Southern Natural Gas Company
Seventh Revised Volume No. 1
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Effective Date: 09/22/2004, Docket: RP04-494-000, Status: Effective
Third Revised Sheet No. 357 Third Revised Sheet No. 357 : Effective
Superseding: Second Revised Sheet No. 357
FORM OF SERVICE AGREEMENT
UNDER RATE SCHEDULE CSS
to the available Maximum Daily Injection Quantity (MDIQ) specified on Exhibit
A or any effective Capacity Release Transaction.
1.2 Company shall redeliver a thermally equivalent quantity of gas, less the applicable
fuel charge as set forth in Rate Schedule CSS, to Shipper or a third party designated by Shipper
at the Storage Point described on Exhibit A hereto. Company's obligation to withdraw gas from
Storage for delivery at the Storage Point on any day is limited to the available
Maximum Daily Withdrawal Quantity (MDWQ) specified on Exhibit A or any
effective Capacity Release Transaction and Shipper's Storage Inventory.
1.3 In the event Shipper is the successful bidder on released firm storage capacity under
Section 22 of Company's General Terms and Conditions, Company will promptly finalize by
means of SoNet Premier the Capacity Release Transaction. Upon the finalization of a Capacity Release
Transaction, subject to the terms, conditions and
limitations hereof and Company's Rate Schedule CSS, Company agrees to provide the
released firm storage service to Shipper under Rate Schedule CSS, the General Terms and
Conditions thereto, and this Agreement.
CONDITIONS OF SERVICE
2.1 It is recognized that the storage service hereunder is provided on a firm basis
pursuant to, in accordance with and subject to the provisions of Company's Rate
Schedule CSS, and the General Terms and Conditions thereto, which are
contained in Company's FERC Gas Tariff, as in effect from time to time, and
which are hereby incorporated by reference. In the event of any conflict between
this Agreement and Rate Schedule CSS, the terms of Rate Schedule CSS shall
govern as to the point of conflict. Any limitation of storage service hereunder
shall be in accordance with the priorities set out in Rate Schedule CSS.
2.2 This Agreement shall be subject to all provisions of the General Terms and
Conditions specifically made applicable to Company's Rate Schedule CSS, as such
conditions may be revised from time to time. Unless Shipper requests otherwise,
Company shall provide to Shipper the filings Company makes at the Commission
of such provisions of the General Terms and Conditions or other matters relating
to Rate Schedule CSS.
2.3 Company shall have the right to discontinue service under this Agreement in
accordance with Section 15.3 of the General Terms and Conditions contained in
Company's FERC Gas Tariff.
2.4 The parties hereto agree that neither party shall be liable to the other party for
any special, indirect, or consequential damages (including, without