Pine Prairie Energy Center, LLC
Original Volume No. 1
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Effective Date: 09/01/2007, Docket: RP07-563-000, Status: Effective
Original Sheet No. 127 Original Sheet No. 127 : Effective
GENERAL TERMS AND CONDITIONS
(Continued)
the release and assignment subject to compliance with the
provisions of Section 20 of these General Terms and Conditions.
The Replacement Customer must withdraw the portion of its Maximum
Storage Quantity by the end of the term of the release. In lieu
of withdrawing the portion of its Storage Inventory, the
Replacement Customer can also attempt to effect a transfer of the
portion of its Storage Inventory to another storage service
Customer as provided in Section 20 of these General Terms and
Conditions. If the Replacement Customer fails to withdraw or
transfer the portion of its Storage Inventory by the end of the
term of its release, title to the portion of Customer's remaining
Storage Inventory will be vested, at no cost, in the Releasing
Customer which released its capacity to the Replacement Customer
on a temporary basis.
4.14 PPEC's Rights to Terminate Temporary Capacity
Releases.
(a) In the event of a temporary release for which (1)
PPEC has given notice of termination of the Releasing Customer's
Storage Service Agreement pursuant to Section 28 of these General
Terms and Conditions and (2) the reservation charge specified in
the effective Addendum to the Replacement or Prearranged
Replacement Customer's Capacity Release Umbrella Agreement is less
than the level of the reservation charge which the Releasing
Customer was obligated to pay PPEC, then PPEC shall be entitled to
terminate the Addendum, upon 30 days' written notice to the
Replacement or Prearranged Replacement Customer, unless the
Replacement or Prearranged Replacement Customer agrees prior to
the end of said 30-day notice period to pay for the remainder of
the term of the Addendum either (i) the reservation and commodity
charges at levels which the Releasing Customer was obligated to
pay PPEC, or (ii) such rate as mutually agreed by PPEC and
Replacement or Prearranged Replacement Customer. Customer may
elect to pay the lesser of the two foregoing options. PPEC's
right to terminate the Addendum is subject to PPEC providing
written notice of termination to the Replacement or Prearranged
Replacement Customer within 30 days of the determination by PPEC
that the Releasing Customer no longer satisfies PPEC's credit
requirements. Termination of the Addendum shall not occur prior
to termination of the Releasing Customer's contract.
(b) In the event that a Customer has received 30 days'
notice of termination of the Addendum to Customer's Capacity
Release Umbrella Agreement pursuant to Section 4.14(a) above for
storage service and there is Gas in storage for Customer's account
at the end of such 30-day period, the Addendum shall continue in
force and effect for the sole purpose of withdrawal of said Gas by
Customer until Customer's Storage Inventory is zero. PPEC shall
require Customer to withdraw each Day a quantity equal to the
MDWQ, or such other lesser quantity acceptable to PPEC. The
requirement to withdraw storage quantities shall be suspended on
any Day to the extent that PPEC cannot accommodate a nomination or
withdraw such storage quantities on such Day. Customer may also
transfer title of Gas remaining in Customer's Storage Inventory to
another Customer pursuant to Section 20 of PPEC's General Terms
and Conditions. In the event Customer fails to withdraw its
entire Storage Inventory within the time