ANR Pipeline Company

Second Revised Volume No. 1

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Effective Date: 05/01/2005, Docket: RP02-335-005, Status: Effective

Fifth Revised Sheet No. 139 Fifth Revised Sheet No. 139 : Effective

Superseding: Second Revised Sheet No. 139

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

(d) The Cashout Payment applicable to all Agreements of a Shipper during a

Service Month shall equal (1) the sum of the Excess Quantities (if

applicable) by Southeast, Southwest, Canadian and/or Mainline Receipts

multiplied by the applicable Cashout Price less the Cashout Price

Surcharge, if any, pursuant to Section 15.5(b), below, minus (2) the

sum of the Deficient Quantities (if applicable) by Southeast,

Southwest, Canadian and/or Mainline Receipts multiplied by the

applicable Cashout Price plus the Cashout Price Surcharge, if any,

pursuant to Section 15.5(b), below. If the difference is positive,

such amount will be paid by Transporter to Shipper. If the difference

is negative, such amount will be paid by Shipper to Transporter.

 

The Receipt Quantities under each Agreement will be determined as

follows:

 

(1) Southeast Receipts will equal the quantity of Monthly receipts

under such Agreement that entered Transporter's System through

Receipt Point(s) in the Southeast Area Facilities;

 

(2) Southwest Receipts will equal the quantity of Monthly receipts

under such Agreement that entered Transporter's System through

Receipt Point(s) in the Southwest Area Facilities;

 

(3) Canadian Receipts will equal the quantity of Monthly receipts

under such Agreement that entered Transporter's System through

the Marshfield, Wisconsin Receipt Point; and

 

(4) Mainline Receipts will equal the total quantity of Monthly

receipts that are not included in the calculation of the

Southeast Receipts, Southwest Receipts or Canadian Receipts.

 

(e) A Cashout of imbalances at prices above or below one hundred percent

(100%) of the Cashout Price shall not occur if it has been determined

that such imbalances are due to Transporter's negligence.

Additionally, a Cashout of imbalances due to Excess Quantities or

Deficient Quantities shall be limited to one hundred percent (100%) of

the Cashout Price if such imbalances occurred during circumstances of

force majeure that directly affect the Transporter's or upstream or

downstream facilities over which Gas is transported under the

applicable Agreement, or during circumstances of force majeure that

directly affect Shipper's facilities for the period until Shipper has

an opportunity to adjust its nominations, or were the direct result of

an OFO issued to the Shipper or its supplier. Transporter shall be

required to