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.