This form is used for the purposes of more effectively developing, producing, and operating the Unit Area in order to prevent surface and underground waste, and obtain the greatest ultimate recovery of production of oil and gas, promote conservation, and to afford each of the Parties the right to recover their fair and equitable share of the production to be obtained from the Unit Area, or to receive the attributable proceeds of such production.
Washington Gas Storage and Secondary Recovery Unit Agreement is a legal contract entered into between Washington Gas, a prominent provider of natural gas services, and its customers for the storage and secondary recovery of natural gas. This agreement outlines the terms and conditions under which Washington Gas operates and maintains its gas storage and secondary recovery facilities. In this agreement, customers are granted the right to store their natural gas supplies within Washington Gas' storage facilities, ensuring a secure and reliable supply during peak demand periods or unforeseen disruptions in the gas transmission system. Additionally, the agreement encompasses arrangements for the extraction of natural gas from storage facilities when required for secondary recovery operations. There are different types of Washington Gas Storage and Secondary Recovery Unit Agreements designed to meet the diverse needs of customers: 1. Firm Storage and Secondary Recovery Agreement: This type of agreement provides customers with a guaranteed amount of storage capacity and access to secondary recovery services, ensuring a reliable gas supply regardless of system constraints or customer demand fluctuations. 2. Interruptible Storage and Secondary Recovery Agreement: This agreement offers customers lower rates in exchange for a reduced level of service reliability. When system constraints occur, customers with this type of agreement may experience restrictions on their gas storage or secondary recovery usage. 3. Seasonal Storage and Secondary Recovery Agreement: Designed for customers with specific seasonal gas storage requirements, this agreement allows them to lease storage capacity and access secondary recovery services on a seasonal basis, aligning with their fluctuating demands. 4. Nominations Agreement: This agreement complements the Storage and Secondary Recovery Unit Agreement, enabling customers to submit regular nominations specifying the quantities of gas they wish to store or extract from storage, ensuring appropriate management and coordination between Washington Gas and its customers. Overall, the Washington Gas Storage and Secondary Recovery Unit Agreement provides a framework for the secure, accessible, and reliable storage and secondary recovery of natural gas, ensuring uninterrupted supply for its customers.
