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. 60 Original Sheet No. 60 : Pending

 

20.4 Right of First Refusal. Transporter shall make

available on a nondiscriminatory basis firm capacity

that will become available upon the expiration or

termination of a Service Agreement that is subject to a

right of first refusal in accordance with the

procedures set forth in this section 20.4, unless

otherwise mutually agreed upon between Transporter and

the applicable existing Shipper.

 

(a) Offer Procedures. Transporter shall post the

availability of firm capacity subject to this

Section 20.4. on its Designated Site at least

three (3) months prior to the expiration or

termination of the applicable Service Agreement.

Transporter's posting will identify the

availability date for the capacity, the existence

of the right of first refusal, and the date by

which any final offer of a potential Shipper must

be submitted to Transporter in order to afford the

existing Shipper the opportunity to exercise its

right of first refusal. Transporter will accept

offers and negotiate with potential Shippers in

accordance with Sections 20.2 and 20.3 above,

subject to the existing Shipper's exercise of its

right of first refusal.

 

(b) Matching. If by the close of the negotiation

period, Transporter determines that one or more

offers are acceptable based on rates, contract

duration, need for new facilities, any requested

right of first refusal, and other relevant

factors, Transporter shall choose the best offer

and communicate the rates and terms of such best

offer to the existing Shipper. The existing

Shipper shall have five (5) Business Days to

notify Transporter that it will match the rates

and terms of such best offer.

 

(c) Awarding of Capacity. An existing Shipper that

exercises its right of first refusal to match the

best offer shall execute a new Service Agreement

prior to the commencement of service that reflects

the rates and terms agreed upon in accordance with

this Section 20.4. If the existing Shipper does

not exercise its right of first refusal, the

applicable Service Agreement will expire or

terminate in accordance with its terms, and

Transporter will be deemed to have all necessary

abandonment authority under the Natural Gas Act

with respect to such service. In that event,

Transporter may award the capacity to the

potential Shipper offering the best offer in

accordance with the procedures set forth in

Section 20.3 above.