Question-and-Answer Session
Operator
Thank you, Mr. Armstrong. We'll take our first question from Gabe Moreen from Bank of America.
Gabe Moreen - Bank of America
Good morning, everyone. A couple of questions. Alan, can you talk about the agreement you just reached I think with the Apache Nation around Four Corners and maybe the Delta, between what it's costing you for right away this year versus the new agreement you reached?
Alan Armstrong
Sure. Gabe, that agreement expired, as I recall right at towards the end of '06 and we've been operating on temporary permits out there that have been all over the map in terms of cost, but over the last two years is averaged about $4 million. It is lower than that in '08. I think it was around two and three quarter almost $3 million in '08. However, that fee that we've been paying has not allowed us to connect wells.
So we have not been out there connecting wells and really taking use of that right away. The new agreement that we have, expands us dramatically to the north of where we gather today. We have rights now to go and gather into that area. We're pretty excited about some of the prospects in that area because that's really an undrilled area in the San Juan Basin. And that, certainly, was one of the major issues for us in working with the hierarchy Apache Nation. It was really broadening our relationship to have an aligned relationship out there for the long-term that allows us to expand without having to pay additional funding in that area.
Gabe Moreen - Bank of America
Okay. And as a follow-up to that in terms of where the margin sharing agreement begins, I don't know if you can give me an exact per gallon amount. But directionally speaking, how much higher it might have be than today?
Alan Armstrong
Yeah, I can't disclose in great detail. But that midpoint is well above where we see it today. And we showed the average of $0.37 across our midstream business at a five-year average. And that gives you some reference point there. But, certainly, we're well below that midpoint today.
Gabe Moreen - Bank of America
That's fair. Don, can you talk about some of the debt covenants that were mentioned in the release in the presentation? And how those might come into play this year potentially?
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