Tres Palacios Gas Storage LLC

Original Volume No. 1

 Contents / Previous / Next / Main Tariff Index

Effective Date: 07/25/2009, Docket: RP09-260-000, Status: Effective

First Revised Sheet No. 220 First Revised Sheet No. 220

Superseding: Original Sheet No. 220

FIRM LOAN SERVICE AGREEMENT

(For Use Under Rate Schedule FL)

This Agreement is made as of the ______day of_____________, ____,

by and between TRES PALACIOS GAS STORAGE LLC, a Delaware limited

liability company herein called "TRES PALACIOS," and

________________, an __________, herein called "Customer," (each

of TRES PALACIOS and Customer, a "Party," and collectively, the

"Parties"), pursuant to the following recitals and

representations:

WHEREAS, TRES PALACIOS owns and operates an underground natural

gas storage facility known as the Tres Palacios Gas Storage

facility, located in Texas, and is authorized to provide natural

gas storage and related services in interstate commerce by way of

the Tres Palacios Gas Storage facility; and

WHEREAS, Customer has requested that TRES PALACIOS provide certain

firm loan natural gas storage services for Customer; and

WHEREAS, TRES PALACIOS has agreed to provide such firm loan

storage services for Customer subject to the terms and conditions

set forth in this Agreement.

NOW, THEREFORE, TRES PALACIOS and Customer agree as follows:

ARTICLE I - SCOPE OF AGREEMENT

Following the commencement of service hereunder, in accordance

with the terms of TRES PALACIOS' Rate Schedule FL, and of this

Agreement, TRES PALACIOS shall on demand on any Day of the

Withdrawal Period allow Customer to nominate for withdrawal and

delivery a quantity of Gas up to Customer's Maximum Daily

Withdrawal Quantity as set forth on Exhibit "A" hereto, and shall

on any Day of the Injection Period receive for injection into

storage for repayment of Customer's Loan Balance a quantity of Gas

up to Customer's Maximum Daily Injection Quantity set forth on

Exhibit "A." Withdrawals shall occur pursuant to any transaction

under this Agreement during Withdrawal Period as set forth on

Exhibit "A," such that Customer's Loan Balance at the end of the

Withdrawal Period is equal to Customer's Maximum Loan Quantity as

set forth on Exhibit "A." Injections shall occur pursuant to any

transaction under this Agreement during the Injection Period as

set forth on Exhibit "A," such that Customer's Loan Balance shall

equal zero (0) at the end of the Injection Period. There shall be

no injections or withdrawals under this Agreement from the end of

the Withdrawal Period until the beginning of the Injection Period.

ARTICLE II - POINTS OF RECEIPT AND DELIVERY

The point(s) at which the Gas is to be tendered by Customer to

TRES PALACIOS under this Agreement shall be the point(s)

designated on Exhibit "A" hereto (Customer's Point(s) of Receipt).

The point(s) at which the Gas is to be tendered by TRES PALACIOS

to Customer under this Agreement shall be the point(s) designated

on Exhibit "A" hereto (Customer's Point(s) of Delivery).