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. 132 Original Sheet No. 132

 

9. QUALITY

9.1 Specifications. The gas delivered by either party to the other hereunder shall meet the

quality specifications of the Transporter having the then-current most stringent quality specifications

which receives or delivers such gas at the Point(s) of Receipt or Point(s) of Delivery located on

PetroLogistics' system, as applicable, and, unless such Transporter's quality specifications are more

stringent, shall be of such quality that it shall meet at least the following specifications:

(a) Be commercially free from objectionable odors, dirt, dust, iron particles, gums, gum-forming

constituents, gasoline, PCBs, and other solid and/or liquid matter, including but not limited to water,

gas treating chemicals and well completion fluids and debris, which may become separated from the gas

during the transportation thereof.

(b) Contain not more than one fourth (1/4) of one grain of hydrogen sulphide per one hundred (100)

cubic feet, as determined by the cadmium sulfate quantitative test, nor more than twenty (20) grains

of total sulphur per one hundred (100) cubic feet.

(c) The gas delivered hereunder shall not contain more than two-tenths of one percent (0.2%) by

volume of oxygen, shall not contain more than three percent (3%) by volume of carbon dioxide, shall

not contain more than three (3%) by volume of nitrogen, and shall not contain a combined total of

carbon dioxide and nitrogen components of more than four percent (4%) by volume.

(d) Have a heating value of not less than nine hundred and sixty-seven (967) Btus per cubic feet

and not more than eleven hundred (1100) Btus per cubic feet.

(e) Have a temperature of not more than one hundred twenty degrees Fahrenheit (120 degrees F), nor

less than forty degrees Fahrenheit (40 degrees F).

(f) Have been dehydrated by the tendering party, by any method other than the use of a calcium

chloride as desiccant, for removal of entrained water in excess of seven (7) pounds of water per

million (1,000,000) cubic feet of gas as determined by dew-point apparatus approved by the Bureau of

Mines, or such other apparatus as may be mutually agreed upon.

9.2 Rejection of Gas. Either party shall be entitled to reject any gas tendered to it by the

other party which does not meet the minimum specifications of Section 9.1 hereunder. Acceptance of

such gas does not constitute any waiver of PetroLogistics' right to refuse to accept similarly

nonconforming gas. Shipper shall be liable for and indemnify PetroLogistics against and reimburse

PetroLogistics for all losses, damages and liabilities of any nature incurred by PetroLogistics and

rising from Shipper's tender of natural gas at the Point(s) of Receipt not in conformance with the

above specifications. PetroLogistics shall be liable for and indemnify Shipper against and reimburse

Shipper for all losses, damages and liabilities of any nature incurred by Shipper and rising from

PetroLogistics' tender of natural gas at the Point(s) of Deliver located on PetroLogisitcs' system not

in conformance with the above specifications.

10. GAS PRESSURE AND INJECTION/WITHDRAWAL RATES

10.1 Delivery Pressure. PetroLogistics shall deliver gas to Shipper at pressures sufficient

to enter the Transporter's facilities at the Point(s) of Delivery located on PetroLogistics' system

against the operating pressures maintained by Transporter(s). PetroLogistics shall not be required

to deliver gas at pressures in excess of or below those required by Transporter(s) or in excess of

Transporter(s) maximum allowable operating pressure (MAOP), not to exceed 1,000 psig. Shipper shall

deliver or cause to be delivered to PetroLogistics all gas for wheeling, parking or injection at the

Point(s) of Receipt located on PetroLogistics' system at pressures not less than 800 psig and not in