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. 101 Original Sheet No. 101

 

GENERAL TERMS AND CONDITIONS OF SERVICE

Except where stated otherwise, the General Terms and Conditions of PetroLogistics'

currently effective FERC Gas Tariff shall apply to all natural gas services rendered by

PetroLogistics under any Service Agreement, including, but not limited to, service under

Rate Schedules FSS, ISS, IPS, ILS, IWS, IBTS, and IBS.

1. DEFINITIONS

1.1 "Authorized Overrun Quantities" shall mean quantities of gas which PetroLogistics

agrees, in its reasonable judgment, to inject or withdraw for Shipper, in excess of Shipper's

Maximum Daily Injection Quantity/Maximum Daily Withdrawal Quantity or Maximum Hourly Injection

Quantity/Maximum Hourly Withdrawal Quantity, as established in Exhibit A of Shipper's Service

Agreement.

1.2 "Base Gas" shall mean the gas required in the storage reservoir necessary to provide the

pressure to cycle the working storage volumes, as set forth in the Service Agreement.

1.3 "Bcf" means one billion (1,000,000,000) cubic feet.

1.4 "Btu" means one British Thermal Unit, and shall be the quantity of heat required to

raise the temperature of one (1) pound of water from fifty-eight and five-tenths degrees (58.5

degrees) to fifty-nine and five-tenths degrees (59.5 degrees) Fahrenheit. The reporting basis

for Btu is 14.73 dry psig and 60 degrees F (101.325 kPa and 15 degrees C, and dry).

1.5 "Business Day" shall mean Monday through Friday, excluding Federal Banking Holidays for

transactions in the United States, and similar holidays for transactions occurring in Canada and Mexico.

1.6 "Contract Year" shall mean the twelve (12) month period beginning on the date service under a

Service Agreement commences and each subsequent twelve month period thereafter during the term of the

Service Agreement.

1.7 "Critical Notices" shall mean information pertaining to PetroLogistics conditions that affect

scheduling or adversely affect scheduled storage services.

1.8 "Cubic Foot" shall mean the volume of gas that occupies one cubic foot at a temperature of 60

degrees Fahrenheit, a pressure of 14.73 psig, and dry. Mcf means one thousand (1,000) cubic feet and

MMcf means one million (1,000,000) cubic feet.

1.9 "Day," or "Gas Day" shall mean a period of twenty-four (24) consecutive hours beginning and

ending at 9:00 AM central clock time (C.T.) including Saturdays, Sundays and Federal Banking Holidays,

except that in the event that an obligation falls due on a Saturday, Sunday or Federal Banking Holiday

the obligation shall be due on the next Business Day.

1.10 "Dekatherm" or "Dth" shall mean the quantity of heat energy which is equivalent to 1,000,000

Btu. One Dekatherm of gas means the quantity of gas which contains one Dekatherm of heat energy.

1.11 "Facility" shall mean the structure and facilities to be designed and constructed by PetroLogistics

for purposes of providing the Service(s) contemplated by the Service Agreement.

1.12 "FERC" or "Commission" shall mean the Federal Energy Regulatory Commission or any successor agency.

1.13 "Firm" shall mean Service provided under Rate Schedule FSS.