Sg Resources Mississippi, L.L.C
Original Volume No. 1
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Effective Date: 03/01/2008, Docket: RP08-184-000, Status: Effective
Original Sheet No. 245 Original Sheet No. 245 : Pending
FORM OF OPERATIONAL BALANCING AGREEMENT
6. In the event that a capacity constraint occurs on either
Party's system which results in curtailment or a scheduling
allocation of quantities through the Location, the Party on whose
system the constraint has occurred shall determine the
confirmation of quantities to the Service Requestor(s) under the
affected Service Requestor Agreements. Such change in Scheduled
Quantities shall be confirmed as required by Section 1 above. If
the constraint occurs at the Location, the operator of the
Location shall determine the confirmation of quantities to the
Service Requestor(s) under the affected Service Requestor
Agreements, unless otherwise mutually agreed.
7. This Agreement is entered into in order to facilitate
operations and accounting between the Parties, and shall have no
effect upon the Service Requester Agreements or upon the
effectiveness of either Party's FERC Gas Tariff.
8. Notwithstanding the termination of this Agreement, the
Parties agree to reconcile and eliminate any remaining Operational
Imbalance pursuant to the terms and conditions of this Agreement
within thirty (30) days of termination of this Agreement or such
other period of time, which is mutually agreed to by the Parties.
9. This Agreement and the terms and conditions herein are
subject to all present and future valid laws, orders, rules and
regulations of duly constituted authorities having jurisdiction.
10. In the event a conflict exists or arises between
this Agreement and a Party's FERC Gas Tariff, as amended from time
to time, it is agreed and understood that the latter shall
11. This Agreement is for accounting and system
management purposes only, and is entered into by the Parties with
the understanding that the balancing activities provided for
hereunder will not subject any non-jurisdictional entity to
regulation by the Federal Energy Regulatory Commission as a
"natural gas company" under the provisions of the Natural Gas Act.
If, at any time, it should be determined that such balancing
activities do result in such regulation, then this Agreement shall
immediately terminate, and any remaining Operational Imbalance
shall be resolved by the Parties within thirty (30) days after
termination of this Agreement.
12. Any entity which shall succeed by purchase, merger
or consolidation to the properties, substantially as an entity, of
either Party, shall be subject to the obligations of its
predecessor to this Agreement. No other assignment of this
Agreement or of any of the rights or obligations hereunder shall