Caprock Pipeline Company

First Revised Volume No. 1

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Effective Date: 01/01/1993, Docket: RS92- 58-001, Status: Effective

Original Sheet No. 22 Original Sheet No. 22 : Effective

 

service would impair Caprock's ability to meet its firm

service obligations, or to render any future service that may

be provided by Caprock on a firm basis. Shipper shall

indemnify Caprock from and against any and all losses, damages

or expenses of every kind and character, direct or indirect,

which Caprock or Shipper may suffer, sustain or be liable and

hold Caprock harmless from and against any and all damages,

claims, suits, actions or proceedings whatsoever threatened or

initiated as a result of any curtailment or interruption

invoked by Caprock.

(B) In the event any services are curtailed or

interrupted hereunder, Caprock shall reduce scheduled service,

to zero if necessary, in the following order:

(1) scheduled service under Caprock's

interruptible rate schedules commencing with service to

be charged at the minimum rate of Caprock then in effect

on a first-come, first-served basis, based upon the

queue priority as determined in accordance with this

Section; next in order shall be service to be charged at

a rate that is greater than the minimum rate of Caprock

then in effect, in sequence beginning with the rate most

proximate to the minimum rate, such determination to be

based on the percentage of discount from the applicable

maximum rate, and within each rate category on a first-

come, first-served basis based on queue priority;

provided further that within each of these rate

categories among Shippers with the identical first-come,

first-served priority on Caprock's system where Caprock

is required to interrupt or curtail scheduled

interruptible transportation, Caprock shall prorate the

available capacity among said Shippers based upon the

quantities of gas scheduled by Caprock for their

respective accounts. In the event Shipper is receiving

service at less than the applicable maximum rate and

Caprock determines that interruption or curtailment of

service is required, Shippers making such election will

be required to pay the applicable maximum rate in order

to avoid interruption or curtailment of service to the

extent that any interruptible service is available as

determined by Caprock. Such election shall be a one

time election effective during such periods of

interruption or curtailment regardless of duration; and

(2) scheduled service under Caprock's FS Firm

Rate Schedule on a pro rata basis. Such proration shall

be based on Caprock's maximum firm daily contractual

obligations to provide firm service on that day.