Crossroads Pipeline Company

Original Volume No. 1

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Effective Date: 10/02/1995, Docket: CP94-342-006, Status: Effective

Substitute Original Sheet No. 10 Substitute Original Sheet No. 10 : Effective

Superseding: Original Sheet No. 10

 

deliveries at any of the Shipper's designated Point(s)

of Receipt and/or Delivery on any day, fails to

correct such overage on a prospective basis within 24

hours after receipt by Shipper of Crossroads'

notification. Notification may be by facsimile or

telephone and is effective when given. Such penalty

shall apply on an individual Service Agreement basis.

Nothing herein shall limit Crossroads' right to take

such actions of whatever nature as may be required

to correct a daily imbalance which threatens the

integrity of Crossroads' system, including

maintenance of service to other Shippers. The

applicable penalty shall be applied to the quantities

which exceed the limits specified below, on a

prospective basis, beginning on the gas day following

initial notification by Crossroads, in the following

instances:

 

(i) Shipper delivers or causes to be delivered to

Crossroads on any day a quantity which, after

appropriate reductions, exceeds Shipper's

firm MDQ by more than 10%, unless Shipper and

Crossroads have agreed to a scheduled

Authorized Overrun pursuant to Section 7

hereof; or

 

(ii) Shipper delivers or causes to be delivered to

Crossroads on any day a quantity which, after

appropriate reductions, exceeds the

quantities taken from Crossroads by more

than 10%; or

 

(iii) The Shipper takes quantities from Crossroads

on any day which exceed the quantities

received by Crossroads from Shipper by more

than 10% after appropriate reductions.

 

(b) Daily Balancing Penalty

 

As to paragraphs (a)(i) and (a)(ii) above, the penalty

shall be the retention by Crossroads of the total

quantity of gas exceeding the 10% limit specified

therein and payment by Crossroads to Shipper of an

amount equal to the percentage listed below of the

spot price for Midwest Delivered to Utility as

published each week in Natural Gas Week's "Gas Price

Report" multiplied by the quantity of gas delivered in

excess of the 10% limit, and receipts may be suspended

until such time as balance is achieved.