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What is a Fuel Supply Agreement? Usually, Fuel Supply Agreements are drafted by fuel suppliers to set forth the terms and payment details of an arrangement with a client. As a result of making this agreement with each other, all signers will be more likely to hold the same expectations.
A contract used in the oil & gas industry that obligates the buyer to take an agreed minimum quantity of gas at a set contract price over a given period of time or to pay an agreed-on amount if the minimum gas quantity is not taken.
A fuel supply agreement, also known as a "fuel contract" or simply a "supply contract,? is a contract between two parties in which one party agrees to sell fuel to the other party.
A product supply agreement establishes the terms on which a seller will supply products to a buyer. The agreement must be clearly written to ensure that products will reach the hands of the consumers quickly and with little complication.
Deliver gas to points-of-use at a specified pressure over a range of flow rates. Prevent unscheduled interruptions in critical gas supply. Handle high-cost, high-purity gases without contamination or loss.