The Contractual Price Clause Samples

The Contractual Price of Natural Gas and its components will be determined per separate per thermal unit (million BTU) in accordance with the following: (a) The Contractual Price of Natural Gas will consider, in the relevant proportion, the per unit value and volume corresponding to the marketing of Natural Gas (methane) and each one of its other components (ethane, propane and butane). (b) In case that during the Period the Contractor markets under Market Rules at least fifty percent (50%) of the Natural Gas volume delivered to it in the Period based on Market Rules or if there is a commitment for such marketing (including long term sale contracts under which the price is determined by Market Rules), the Contractual Price of Natural Gas in the Period in which the marketing is registered shall be equal to the average observed sale price, weighted based on the thermal equivalent in millions of BTU of the corresponding volume in each case, which the Contractor has marketed or committed to market. In case that any volume that the Contractor sells to an Affiliate or a related party is in turn marketed to a third party without any intermediate treatment or processing, the sale price and volume corresponding to such Affiliate or related party transaction with the third party may be considered for the calculation of the Contractual Price of Natural Gas in the Period. (c) In case that during the Period the Contractor does not market under Market Rules at least fifty per cent (50%) of Natural Gas volume delivered to it in the Period, but the Marketer has registered marketing of Natural Gas corresponding to the Contract Area based on Market Rules, the Contractual Price of Natural Gas shall be equal to the weighted average price for the corresponding volume, reported by the Marketer. (d) In case that during the Period the Contractor does not market under Market Rules at least fifty percent (50%) of the Natural Gas volume delivered to it in the Period based on Market Rules, or if marketing was carried out by the Contractor or the Marketer with related parties, the Contractual Price of Natural Gas shall be the average of the prices determined based on the daily prices set by the Energy Regulatory Commission for the point at which Natural Gas produced pursuant to this Contract enters the Integrated National Transportation and Storage System at the date of each marketing transaction, weighted based on the thermal equivalent in millions of BTU of the volume involved in each transaction carried...