii) the Receiving Participant must use reasonable endeavours to prevent acceptance of Off-Specification Gas at the Delivery Point; (iii) the Delivering Participant must notify the Receiving Participant as soon as reasonably practicable of the Gas Day and time when deliveries of that gas will resume; (iv) any Off-Specification Gas tendered for delivery is not taken to be gas delivered by the Delivering Participant in accordance with this Agreement, and the parties have the same rights and liabilities as they would have under clauses 14.3(e) and 14.3(f) in respect of a failure to deliver that quantity of gas; and (v) except as provided in paragraph (iv), the Delivering Participant is not liable for any loss, damage, costs or expenses arising out of the receipt of Off-Specification Gas by the Receiving Participant, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (h) If Off-Specification Gas tendered by the Delivering Participant passes the Delivery Point before the time at which the Receiving Participant accepts or rejects, or is taken to have accepted or rejected, that Off-Specification Gas under this clause 14.5.4: (i) the relevant quantity of Off-Specification Gas is taken to have been delivered by the Delivering Participant in accordance with this Agreement; and (ii) the Delivering Participant must reimburse the Receiving Participant for any amount payable to the Gas Transporter in accordance with the Receiving Participant’s Gas Transportation Agreement or Gas Compression Services Agreement in respect of the delivery of that quantity of Off-Specification Gas; but (iii) the liability of the Delivering Participant under paragraph (ii) is limited to the amount for which it would have been liable under clause 14.3(e) or 14.3(f) if it had failed to deliver that quantity of gas, unless and to the extent that: (A) the Off-Specification Gas was delivered as a result of the Delivering Participant’s wilful default; or (B) the Delivering Participant receives a payment by way of damages or indemnity from a gas supplier or transporter relating to that quantity of Off-Specification Gas. (i) Clause 14.5.4(j) applies if the Receiving Participant in a Location Swap Transaction rejects or is taken to have rejected delivery or further delivery of Off-Specification Gas offered by the Delivering Recipient at the applicable Delivery Point under the Location Swap Transaction. (j) If this clause applies, the Receiving Participant is not “responsible” within the meaning of clause 15.2(c) for a Delivery Variance Quantity arising in respect of its obligations to receive gas under the Location Swap Transaction at the applicable Delivery Point or its obligation to deliver gas at the Delivery Point for which it is the Delivering Participant for that Location Swap, in each case up to the quantity of Off-Specification Gas that was rejected or taken to have been rejected.