Common use of Option to Extend Operating Period Clause in Contracts

Option to Extend Operating Period. (a) The Principal may elect, at its absolute discretion, to extend the Operating Period for up to two (2) consecutive further periods up to a maximum term of fifteen (15) years, commencing on the expiry of the Operating Period (each a Further Period), by giving notice to the Contractor: (i) at least three (3) months and at most one (1) year before the end of the Operating Period (as extended under this subclause (a)); and (ii) specifying the length of the Further Period. (b) Upon the Principal giving notice under subclause (a), the Operating Period will extend for the Further Period, on the same terms and conditions as this Contract except that in the case of the second Further Period, subclause (a) will not apply. (c) The Principal may not exercise its option under subclause (a) during any extension of the Operating Period under clause 4.3.

Option to Extend Operating Period. ‌ (a) The Principal may elect, at its absolute discretion, to extend the Operating Period for up to two (2) consecutive further periods up to a maximum term of fifteen (15) years, commencing on the expiry of the Operating Period (each a Further Period), by giving notice to the Contractor: (i) at least three (3) months and at most one (1) year before the end of the Operating Period (as extended under this subclause (a)); and (ii) specifying the length of the Further Period. (b) Upon the Principal giving notice under subclause (a), the Operating Period will extend for the Further Period, on the same terms and conditions as this Contract except that in the case of the second Further Period, subclause (a) will not apply. (c) The Principal may not exercise its option under subclause (a) during any extension of the Operating Period under clause 4.3.