Second Revised Volume No. 1
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Effective Date: 06/13/2008, Docket: RP08-376-000, Status: Effective
Original Sheet No. 66A Original Sheet No. 66A TRANSPORTATION GENERAL TERMS AND CONDITIONS (Continued)Shippers involved within the thirty (30) day period provided for curingcumulative imbalances, in order for such transactions to be considered byMIGC in its determination of Cash Out calculation, as set forth below. Afterreceipt of an Imbalance Trade Confirmation, MIGC shall send an ImbalanceTrade Notification to the initiating trader and the confirming trader no laterthan noon (central clock time) the next business day. (c) The term "Cash Out" shall refer to the resolution of the cumulativeimbalance quantity by the procedures set forth in this Section 5.6(c)pursuant to which a market index rate is multiplied by the cumulative imbalancequantity to determine an amount payable either to MIGC or shipper to eliminatethe cumulative imbalance. If a Shipper's cumulative imbalance quantity remainsat or above five (5) percent by the end of the thirty (30) day period forcuring imbalances, Shipper shall be subject to the following Cash Outprovisions as to the entire remaining cumulative imbalance quantity, provided,however, that cumulative imbalance volumes which have occurred at aninterconnection between MIGC's system and another interstate pipeline will notbe subject to these Cash Out provisions when it is determined by MIGC thatShipper is not at fault for the imbalance. (i) The cash out Index Price shall be the average of each DailyMid Point Price for Colorado Interstate Gas Company (North System) aspublished by Gas Daily (Pasha Publications) for the month in which theimbalance occurred. (ii) Where the cumulative imbalance represents volumes owed toMIGC, Shipper shall pay MIGC an amount equal to 110% of the Cash Out IndexPrice times the cumulative imbalance quantity. (iii) Where the cumulative imbalance represents volumes owedShipper by MIGC, MIGC shall pay Shipper any amount equal to 90% of the CashOut Index Price times the cumulative imbalance quantity. (iv) Notwithstanding the above, should MIGC, at its discretion,deliver or cause to be delivered volumes which would otherwise cause Shipperto incur a Cash Out fee for non-conforming redeliveries, MIGC shall notifyShipper, and such Cash Out fees will be reduced to the extent applicable.Any resulting imbalances shall be made up on a mutually agreeable basis assoon as possible. (v) Payment of Cash Out amounts as determined above shallresolve all cumulative imbalance quantities considered in such Cash Outcalculations.