Stingray Pipeline Company, L. L. C.

Third Revised Volume No. 1

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Effective Date: 11/01/2008, Docket: RP08-436-000, Status: Effective

First Revised Sheet No. 74 First Revised Sheet No. 74

Superseding: Original Revised Sheet No. 74

 

RATE SCHEDULE FTS-2

FIRM TRANSPORTATION SERVICE

 

10. MONTHLY BILL

 

The monthly bill for Gas transported under this Rate Schedule FTS-

2 shall be equal to the sum of the applicable charges set forth in

Section 8 above and any other charges assessed pursuant to this

Tariff.

 

11. REDUCTIONS IN CAPACITY

 

11.1 (a) Shipper may request a reduction in its quarterly MDQs

for any or all future Contract Years by giving

Stingray written notice at least six (6) Months' prior

to the beginning of any Contract Year; provided that

(a) no reduction in MDQs shall become effective in the

same Contract Year as the Contract Year in which the

request is made; (b) the request is based on

production declines or delays due to field production

performance problems or changes in development plans

or drilling rig schedules; and (c) the requested

reduction shall be accompanied by a revised production

profile supported by bona fide field production data

or evidence of the operational change underlying the

request. The revised production profile shall reflect

the impact, if any, of the requested reduction on

future periods.

 

(b) Stingray shall grant the requested reduction if

Stingray agrees that it is adequately supported by

Shipper's data. However, if Shipper and Stingray fail

to agree on a new production profile within thirty

(30) Days following Shipper's requested reduction,

Shipper shall submit Shipper's proposed production

profile and supporting data to one of the engineering

firms listed on Appendix "A" to this Rate Schedule

FTS-2. The engineering firm shall prepare a report,

including a production profile based on its analysis

of the supporting data and reflecting the impact of

the requested reduction on future period MDQs, which

shall be binding on Shipper and Stingray for purposes

of establishing Shipper's requested MDQs under this

Rate Schedule FTS-2. All costs and fees due to the

engineering firm with respect to the development of

the production profile and MDQs shall be shared

equally between Shipper and Stingray.