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. 234 First Revised Sheet No. 234
Superseding: Original Sheet No. 234
GENERAL TERMS AND CONDITIONS
4. REQUEST FOR SERVICES (Continued)
4.10 Creditworthiness (Continued)
(iii) a grant to Transporter of a security interest in
collateral found to be satisfactory to Transporter; or
(iv) a guarantee acceptable to Transporter, by another
person or entity which satisfies credit appraisal.
Such letter of credit, deposit, security interest or
guarantee shall be equal to three Months of the highest
estimated reservation and commodity charges to include
estimated charges for Natural Gas imbalances during the term
of the service agreement. Upon Shipper's establishment of an
acceptable credit record pursuant to Sections 4.10(b)(iii) or
4.10(c) or upon expiration of the TSA, Transporter shall
return Shipper's letter of credit, deposit, security
interest, or guarantee as applicable. If Transporter returns
a deposit to Shipper, Transporter shall pay interest to
Shipper at rates set pursuant to 18 CFR Section 154.501(d).
(f) If Shipper is found to be non-creditworthy, Transporter will
inform Shipper, in writing upon Shipper's request, of the
reasons for the determination.
(g) If Shipper is unable to demonstrate creditworthiness using
any of the methods described above for a request for new
service, Transporter may deny the Shipper's request.
(h) If Shipper is unable to demonstrate creditworthiness using
any of the methods described above for service under an
existing TSA, Transporter may, without waiving any rights or
remedies it may have, terminate service upon 30-Day written
notice using the notice procedures of Section 12.6 of the
General Terms and Conditions.
(i) Transporter may determine in its reasonable discretion that a
Shipper that requests new service is not creditworthy to
receive such service on the basis that Shipper has
outstanding payments due on invoices rendered by Transporter
on current or past TSAs and Shipper has defaulted on such
payments per the terms of Section 12 of the General Terms and
(j) If a Shipper has multiple TSAs with Transporter and defaults
on one TSA, Transporter may deem a default by Shipper on that
one TSA as a loss of creditworthiness on any other TSA the
Shipper has with Transporter.