Midwest Gas Storage, Inc.

First Revised Volume No. 1

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Effective Date: 05/15/1994, Docket: CP90-454-004, Status: Effective

Original Sheet No. 526 Original Sheet No. 526 : Effective

 

 

negligence or in the event of failure to use due diligence

to remedy the situation and to remove the cause in an

adequate manner and with all reasonable dispatch, nor shall

such causes or contingencies affecting such performance

relieve Shipper from its obligations to make payments as

then due or becoming due determined hereunder.

 

11. RIGHT-OF-FIRST-REFUSAL

 

11.1 General. Upon the expiration or termination of an FSS

agreement having a term of less than one year, Midwest's

underlying transportation obligation shall automatically be

terminated, and the transportation service abandoned under

Section 7(b) of the NGA. Any Shipper or Replacement

Shipper with an FSS agreement having a term of one (1) year

or more may exercise a right to continue to receive service

under that Agreement for all or a portion of the firm

capacity under the Agreement at the expiration of the

Agreement's term, provided that Shipper complies with the

procedures set forth in this section.

 

11.2 Procedures.

 

(a) Notifications As set forth in the schedule below,

Midwest will notify in writing FSS Shippers who are

eligible to participate in the right-of-first-refusal

process set for in this section of the upcoming

expiration of their contract. Similarly, these

Shippers must then notify Midwest of their election to

participate in the right-of-first-refusal process:

 

Contract Midwest's Notice of Shipper's

Term Contract Expiration Election

-------- ------------------- ---------------

1 - 5 7 months before 6 months before

years contract expires contract expires

 

> 5 13 months before 12 months before

years contract expires contract expires

 

(b) Bid Evaluation After Shipper has notified Midwest of

its intent to continue service, the capacity available

under Shipper's Agreement will be posted on Midwest's