Cheniere Creole Trail Pipeline, L.P.

Original Volume No. 1

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Effective Date: 04/28/2008, Docket: RP08-137-000, Status: Effective

Original Sheet No. 194 Original Sheet No. 194 : Pending

 

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

5. Assessing Bids and Awarding Capacity for FTS.

 

Capacity shall be awarded to the bidder with the highest acceptable Net

Present Value bid offered to Transporter calculated in accordance with Section

22.B.6 below. Transporter may aggregate bids and award capacity to the bids

which, when aggregated yield the highest Net Present Value. If two or more

bidders, submit acceptable bids of equal value, as calculated in accordance

with this Section, any available capacity shall be awarded on a pro rata basis

to all bidders that submitted equivalent value bids. Transporter shall post

the winning bids on its Internet Website.

 

6. Net Present Value:

 

Net Present Value will be determined based on the discounted cash flow of

revenues to Transporter by the request(s) for service. In determining the

highest Net Present Value, Transporter will consider objective criteria only.

Such criteria may include, without limitation, the bid rate, the MDQ or MDTQ

requested, the term of service requested, the date on which the requested

service would commence and such other objective criteria available based on

the requests for service received by Transporter. The Net Present Value

discount factor used by Transporter will be the current Commission-approved

interest rate.

 

7. Right of First Refusal.

 

Any existing Shipper or Replacement Shipper with an FTS Service Agreement may

exercise its Right of First Refusal pursuant to Section 21 of the General

Terms and Conditions.

 

8. New Firm Service Agreements.

 

A new firm Service Agreement executed pursuant to this Section 22, will be

subject to pre-granted abandonment unless otherwise specified therein.