Nautilus Pipeline Company, LLC

Original Volume No. 1

 Contents / Previous / Next / Main Tariff Index

Effective Date: 09/01/2002, Docket: RP00-392-001, Status: Effective

Original Sheet No. 218 Original Sheet No. 218 : Effective

GENERAL TERMS AND CONDITIONS

38. SEGMENTATION OF CAPACITY

Any Shipper receiving firm transportation service under Rate

Schedules FT-1, FT-2 or FT-3 may segment its capacity by

nominating service at any Points of Receipt and Points of

Delivery along the Pipeline Facilities, provided that: (1)

the segmentation nomination is operationally feasible; (2)

the net physical total of the segmentation nominations by

the original Shipper or a combination of Releasing and

Replacement Shippers on any overlapping segment does not

exceed the firm entitlements of the underlying

Transportation Service Agreement for any segment; (3)

capacity exists at the applicable Points of Receipt and

Points of Delivery subject to the segmentation nomination;

and (4) all gas transported through Shipper's use of

segmentation opportunities hereunder remains in compliance

with the gas quality and thermal content requirements of

this tariff. Subject to the limits set forth herein, a

Shipper acquiring segmented capacity shall also be permitted

to nominate Secondary Points of Receipt and Secondary Points

of Delivery up to Shipper's MDTQ.

Further, unless otherwise agreed, the rates and charges

applicable to service from the Primary Points of Receipt to

the Primary Points of Delivery shall also apply to segmented

service along the primary path. For purposes of determining

whether a nominated segmented release is operationally

feasible, Transporter shall take into consideration the

availability of mainline and/or point capacity, the location

on Transporter's Pipeline Facilities of the nominated

segment, and whether or not the nomination is otherwise

consistent with the tariff requirements and scheduling

practices for all of Transporter's services.