Cove Point LNG Limited Partnership

Second Revised Volume No. 1

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Effective Date: 06/01/2003, Docket: CP01- 76-003, Status: Effective

Original Sheet No. 124A Original Sheet No. 124A : Effective

 

 

GENERAL TERMS AND CONDITIONS

(Continued)

 

 

 

8. NATURAL GAS QUALITY (Continued)

 

(h) (v) No water, carbon dioxide or mercury;

 

(vi) No active bacteria or bacterial agent, including but limited to, sulphate

reducing bacteria or acid producing bacterial; and

 

(vii) No hazardous or toxic substances.

 

(viii) In the event it becomes necessary for Operator to operate nitrogen injection

facilities, Operator's nitrogen injection capacity shall be allocated, if

necessary, among Buyers in the following order:

 

. First, to Buyers scheduling withdrawals during the Withdrawal Season

pursuant to Section 3(a) of Rate Schedule FPS-1, FPS-2 and FPS-3. Such

Buyer may take delivery of a quantity of gas up to the MCPQ at a daily rate

of up to one hundred fifteen percent (115%) of Buyer's MDPQ; and

. Then, ratably as a class to Buyers scheduling withdrawals pursuant to Rate

Schedule LTD-1; and

. Then ratably as a class to all Buyers scheduling withdrawals pursuant to

the Authorized Overrun provisions of Rate Schedules LTD-1, LTD-2, FPS-1,

FPS-2, or FPS-3; and

. Then, ratably as a class to Buyers scheduling withdrawals pursuant to Rate

Schedule LTD-2.

 

Cove Point shall not be obligated to receive any LNG that does not meet these

standards.

 

(i) Measurement of Quantity of LNG Received from Buyer's LNG Tankers. Buyer shall

measure, or cause to be measured, the quantity of LNG received by Operator from

Buyer's LNG tanker(s) in accordance with the following provisions:

 

(i) The volume of LNG received by Operator and reflected as an increase in Buyer's

Liquefied Gas Balance shall exclude the amount of vapor returning to Customer's

vessel during unloading of LNG. Operator shall have no obligation to receive

quantities that cause Buyer to exceed the volume equivalent of its MCSQ (or

that part of its MCSQ allocated to Buyer during periods of constrained

capacity).

 

(ii) The volume of cubic meters of LNG received by Operator shall be measured in

metric units by gauging of the liquid in the tanks of Buyer's LNG tanker(s).

Buyer shall cause the first gauging to be made after the Captain of Buyer's LNG

tanker has given his notice of readiness to unload and before starting the

pumps. A second gauging shall take place immediately after completion of

unloading. Representatives of Buyer and Operator shall have the right to be

present at such gaugings but the absence of a representative shall not prohibit

any gauging.