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. 1254 Original Sheet No. 1254

 

GENERAL TERMS AND CONDITIONS

Section 20

(Continued)

 

 

20.8 Mainline or Lateral Capacity Expansion Projects - Gulf Crossing

shall conduct an open season for all capacity expansion projects

on its system; provided, however, that a project shall not be

required for minor or auxiliary facilities, additions of receipt

and/or delivery facilities or facility modifications which do not

significantly alter the operational characteristics of the

pipeline system. Gulf Crossing shall post the terms of the open

season, including the criteria to be used to evaluate bids

pursuant to Section 8.1; provided, however, that an additional

posting pursuant to 8.1 shall not be required. The posting shall

include a listing of those meter locations that may be affected

by the expansion project and shippers utilizing such locations on

a primary firm basis may notify Gulf Crossing during the open

season of their interest in turning back capacity in the affected

area. During an open season, Gulf Crossing shall have the right

to establish a recourse rate (which shall not be higher than the

maximum applicable rate) and/or a minimum subscription level to

insure that the project is economically viable. In the event

there is insufficient capacity to meet the level of service

requested or the size of the project is reduced to meet demand,

Gulf Crossing shall allocate capacity among all shippers meeting

the requirements of Section 5 of these General Terms and

Conditions, on a pro rata basis unless another non-discriminatory

method is agreed to by the Customers, which submitted conforming

bids with the same net present value.