American Midstream (Midla), LLC

Sixth Revised Volume No. 1

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Effective Date: 05/01/2010, Docket: RP10-483-000, Status: Effective

Original Sheet No. 124 Original Sheet No. 124

 

unless all facilities necessary to provide the requested service exist and are in good

operating condition.

 

5.5 Pipeline shall be authorized to use all system resources, to maintain operational

control of its system in the event Pipeline in its reasonable discretion determines that

system integrity is imminently threatened, even if the utilization of such resources results

in the diversion of Gas. The Customer whose actions resulted in the need to divert Gas

shall indemnify and hold Pipeline harmless from and against any and all losses,

damages, or expenses of every kind and character which Pipeline or Customers may

suffer, sustain, or be liable for, and shall hold Pipeline harmless from and against any and

all damages, claims, suits, actions or proceedings whatsoever threatened or initiated as a

result of the Gas diversion. Pipeline shall have no responsibility to purchase Gas in

situations resulting in the diversion of Gas for operational needs; provided, however, a

Customer whose Gas was diverted pursuant to this Paragraph 5.5 shall be compensated

by Pipeline at the lesser of the index price as set forth in Paragraph 14.8(b) of the

General Terms and Conditions utilized for cash-out of imbalances during the Month

Pipeline diverted Gas or the market price for the week Pipeline diverted Gas as such

market price is published each week by the Oil Daily Company in the publication Natural

Gas Week. In the event a Gas diversion results from the actions of a Customer, such

Customer shall be responsible for compensating Pipeline to the extent Pipeline has

compensated the Customer whose Gas was diverted. Such Customer whose actions

resulted in the need to divert Gas shall also be subject to a penalty as set forth in

Paragraph 17.6 of Pipeline's General Terms and Conditions.

 

5.6 Responsibilities of Customer

 

(a) Except as otherwise provided herein, Customer shall be responsible for ensuring that

Customer's deliveries to Point(s) of Receipt on Pipeline's system match Customer's

receipts from Point(s) of Delivery on Pipeline's system throughout each Day. In the

event,