Eastern Shore Natural Gas Company

Second Revised Volume No. 1

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Effective Date: 11/01/1997, Docket: CP96-128-004, Status: Effective

Original Sheet No. 355 Original Sheet No. 355 : Effective

 

FORM OF SERVICE AGREEMENT

 

Firm Storage Service

(For Use Under Seller's Rate Schedule CFSS)

(Continued)

 

ARTICLE V

 

Term of Agreement and Commencement of Service

 

5.1 The term of this Agreement shall commence on

______________ and shall continue in effect until ________________

or such earlier date that the upstream Columbia Gas Transmission

Corporation (Columbia) entitlements are permanently released to

Buyer.

 

5.2 At least twelve (12) months prior to the end of the term

specified in Section 5.1, Buyer shall provide Seller with a written

notice, specifying Buyer's desired disposition of the Storage

Service entitlement under Rate Schedule FSS and the Storage Service

related transportation under Rate Schedule SST at the expiration of

the term. In such written notice, Buyer shall specify one of the

following alternatives:

 

(a) Buyer elects to extend its Storage Service with

Seller under Seller's Rate Schedule CFSS beyond the

expiration of the term of the existing CFSS Service

Agreement with Seller; or

 

(b) Buyer elects to discontinue its Storage Service with

Seller under Seller's Rate Schedule CFSS at the

expiration of the term of its CFSS Service Agreement

with Seller.

 

If Buyer fails to provide Seller with the written notice

at least twelve (12) months prior to the end of the term of the

CFSS Service Agreement, then Buyer will be deemed to have selected

Section 5.2(b) as Buyer's alternative.