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. 94 Original Sheet No. 94

 

(e) For ILS transactions, Customer shall nominate its withdrawals so

that all loaned Gas quantities are ratably withdrawn from the Caledonia

System during the Gas Days available during the first calendar Month of

the Service Agreement period, and shall nominate such that the returned

loaned quantities are ratably injected into the Caledonia System during

the Gas Days available during the last calendar Month of the Service

Agreement period. For IPS transactions, Customer shall nominate its

injections so that all parked volumes are ratably injected into the

Caledonia System during the Gas Days available during the first

calendar Month of the Service Agreement period, and shall nominate such

that such parked volumes are ratably withdrawn from the Caledonia

System during the Gas Days available during the last calendar Month of

the Service Agreement period.

(f) In the event of imbalances created under the Rate Schedules set

forth in this FERC Gas Tariff, Caledonia shall permit Customers and

their agents to offset imbalances accruing on different contracts held

by the Customer with Caledonia and, upon prior notification to

Caledonia, to trade imbalance quantities with other Customers.

9.9 Gas Remaining in Storage after Expiration of Term

(a) Withdrawal On or Before End of Service Period. On or before the end

of the primary term or any renewed term of the Customer’s Service

Agreement, Customer must have physically withdrawn all gas held in

storage for the account of Customer under such Service Agreement.

Except as provided under Section 9.9(c) below, if any Storage Inventory

or Park Balance remains in the Caledonia System on any Gas Day after

the end of the service period (“Holdover Gas”), Caledonia shall have

the right, at its sole option, to either: (i) attempt to negotiate with

Customer to enter into a new Service Agreement, on an interruptible

basis, related to such Holdover Gas; (ii) take title to the Holdover

Gas under the provisions of Section 9.9(b) below; or (iii) resort to a

combination of both remedies. Caledonia’s election to enter into a new

Service Agreement will not prevent it from subsequently exercising its

rights pursuant to Section 9.9(b) with regard to any Holdover Gas that

remains in the Caledonia System after the end of the new service

period. Caledonia’s use of any remedy under this

Section 9.9 will not relieve Customer of its obligation to pay

Caledonia for any applicable charges accruing to Customer’s account

before such actions are taken.