Canyon Creek Compression Company

Third Revised Volume No. 1

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Effective Date: 11/01/2001, Docket: RP00-347-002, Status: Effective

Substitute Third Revised Sheet No. 33 Substitute Third Revised Sheet No. 33 : Effective

Superseding: Second Revised Sheet No. 33

RATE SCHEDULE ICS

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7. RECEIPT AND DELIVERY POINTS AND UPSTREAM AND DOWNSTREAM ARRANGEMENTS

 

(a) An ICS Agreement shall include all available Receipt and

Delivery Points on Canyon's System, as more fully set out in the

General Terms and Conditions of this Tariff. Canyon's aggregate

maximum obligation to accept and deliver gas on an interruptible

basis shall be specified in Dth in the ICS Agreement. The volumes

available at each Receipt and Delivery Point, and the related

priorities, shall be governed by the General Terms and Conditions of

this Tariff.

 

(b) Conditions of delivery at Receipt and Delivery Points

are set out in the General Terms and Conditions of this Tariff.

 

(c) Shipper shall make all necessary arrangements with

other parties: (1) at or upstream of the Receipt Point(s) where

gas is tendered to Canyon hereunder; and (2) at or downstream of

the Delivery Point(s) where Canyon delivers gas hereunder to or

for the account of Shipper. Such arrangements must be consistent

with this Rate Schedule ICS and must be coordinated with Canyon.

 

8. OVERRUN SERVICE

 

Upon request of Shipper, Canyon may (but is not obligated to)

receive, compress, and deliver on any day quantities of natural gas

in excess of Shipper's MDQ under the ICS Agreement when, in Canyon's

reasonable judgment, the capacity and operating capability of its

System will permit such receipt, compression and delivery without

impairing the ability of Canyon to meet its other obligations. In

granting requests for Authorized Overrun Service, Canyon shall act in

a manner consistent with the overrun service priorities set out in

the General Terms and Conditions of this Tariff. Shipper shall pay

Canyon the applicable rate for Authorized Overrun Service set forth

in this Tariff. For Authorized Overrun Service hereunder, Shipper

shall pay the Authorized Overrun Charge. Shipper shall pay Canyon an

Unauthorized Overrun Charge (in addition to the Authorized Overrun

Charge) if gas tendered to Canyon or deliveries to Shipper under an

ICS Agreement exceed the MDQ under such ICS Agreement without

authorization from Canyon. The Unauthorized Overrun Charge shall be

equal to the spot price of gas as measured by the relevant spot price

index for gas deliveries out of the Rocky Mountains published by Gas

Daily (or if an appropriate Gas Daily index is not available, other

publication which is of general use in the industry) for the day on

which the unauthorized overrun occurred. Notwithstanding the

foregoing, Canyon shall waive the Unauthorized Overrun Charge (but

not the Authorized Overrun Charge) by the time billing is made if no

operational problems were created by the unauthorized overrun.