Caledonia Gas And Storage

First Revised Volume No. 1

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Effective Date: 09/30/2010, Docket: RP10-1032-000, Status: Effective

Original Sheet No. 41 Original Sheet No. 41

 

Gas is otherwise necessary to meet System needs, Caledonia may with

reasonable and nondiscriminatory discretion and upon giving notice to

Customer, interrupt the continuation of any or all services hereunder

and require Customer to replace or replenish all, or any portion, of

the Loan Balance borrowed by Customer. Caledonia will notify the

Customer of the need to replace or replenish Gas and the quantity to be

replaced or replenished and shall specify the time period in which the

Customer must comply with the notice. Caledonia’s notice to Customer

may be given orally, but shall be confirmed in writing via U.S. mail,

electronic-mail, facsimile, instant messaging or other method to

Customer. Unless Caledonia otherwise agrees, Customer shall be required

to make injections ratably over the specified time period. If Customer

fails to replace or replenish borrowed Gas to Caledonia as directed

within the period specified by Caledonia, Caledonia will have the right

to treat the loaned quantities that have not been returned as a sale of

such loaned quantities to Customer, at a price per Dth equal to the

Current Market Price (as defined in Section 8.3 below), plus

Caledonia’s costs related to Customer’s failure to timely return the

loaned Gas. Caledonia will invoice Customer for such amount, and

Customer’s loaned quantities with respect to the relevant Service

Agreement will be decreased accordingly upon Customer’s payment of that

amount . The sale of Gas to Customer under this section will not

relieve Customer of its obligation to pay Caledonia all applicable

charges that accrued before such sale. Notwithstanding anything else

herein to the contrary, to the extent Customer is unable to return all

or any portion of loaned quantities because of an interruption of

Customer’s injection service, Customer shall be allowed to return such

loaned quantities within a reasonable time period following the expiry

of such interruption.

2.3 No Capacity Release. Service rights under an ILS Service Agreement

may not be released.

3. OVERRUN SERVICE

3.1 Injection. Provided it can be accomplished by Caledonia without

detriment to Caledonia’s Storage Facility and Caledonia has injection

capacity available, Caledonia may, upon request of Customer and after

confirmation by Customer’s Transporter, schedule and inject on an

Interruptible basis quantities of Gas in excess of Customer’s MDIQ.

Such Overrun Quantities shall be subject to the charge set forth in

Section 4.1(d) of this Rate Schedule.

3.2 Withdrawal. Provided it can be accomplished by Caledonia without

detriment to Caledonia’s Storage Facility and Caledonia has withdrawal

capacity available, Caledonia may, upon request of Customer and after

confirmation by Customer’s Transporter, schedule and withdraw on an

Interruptible basis quantities of Gas in excess of Customer’s MDWQ,

provided that the quantities Customer shall have nominated for

withdrawal on such Gas Day