Gulfstream Natural Gas System, L.L.C.

Original Volume No. 1

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Effective Date: 05/24/2010, Docket: RP10-630-000, Status: Effective

Fourth Revised Sheet No. 302 Fourth Revised Sheet No. 302

Superseding: Third Revised Sheet No. 302

 

FORM OF SERVICE AGREEMENT

For use under Transporter's Rate Schedule FTS

(CONTINUED)

 

Applicable quantities shall be reduced for scheduling purposes,

but not for billing purposes, by the Contract Quantities that

Shipper has released through Transporter's capacity release

program for the period of any release.

 

4. TERM:

 

This Agreement shall be effective on ________________. Service

under this Agreement shall commence on ___________ [this blank may

include a date certain, a date either earlier or later than a

specified date certain based on the completion of construction of

facilities necessary to provide service under the Agreement, or a

commencement date as defined in a precedent agreement between

Shipper and Transporter] and shall continue until 9:00 a.m. CCT on

___________ ("Primary Term") and from ______________ to

______________ thereafter (not less than year to year for the

secondary term for Agreements with a primary term of more than 1

year) until terminated by Transporter or Shipper upon at least

_______(not less than 2 years for agreements with a primary term

of 2 years or more and not less than 1 year for agreements with a

primary term of more than 1 year but less than 2 years) prior

written notice (if Transporter and Shipper agree on a fixed term,

the evergreen and notice of termination language shall be deleted)

subject to the right of first refusal set forth in the tariff, if

applicable, provided however, this Agreement shall terminate

immediately and, subject to the receipt of necessary

authorizations if any, Transporter may discontinue service

hereunder if (a) Shipper, in Transporter's reasonable judgment

fails to demonstrate creditworthiness, and (b) Shipper fails to

provide adequate Security in accordance with Section 28 of the

General Terms and Conditions, or (c) Shipper fails to restore

imbalances from services rendered.

 

[For a Service Agreement entered into after June 1, 2005, with a

primary term of 23 years or longer, add the following language,

and for a Service Agreement in effect prior to May 2, 2005, with a

primary term of more than one year, add the following language if

Shipper notifies Transporter in writing of its desire to add such

language within six months of the Commission approving such

language without condition.] Notwithstanding any other provision

in this Agreement, after the effective date of this Agreement, if

as a result of an event of Force Majeure, Transporter is not able

to deliver Shipper's scheduled quantities for a period of one

hundred eighty-five (185) consecutive days during any three

hundred sixty-five (365) consecutive day period and at the minimum

delivery pressure specified on Exhibit B of this Agreement, then

Shipper shall have the one-time right to terminate this Agreement

or reduce the MDQ (with an associated reduction in the Primary

Delivery Point MDQs specified on Exhibit B of this Agreement) of

this Agreement upon sixty (60) days prior written notice. Such

right must be exercised, if ever, no later than sixty (60) days

following the end of the applicable Force Majeure event.

 

5. RATES:

 

Maximum rates, charges, and fees shall be applicable for the

entitlements and quantities delivered pursuant to this Agreement

unless Transporter has advised Shipper in writing that it has

agreed otherwise. Nothing herein shall obligate Transporter to

provide service at less than the Maximum Recourse Rates, but

Transporter may agree to provide service to Shipper at a

specified discount, in which case such discount shall not be

provided at a rate lower than the variable