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

Fourth Revised Sheet No. 126 Fourth Revised Sheet No. 126

Superseding: Third Revised Sheet No. 126

 

GENERAL TERMS AND CONDITIONS

 

8. DETERMINATION OF DAILY RECEIPTS

 

8.1 To the extent feasible, all volumes received by Stingray at

a Receipt Point shall be allocated in accordance with the

confirmed nominations for that point. In the event the

actual volumes received by Stingray do not equal the

confirmed nominations for that point, any underage or

overage will be allocated as follows:

 

(a) First, in accordance with the effective predetermined

allocations (PDAs) submitted by those entities

(Allocators) owning or controlling the Gas being

delivered to Stingray. An operational balancing

agreement (OBA) is one type of a PDA. Shipper agrees

that such an allocation is binding on Shipper.

 

(b) Then, if there is no effective PDA, pro rata to the

extent applicable based on confirmed nominations or

transfer nominations, as applicable. Shipper agrees

that such an allocation is binding on Shipper.

 

8.2 The upstream or downstream party providing the point

confirmation should submit the PDA to the allocating party

after or during confirmation and before the start of the Gas

Day, except no other PDAs need be submitted if an OBA is in

effect at a point. Unless otherwise agreed, all PDAs must

be submitted to Stingray through the Interactive Internet

Website or through EDI before the start of the Gas Day the

PDA is to be effective. Such PDA shall specify how any

underage or overage from the confirmed nominated volumes

should be allocated among the entities listed on the PDA.

Stingray shall acknowledge receipt and acceptance of the PDA

via the Interactive Internet Website if received via the

Interactive Internet Website or via EDI if received via EDI.

Such notification of acknowledgment and acceptance will be

within fifteen (15) minutes of receipt. Stingray's

acceptance is contingent on Stingray being able to

administer the allocation submitted by the Allocator.

Allocation methodology types upon which two parties may

agree are: ranked, pro rata, percentages, swing and

operator provided value. Other examples of allocation

methods which can be used are matching of supply sources

with specified customers and combinations of methodology

types. Different methods may be submitted for overages or

underages. If the parties cannot agree, Section 8.1(b)

shall apply.