PRT: terminal liftings - volume of oil to be used in determining “A” (Regulation 3)
The figure to be used will be the volume of the blend actually lifted by the participator on a particular day unless the following circumstances apply:
- The sales contract under which the lifting occurs allows for the purchaser to nominate the volumes (within the loading tolerances) to be lifted.
- The facility lifting agreement allows for a different basis of allocation to fields to apply to (i) the volumes nominated by the purchaser, and (ii) any ‘balancing parcel’ - see below
- The volume nominated by the purchaser is allocated differently than the balancing parcel.
In which case ‘volume of oil’ in ‘A’ will be the volume nominated for lifting by the purchaser, not the actual lifted volume.
Note that the use of this alternative definition of “A” is not at the discretion of the production company; it will depend upon the contractual terms and the lifting agreements with the facility and / or shipping programme operator.