Crossroads Pipeline Company

First Revised Volume No. 1

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Effective Date: 11/24/2007, Docket: RP08- 31-000, Status: Effective

First Revised Sheet No. 79A First Revised Sheet No. 79A : Effective

Superseding: Original Sheet No. 79A

GENERAL TERMS AND CONDITIONS

(Continued)

 

(c) A Shipper with a firm Service Agreement having

multiple primary receipt and delivery points subject to a right

of first refusal may exercise its right of first refusal with

respect to the Service Agreement's Transportation Demand at only

certain primary receipt and delivery point combinations in such

Service Agreement and in the same rate zone, subject to

satisfaction of Transporter's operational considerations based on

pipeline configuration and design. Section 12 (Maximum Daily

Delivery Obligation at Delivery Points and Maximum Daily Quantity

at Receipt Points) of the General Terms and Conditions addresses

the adjustment to maximum daily delivery obligations (MDDOs) when

a Shipper reduces its Service Agreement's Transportation Demand

through the exercise of a right of first refusal. The highest

rate that Shipper must match through the bidding process at

Section 4.2 below if it wishes to continue such service is the

Recourse Rate. This right of first refusal shall be deemed to be

assigned where a Shipper holding such a right permanently

releases and assigns all or a portion (volume but not geographic

portion) of the capacity under that Service Agreement,regardless

of the duration of that permanent release. Moreover, a Shipper

releasing and assigning all or a portion (volume but not

geographic portion) of the capacity may structure the release so

as to transfer the right of first refusal for the duration of the

release, even if that release and assignment is subject to a

recall by Shipper that would terminate that release and

assignment.

 

(2) If Shipper intends to exercise its right of first refusal

as described at paragraph (1) above, Shipper shall notify Transporter

through Transporter's EBB of that intent at least six months before the

termination date of its Service Agreement.

 

(3) In the event that Shipper provides Transporter with a six-

month notice of intent to exercise its right of first refusal,

Transporter shall promptly post on its EBB the information described in

Section 4.2 below, Transporter shall begin accepting bids from any

prospective Shipper, for all or a portion (volume but not geographic

portion) of the service rights under the existing Shipper's long-term

Service Agreement, at least five months prior to the termination of

such Service Agreement, and for the posting time periods set forth in

Section 4.2(a) below.