Northern Natural Gas Company
Fifth Revised Volume No. 1
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Effective Date: 08/01/2007, Docket: CP06- 89-002, Status: Effective
Original Sheet No. 166 Original Sheet No. 166 : Effective
Rate Schedule CS-1
Sublette, KS Firm Compression Service
3. APPLICABILITY AND CHARACTER OF SERVICE
Subject to the provisions of this Rate Schedule CS-1, service rendered under the CS-1
Agreement shall consist of the following:
a) This Rate Schedule shall apply to the firm compression of natural gas. The receipt
point shall be the inlet side of Northern's Sublette, KS Compressor Station. The
delivery point shall be the discharge side of the Sublette Compressor Station that is
delivered into the Liberal Lateral.
b) The service provided hereunder involves compression only. No transportation service
is provided under this Rate Schedule.
c) Compression of Exhibit A Volumes shall be considered firm. Compression of volumes in
excess of Exhibit A volumes shall be considered interruptible.
4. COMPRESSION SERVICES
a) Capacity Reservation. Northern will reserve for the use of Shipper that portion of the
compression capacity of the Northern Sublette Compressors required for the compression of the
Exhibit A Volumes.
b) Compression Service. Northern will accept gas (1) up to the Exhibit A Volumes plus fuel and
unaccounted for volumes attributable to that gas and (2) subject to the availability of
capacity, any Additional Gas Volumes, plus fuel and unaccounted for volumes attributable to
that gas, at the inlet of the Northern Sublette Compressor Station. Northern will compress the
GLV and redeliver the NLV to Shipper at the Delivery Point.
c) Notice of Volumes. Shipper must notify Northern's Gas Control Department in writing by
11:30 a.m. on a daily basis of the expected NLV to be delivered at the Delivery Point for the
next day. In addition, Shipper must confirm to Northern the OSV to be delivered at
the Receipt Point.
d) Imbalances. Shipper shall be responsible for the "Imbalance Gas" as defined below. The
Imbalance Gas shall be determined as the difference between (1) the Total Station Volume less
the Other Shipper Volume not scheduled to the Liberal Lateral less the Actual Fuel and (2) the
actual measured volume at the Liberal Lateral (NLV). The formula for the calculation is
[(TSV-OSV)-Actual Fuel]-NLV. Northern shall notify Shipper by the 9th business day of the
following month of the Imbalance Gas owed to Northern for compression service during the
previous month by tendering an Imbalance Statement to Shipper. Shipper shall notify Northern
by the 12th business day of the month to elect its method of resolving the imbalance as
provided below. Shipper may (1) resolve the Imbalance Gas in kind by delivering additional gas
at the Receipt Point during the month or (2) cashing out the Imbalance Gas by paying to
Northern the Imbalance Gas times the Imbalance Index Price, as defined below. The "Imbalance
Index Price" shall be computed in the same manner as Northern's Average Field Area Monthly
Index Price as that term is set forth from time to time in Northern's FERC Gas Tariff except
the "Imbalance Index Price" computation shall only include Panhandle Eastern TX-OKLA index