Destin Pipeline Company, L.L.C.

Original Volume No. 1

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Effective Date: 09/01/1998, Docket: RP98-239-000, Status: Effective

First Revised Sheet No. 132 First Revised Sheet No. 132 : Effective

Superseding: Original Sheet No. 132

GENERAL TERMS AND CONDITIONS

(Continued)

 

Section 26.1 (continued)

 

hereof. In the event SHIPPER elects to process at a processing

facility other than the Pascagoula Plant, SHIPPER's processed gas

shall be redelivered to COMPANY's pipeline system downstream of

the Pascagoula Plant. No processed gas will be accepted into

COMPANY's pipeline system upstream of the Pascagoula Plant.

SHIPPER shall notify COMPANY prior to the beginning of the month

if the Liquefiables are to be processed for the account of SHIPPER

and shall give COMPANY written notice of any change to this

election prior to the beginning of the month for which the change

is to be effective. In its notice, SHIPPER shall specify the

Receipt Point code and source of the subject gas, the working

interest owner of the gas, the duration of the election, and

verification that all processing arrangements are in place if the

election is to process. In the event SHIPPER fails to make an

election to process its Liquefiables, COMPANY shall be authorized

to arrange said processing and, at COMPANY's election, either (i)

assess to SHIPPER its allocated share of plant thermal reduction

(PTR) and credit SHIPPER with its allocated share of revenues

received by COMPANY for said Liquefiables, if any, or (ii) replace

the allocated share of PTR in Dth.

 

COMPANY agrees to deliver for SHIPPER's account for processing a

volume of gas containing as nearly as practical the same number of

gallons of propane and heavier hydrocarbons as are delivered to

COMPANY by SHIPPER at the Receipt Point, less volumes used by

COMPANY pursuant to Section 26.3 hereof. If gas other than gas

received from SHIPPER hereunder is also being transported through

COMPANY's pipeline, SHIPPER shall have the right to have processed

on its behalf a quantity of the commingled gas in COMPANY's

pipeline which contains as nearly as practical a quantity of

propane and heavier hydrocarbons equal to the propane and heavier

hydrocarbons contained in the gas delivered at the Receipt Point.

The redelivery of residue