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INVESTMENT ADVISOR AGREEMENT
6 Months Ended
Jun. 30, 2012
INVESTMENT ADVISOR AGREEMENT

NOTE O – INVESTMENT ADVISOR AGREEMENT

 

Central’s strategy is to acquire midstream assets with a focus on gas transportation and services assets, including gas gathering, dehydration and compression systems, pipelines, fractionation and condensate stabilization facilities and related assets. To advance this strategy, during May 2011, the Partnership retained the services of an investment banking firm (Financial Advisor) to assist it in evaluating strategic growth and financing alternatives pursuant to an agreement which expired on April 30, 2012. During May 2012, the Partnership and Financial Advisor entered into a new agreement which expires on April 30, 2013 (2012 Advisor Agreement), and can be extended by mutual consent. The 2012 Advisor Agreement provides that the Partnership will retain the Financial Advisor for any M&A Transaction and Private Financing Transaction, as those terms are defined in the 2012 Advisor Agreement, provided that the Financial Advisor may elect not to accept such engagement at its sole option. The advisory fees to be paid for such engagements are customary with industry practices and are payable only in the event a transaction is successfully completed by Central.