Tres Palacios Gas Storage LLC

Original Volume No. 1

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Effective Date: 08/01/2008, Docket: RP08-424-000, Status: Effective

Original Sheet No. 56 Original Sheet No. 56

 

IL RATE SCHEDULE

INTERRUPTIBLE LOAN SERVICE

(Continued)

 

To the extent Gas which is advanced to an Interruptible

Customer hereunder is needed by TRES PALACIOS in order to satisfy

TRES PALACIOS' obligations to Firm Storage Services or to meet

system needs, TRES PALACIOS may at its reasonable judgment and

upon giving notice to Customer, interrupt the continuation of any

or all services hereunder and require Customer to replace or

replenish all, or any portion, of the IL Gas quantities borrowed

by Customer at a time to be agreed upon. Unless TRES PALACIOS

otherwise agrees, Customer shall be required to make ratable

injections.

 

If Customer fails to replace or replenish borrowed Gas to TRES

PALACIOS at the agreed upon time, TRES PALACIOS may purchase

replacement Gas and Customer shall pay TRES PALACIOS the cost of

the replacement Gas, which shall include the actual cost of

replacement supplies and any costs or penalties incurred by TRES

PALACIOS or its Customers as a result of Customer's failure to

deliver replacement Gas, plus all other costs incurred by TRES

PALACIOS to secure such replacement Gas, including, but not

limited to, third-party marketing fees, transportation by third-

party pipeline companies, and all other costs for securing

replacement Gas.

 

In the event TRES PALACIOS needs to require Customer to inject

Gas into storage pursuant to this Section, TRES PALACIOS shall

provide day-ahead notice to Customer that it must inject Gas at

its MDIQ during the next Gas Day. TRES PALACIOS shall repeat this

notice on a daily basis until all of Customer's borrowed Gas is

replaced or until the circumstances necessitating interruption of

Customer's loan are alleviated. In the event Customer makes a

timely nomination in response to a notification by TRES PALACIOS

pursuant to this paragraph, Customer's obligation to comply with

that notification shall be tolled until such time as TRES

PALACIOS' operational conditions allow TRES PALACIOS to schedule

the nomination.

 

3. RATES AND CHARGES

 

Customer shall pay the rates and charges for Interruptible

loan service under this Rate Schedule including the applicable

loan rate components set forth in the IL Rate Statement and as

described below:

 

(a) Interruptible Loan Charge. A charge for each Dth

of Gas in Customer's Loan Balance at the end of each Day, for each

Day during a given Month.

 

(b) Interruptible Loan Injection Charge. A charge for

each Dth of Gas injected into TRES PALACIOS' facilities pursuant

to Section 2 of this Rate Schedule.

 

(c) Interruptible Loan Withdrawal Charge. A charge for

each Dth of Gas withdrawn from TRES PALACIOS' facilities pursuant

to Section 2 of this Rate Schedule.