Booking & Send or Pay

In order to provide a firm service, a capacity booking is required.  Typically the Tie-in party will have provided a life of field profile for inclusion in the commercial agreement.  For each hydrocarbon contract year (commences 1st October), the Tie-in party will then confirm their capacity requirement 12 months in advance.  There will be some flexibility to modify the life of field profile within this process.

Such bookings have balancing terms attached for:

• Tie-in party Send or Pay obligation (or “minimum bill”); and
• TOTAL obligation to redeliver hydrocarbons properly tendered.

These terms are normally negotiated at the same time so as to arrive at an equitable position for both parties. 

Force Majeure relief from Send or Pay generally applies to both parties.