Rendezvous Pipeline Company, L.L.C.

Original Volume No. 1

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Effective Date: 02/08/2007, Docket: RP07- 6-000, Status: Effective

Original Sheet No. 53 Original Sheet No. 53 : Pending

 

 

(e) If the capacity to be awarded to the highest

Bidder would not result in awarding all of the

capacity to be released, then Transporter shall

award the remaining capacity based on the Economic

Value of each bid for each receipt and delivery

point combination, from highest Economic Value to

lowest Economic Value, with the process of

awarding capacity to Bidders continuing until all

of the capacity has been awarded or until all

valid bids have been accepted. Transporter shall

break ties and determine the winning bid(s) in

those situations by holding a lottery using a

computerized random number generator unless the

releasing Shipper specifies another non-

discriminatory method for determining the winning

bid.

 

(f) A Replacement Shipper must comply with Section 11

of the General Terms and Conditions of this

Tariff. A Bidder must submit a request for pre-

qualification for credit as a Shipper to

Transporter in order to expedite implementation of

capacity release service. For releases of less

than one (1) year, a Replacement Shipper may not

submit a bid where the Economic Value exceeds that

Shipper's established credit limit. For releases

of one (1) year or more, if a Replacement Shipper

submits a bid where the Economic Value exceeds

that Shipper's established credit limit, that

Shipper must provide sufficient documentation to

assure Transporter of that Shipper's ability to

pay for the service in excess of the established

credit limit within one (1) Day after notification

that Shipper's bid will be acceptable contingent

upon Shipper's demonstration of its ability to pay

to Transporter's satisfaction.

 

For releases of one (1) year or more, if

Replacement Shipper fails to so demonstrate, such

released service shall be awarded to the bidder

who is creditworthy and who submitted the bid with

the next highest Economic Value. If no additional

bids were submitted by creditworthy bidders, then

all bidders shall have one (1) week to demonstrate

creditworthiness to Transporter's satisfaction.

The service offered for release shall then be

awarded to the bidder who is creditworthy and who

submitted the bid with the highest Economic Value.

If no creditworthy bids are submitted, the

capacity release process shall terminate, but the

Releasing Shipper may elect to request a release

of the subject capacity at a later time.