Cheyenne Plains Gas Pipeline Company, L.L.C.
Original Volume No. 1
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Effective Date: 07/26/2010, Docket: RP10-876-000, Status: Effective
First Revised Sheet No. 231 First Revised Sheet No. 231
Superseding: Original Sheet No. 231
GENERAL TERMS AND CONDITIONS
4. REQUEST FOR SERVICES (Continued)
4.9 Right-of-First-Refusal ("ROFR") (Continued)
(k) When an agreement is subject to a regulatory right of first
refusal, contains a contractual right of first refusal, a
rollover clause, or an evergreen clause, extension rights
apply to each expiring increment of capacity (i.e., on a step-
down basis) during the term of the agreement.
(l) Right of Initial Shippers to Contractual ROFR. For purposes
of this section, any Shipper whose TSA was included in the
Docket No. CP03-302-000 certificate proceeding and the CP04-
345-000 expansion proceeding is an Initial Shipper.
(i) Notwithstanding Section 4.9(a)(iii) of the General Terms
and Conditions, Initial Shippers shall have a Right-of-
First-Refusal pursuant to this Section 4.9 of the
General Terms and Conditions exercisable at the end of
the term of the Initial Shippers' TSAs.
(a) Creditworthiness Requirement. A Shipper wishing to obtain
service must first comply with the creditworthiness
requirements of this Tariff.
(b) Criteria for Creditworthiness Determination
(i) Acceptance of a Shipper's request for service and the
continuation of service are contingent upon the
Shipper satisfying, on an on-going basis, a credit
appraisal by Transporter.
(ii) Transporter shall apply consistent evaluation
practices to all similarly situated Shippers to
determine the Shipper's financial ability to satisfy
the payment obligations due to Transporter over the
term of the requested service agreement.
(iii) A Shipper will be deemed creditworthy if: (i) it's
senior unsecured debt securities are rated at least
BBB- by Standard & Poor's Corporation ("S&P") or Baa3
by Moody's Investor Service ("Moody's"), (ii)
Shipper's short term and long term outlook opinion is
Stable or Positive from S&P or Moody's, and (iii) the
sum of 12 Months of anticipated charges under a firm
or interruptible TSA is less than 10% of Shipper's
tangible net worth. In the event Shipper is rated by
multiple agencies, the lowest rating shall be used.
If the Shipper has multiple TSAs with Transporter,
then the total of all such TSAs shall be considered in