Gulf Crossing Pipeline Company LLC

Original Volume No. 1

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Effective Date: 12/20/2008, Docket: RP09-61-000, Status: Effective

Original Sheet No. 1204 Original Sheet No. 1204

 

GENERAL TERMS AND CONDITIONS

Section 19

(Continued)

 

 

19.6 Unauthorized Delivery

 

When an Unauthorized Delivery is taken from Gulf Crossing's

system, the delivery point operator ("End-user") will be charged

a transportation rate based upon the average system rate as

reflected in Rate Schedule ITS, plus the cash equivalent of the

fuel charge, and any applicable surcharges for each Dth

delivered. The cash for fuel rate and determination method will

be posted to Gulf Crossing's Internet Web Site prior to the

beginning of each production month.

 

If End-user's failure to provide a nomination for delivery of Gas

is shown to be due to an administrative error or similar

inadvertent action, Gulf Crossing may waive its right to charge

the End-user under this Section on a not unduly discriminatory

basis.

 

The Natural Gas volumes that make up the Unauthorized Delivery

shall be sold to the End-user at a price equal to 150% of the

Index "Sell" price determined pursuant to Section 14.1(b)(1) for

the month in which the Unauthorized Delivery was delivered.

 

Unauthorized Delivery Gas sold hereunder shall be considered a

sale by the cash pool. The proceeds from such sales of

Unauthorized Delivery Gas shall be credited to the cash pool,

and, if applicable, shall be subject to refund.