Destin Pipeline Company, L.L.C.

Original Volume No. 1

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Effective Date: 09/01/1998, Docket: CP96-655-003, Status: Effective

Original Sheet No. 79 Original Sheet No. 79 : Effective

 

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

Section 13.1(b)(ii) (continued)

 

(A) Pro Rata PDA; or

 

(B) Ranked PDA.

 

Rankings shall include the contract number assigned by

COMPANY to each Service Agreement and the name of the

SHIPPER thereunder.

 

In the event the gas received by COMPANY at a Receipt Point

is from more than one production source, the operator of the

facilities immediately upstream of the Receipt Point shall

provide an allocation of the gas it will deliver to the

Receipt Point from each production source pursuant to one of

the methods under Section 13.1(b)(i) (A-C) above. The

operators of each production source and the working interest

owners of each production source shall then provide COMPANY

allocations of their gas pursuant to Section 13.1(b)(i) and

Section 13.1(b)(ii) above, respectively.

 

The PDA shall be provided by each party under this Section

13.1 for each line item nomination provided by COMPANY for

confirmation. COMPANY shall then use the predetermined

priority provided by SHIPPER in its nomination for applying

the PDA to the Package ID level within the line item

nomination level.

 

(c) Pipeline Interconnects. The predetermined allocation

statement for Receipt Points interconnecting with third-party

pipelines shall be provided by the third-party pipeline and

shall rank the various Service Agreements to be supplied at

the Receipt Point in accordance with one of the methodologies

enumerated in Section 13.1(b)(i) above or in Section 13.3