Southern LNG Inc.
Original Volume No. 1
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Effective Date: 03/01/2010, Docket: RP10-271-000, Status: Effective
Original Sheet No. 60C Original Sheet No. 60C
GENERAL TERMS AND CONDITIONS
(Continued)
receipt by Southern LNG from or on behalf of Electing
Customer in immediately available U.S. dollars an amount in
settlement of Electing Customer's obligations ("Interim
Buyout Amount"), which Interim Buyout Amount shall not,
unless Southern LNG expressly agrees otherwise in writing,
equal less than the sum of (I) the NPV Prepayment plus (II)
Customer's pro rata share of the Available Funds Southern
LNG has expended or committed to expend during restoration
(less proceeds Southern LNG has received for such
restoration under property damage insurance). Customer's pro
rata share for the preceding sentence shall equal the total
amount multiplied by the ratio of Customer's total
reservation charge obligations per month divided by the
total reservation charges owed Southern LNG per month under
currently effective Service Agreements.
(C) If Electing Customer does not terminate its Service
Agreements and pay the Interim Buyout Amount, then Southern
LNG's obligation to continue with restoration shall be
subject to the following conditions precedent:
(I) Electing Customer and Southern LNG's amending the
Excess Negotiated Rate under Section 8.6(b)(1)(D)(I)
above to provide for Customer's paying increased
charges that recover the increased cost of service of
the capital cost (less proceeds paid to Southern LNG
from property damage insurance) and operating
expenses to restore the capacity under its Service
Agreements; and
(II) Electing Customer provides Excess Credit Support in
addition to the amount provided pursuant to Section
8.6(b)(1)(D)(II) above equal to the estimated
increase in cost to restore (from the later of the
Interim Restoration Report or the Interim Expert
Decision).