REGASIFYING OF LNG HELD IN STORAGE;
(E)
THE TRANSPORTATION AND DELIVERY OF SUCH
REGASIFIED LNG TO THE DELIVERY POINT (IT BEING ACKNOWLEDGED THAT SABINE MAY, AT
ITS OPTION, CAUSE GAS TO BE REDELIVERED TO CUSTOMER AT THE DELIVERY POINT FROM
SOURCES OTHER THAN REGASIFIED LNG); AND
(F)
OTHER ACTIVITIES DIRECTLY RELATED TO
PERFORMANCE BY SABINE OF THE FOREGOING, INCLUDING METERING, CUSTODY TRANSFER AND
REPORTING.
7
2.2
ADDITIONAL SERVICES
From time to time during the Term, the representatives of SABINE and Customer
may supplement this Agreement in accordance with Section 25.1 to provide that
SABINE will also make available services to Customer in addition to the Services
set forth in Section 2.1.
2.3
ACTIVITIES OUTSIDE SCOPE OF THIS AGREEMENT
The Parties confirm that the following activities, inter alia, are not Services
provided by SABINE to Customer and, therefore, such activities are outside of
the scope of this Agreement:
(A)
HARBOR, MOORING AND ESCORT SERVICES,
INCLUDING THOSE RELATING TO TUGS, SERVICE BOATS, FIRE BOATS, AND OTHER ESCORT
VESSELS;
(B)
THE CONSTRUCTION, OPERATION, OWNERSHIP,
MAINTENANCE, REPAIR AND REMOVAL OF FACILITIES DOWNSTREAM OF THE DELIVERY POINT;
(C)
THE TRANSPORTATION OF GAS BEYOND THE
DELIVERY POINT;
(D)
THE MARKETING OF GAS AND ALL ACTIVITIES
RELATED THERETO (EXCEPT AS EXPRESSLY PROVIDED IN SECTION 3.4); AND
(E)
THE REMOVAL, MARKETING AND TRANSPORTATION
OF LIQUIDS AND ALL ACTIVITIES RELATED THERETO.
ON ITS OWN INITIATIVE OR UPON
REQUEST BY CUSTOMER, SABINE MAY INVESTIGATE THE CONSTRUCTION OF: (X) FACILITIES
TO EXTRACT LIQUIDS WHICH ARE AN INTEGRAL PART OF THE SABINE PASS FACILITY; OR
(Y) FACILITIES TO EXTRACT LIQUIDS WHICH ARE A SEPARATE FACILITY AND PROJECT FROM
THE SABINE PASS FACILITY.
IF SABINE ELECTS TO CONSTRUCT FACILITIES TO EXTRACT
LIQUIDS, THE PARTIES SHALL NEGOTIATE A COMMERCIALLY REASONABLE ARRANGEMENT TO
COMPENSATE SABINE FOR SUCH FACILITIES.
THE ARRANGEMENT SHALL PROVIDE CUSTOMER
WITH THE ABILITY TO RECEIVE ITS PROPORTIONAL SHARE OF LIQUIDS IN-KIND WITH
SABINE BEING PAID A PROCESSING FEE FOR THE CONTRACT DURATION.
IF THE PARTIES DO
NOT NEGOTIATE SUCH A COMMERCIALLY REASONABLE ARRANGEMENT, SABINE SHALL
NEVERTHELESS HAVE THE RIGHT TO SEPARATE AND/OR EXTRACT LIQUIDS FROM LNG UPSTREAM
OF THE DELIVERY POINT, PROVIDED THAT SUCH SEPARATION DOES NOT RESULT IN GAS
FAILING TO MEET THE QUALITY SPECIFICATIONS AT THE DELIVERY POINT REQUIRED UNDER
SECTION 10.3 AND PROVIDED, FURTHER, THAT SABINE DELIVERS AT THE DELIVERY POINT A
QUANTITY OF GAS THAT IS, LESS RETAINAGE AND CUSTOMER'S INVENTORY, THE THERMAL
EQUIVALENT OF THE QUANTITY OF LNG RECEIVED BY SABINE FOR CUSTOMER'S ACCOUNT AT
THE RECEIPT POINT.
8
ARTICLE 3
SALE AND PURCHASE OF SERVICES
3.1
SERVICES
(A)
PURCHASE AND SALE OF SERVICES.
DURING EACH
CONTRACT YEAR, SABINE SHALL MAKE AVAILABLE TO CUSTOMER, AND CUSTOMER SHALL
PURCHASE AND PAY FOR IN AN AMOUNT EQUAL TO THE FEE, THE SERVICES AS DESCRIBED IN
SECTION 3.1(B).
(B)
SERVICES.
THE SERVICES SABINE SHALL MAKE
AVAILABLE TO CUSTOMER DURING EACH CONTRACT YEAR, AND CUSTOMER SHALL PURCHASE AND
PAY FOR PURSUANT TO SECTION 4.1, SHALL CONSIST OF THE FOLLOWING:
(I)
UNLOADING OF LNG.
SABINE SHALL MAKE THE SABINE PASS