Dauphin Island Gathering Partners

Original Volume No. 1

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Effective Date: 12/23/1997, Docket: RP98- 17-000, Status: Effective

Substitute Original Sheet No. 188 Substitute Original Sheet No. 188 : Effective

Superseding: Original Sheet No. 188

19. SHIPPERS RELEASE OF FIRM CAPACITY

19.1 General:

This Section 19 sets forth the sole means by which a

Shipper under Rate Schedules FT-1 (MP) or FT-1 (DI)

("Releasing Shipper"), pursuant to Section 284.243 of the

Commission's regulations, or a Shipper under Rate Schedules

FT-2 (MP), FT-2 (DI) or FT-3 (MP), may release its firm

capacity rights under a Transportation Service Agreement

with the Transporter to a third party ("Acquiring

Shipper"). The provisions of Section 19 pertain solely to

release of firm capacity rights under a FT-1 (MP)

Transportation Service Agreement for subsequent service

under Rate Schedule FT-1 (MP), or release of firm capacity

rights under a FT-1 (DI) Transportation Service Agreement

for subsequent service under Rate Schedule FT-1 (DI), or

release of firm capacity rights under a FT-2

(MP)Transportation Service Agreement for subsequent service

under Rate Schedule FT-1 (MP), FT-2 (MP) or FT-3 (MP), or

release of firm capacity rights under a FT-2 (DI)

Transportation Service Agreement for subsequent service

under Rate Schedule FT-1 (DI) or FT-2 (DI), or release of

firm capacity rights under a FT-3 (MP) Transportation

Service Agreement for subsequent service under Rate

Schedule FT-1 (MP), FT-2 (MP) or FT-3 (MP). The provisions

of Section 1.1 of Rate Schedules FT-1 (MP) and FT-1 (DI)

requiring a one year minimum term shall not be applicable

to service under such Rate Schedules when performed under

this Section 19.

19.2 Capacity Eligible For Release:

A Releasing Shipper with a FT-1 (MP), FT-1 (DI), FT-2 (MP),

FT-2 (DI) or FT-3 (MP) Transportation Service Agreement may

release firm capacity pursuant to this Section 19.

19.3 Types of Releases:

(a) Permanent Release: A Releasing Shipper may release

all or part of its firm capacity under a

Transportation Service Agreement for the entire

remaining term of the Transportation Service

Agreement ("Permanent Release") pursuant to the

provisions of this Section 19. A Permanent Release

is an assignment of capacity and any associated

rights of the Releasing Shipper under Section 18

hereof for avoiding pregranted abandonment.

Therefore, the Acquiring Shipper must meet

Transporter's requirements related to

creditworthiness set forth in the applicable Rate

Schedule. The Acquiring Shipper shall be required

to execute a separate Transportation Service

Agreement for the released capacity at the rate

applicable to and for the primary term