PetroLogistics Natural Gas Storage LLC

Original Volume No. 1

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Effective Date: 06/03/2009, Docket: RP09-577-000, Status: Effective

Original Sheet No. 33 Original Sheet No. 33

 

RATE SCHEDULE IBS

INTERRUPTIBLE BALANCING SERVICE

1. AVAILABILITY

This Rate Schedule is available to any Shipper for the purchase of interruptible balancing ("IBS")

service from PetroLogistics, provided that:

(a) PetroLogistics has determined that it has sufficient operationally available gas or storage capacity,

injection or withdrawal capacity to perform service requested by Shipper;

(b) PetroLogistics has determined that service requested by Shipper will not interfere with efficient

operation of its system or with higher priority service;

(c) Shipper and PetroLogistics have executed a Hub Services Agreement under this Rate Schedule;

(d) Shipper accepts responsibility for arranging any transportation service required for utilization of

the balancing service provided under this Rate Schedule; and

(e) Service under this Rate Schedule may not be available to the extent that PetroLogistics would be

required to construct, modify, expand or acquire any facilities to enable PetroLogistics to perform the

requested services.

2. APPLICABILITY AND CHARACTER OF SERVICE

2.1 This Rate Schedule shall apply to all IBS service rendered by PetroLogistics to Shipper at

PetroLogistics' facilities located in Iberville Parish, Louisiana pursuant to an executed Hub Services

Agreement.

2.2 IBS service rendered by PetroLogistics to Shipper under this Rate Schedule shall consist of the

injection, storage, and withdrawal and delivery of quantities of gas in order to manage imbalances created

by Shipper under Rate Schedules set forth in this FERC Gas Tariff. Service under this Rate Schedule includes:

(a) The daily injection of Shipper's gas per Shipper's nomination which is in excess of the quantity of gas

delivered to any Point(s) of Delivery per Shipper's nomination under Rate Schedules set forth in this FERC Gas

Tariff, provided that all higher priority service nominations for injection have been satisfied, that Shipper

has Storage Capacity available and Shipper delivers the nominated quantity, plus fuel reimbursement, to the

Point(s) of Receipt located on PetroLogistics' system;

(b) The storage of gas in amounts up to Shipper's interruptible Maximum Balance Quantity, provided that all

higher priority service storage and system needs have been satisfied; or

(c) The daily withdrawal and delivery of PetroLogistics' or Shipper's gas per Shipper's nomination to the

Point(s) of Delivery located on PetroLogistics' system which is in excess of the quantity of gas received by

PetroLogistics at any Point(s) of Receipt per Shipper's nomination under Rate Schedules set forth in this FERC

Gas Tariff, provided that all higher priority service nominations for withdrawal and system needs have been

satisfied, and that Shipper or PetroLogistics has sufficient gas stored in Interruptible Storage Inventory.

2.3 To the extent interruptible storage capacity or gas which is being utilized by an interruptible

Shipper hereunder is needed by PetroLogistics in order to satisfy PetroLogistics' obligations to Firm

Shippers, PetroLogistics