NorAm Gas Transmission Company
Fourth Revised Volume No. 1
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Effective Date: 09/01/1997, Docket: RP96-200-025, Status: Effective
Second Revised Sheet No. 7E.03 Second Revised Sheet No. 7E.03 : Superseded
Superseding: First Revised Sheet No. 7E.03
STATEMENT OF NEGOTIATED RATES
Contract Rate Contract
Shipper Name Number Schedule Demand Receipt Point(s) Delivery Point(s) Rate
------------ -------- -------- -------- ----------------- --------------- -----------------
PG&E Energy Trading Corp. 1860 FT 7,500 Transok @ Latimer TET @ West Monroe See Formula below
Amoco @ Red Oak ANR @ Perryville
MRT @ Glendale
Koch @ West Monroe
Trunkline @ Richland
Sonat @ Perryville
TGT @ Perryville
CGT @ Perryville
Formula Rates for Services up to Contract Demand:
The formula rate will be based on the following index prices as reflected for spot gas delivered to the pipelines
at the points indicated, as published in the first monthly issue of Inside FERC's Gas Market Report for the
Service Month, ("Index Price"). The Index Spread shall be equal to (a) the amount remaining when the Index Price
specified in (1) below is subtracted from the Index Price specified in (2) below, less (b) the Compressor Fuel
Value calculated as described below.
(1) NorAm Gas Transmission (East);
(2) Texas Eastern Transmission Company - East Louisiana, plus $0.0275.
The Compressor Fuel Value shall be calculated by multiplying the applicable Compressor Fuel percentage as
specified and in effect from time to time in NGT's Tariff times the Index Price set forth in (1) above. An
additional $0.04 per MMBtu shall be added to the monthly average unit rate as described above for deliveries to
Columbia Gulf Transmission at Perryville.
If the Index Spread is less than $0.06 per MMBtu (hereinafter $0.06 per MMBtu shall be referred to as the
"Base Rate"), then the unit rate per MMBtu of Contract Demand shall be (c) the difference between the
Index Spread and the Base Rate multiplied by (d) fifty percent (50%) plus (e) the Index Spread; provided,
however that the unit rate per MMBtu of Contract Demand in any month shall never be below Transporter's then effective
minimum Tariff rate. If the Index Spread is between $0.28 and $0.06 per MMBtu, then the unit rate shall be the Index Spread.
If the Index Spread is greater than $0.28 per MMBtu, (hereinafter $0.28 per MMBtu shall be referred to as
the "Threshold"), then the unit rate per MMBtu of Contract Demand shall be (f) the difference between the
Index Spread and the Threshold multiplied by (g) sixty percent (60%) plus (h) the Threshold.