Uk Gas Sales Agreement

There are several standard contracts for physical (and not fictitious) sales of gas, which can guide parties in choosing terms and streamline fixed-term agreements – which provide for the sale and purchase of gas for a defined period of time and are generally classified as either short-term (one to five years) or long-term (often twenty years). may, however, contain much longer maturities; Depletion-based contracts – which, on the other hand, are based on an unspecified amount of economically exploitable reserves from a nominated gas field. A true exhaustion contract is maintained for the life of the field, so the volume of the agreement is limited by such reserves and not by time. .