T.W. Phillips Pipeline Corp.
Original Volume No. 1
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Effective Date: 01/01/2010, Docket: RP10-141-000, Status: Effective
Original Sheet No. 72 Original Sheet No. 72
GENERAL TERMS AND CONDITIONS
23. RIGHT OF FIRST REFUSAL
23.1. Except for negotiated rate contracts, if an FT Agreement at the maximum Recourse
Rate for a term of twelve (12) or more consecutive months of service contains no
automatic extension provision, Shipper shall be entitled to a ROFR to the renewal
of its Transportation Quantity in accordance with the procedures set forth in
this section. Prior to the termination of any FT Agreement and prior to Trans-
porter posting the availability of capacity under this section, if applicable,
Transporter and Shipper may mutually agree to modify or extend such agreement,
with respect to all or a portion of the underlying MDQ, on a case-by-case basis
and in a not unduly discriminatory manner.
23.2. Unless otherwise agreed to in Shipper’s FT Agreement, Shipper must provide
written notice to Transporter at least 180 days prior to the termination date if
the Shipper wants to exercise its ROFR.
23.3. Transporter shall post the capacity for bidding on its Website no later than 180
days prior to the expiration of Shipper’s FT Agreement. The capacity will remain
posted on the Website for a minimum of twenty (20) days (“ROFR Bidding Period”),
with such posting containing the following information with respect to the capa-
a) Daily Transportation Quantity;
b) Receipt and Delivery Points;
c) Maximum reservation charge;
d) Any applicable restrictions; and
e) The last day of the ROFR Bidding Period.
Transporter may require bidders to insure that offers are bona fide by providing
financial assurances satisfactory to Transporter.
23.4. A Shipper may elect to retain a portion of its Contracted Capacity subject to ROFR
rights, in which case Transporter’s pre-granted abandonment authority shall apply
to the remainder of the service.