Black Marlin Pipeline Company

First Revised Volume No. 1

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Effective Date: 10/01/2002, Docket: RP02-454-000, Status: Effective

Second Revised Sheet No. 132B Second Revised Sheet No. 132B : Effective

Superseding: First Revised Sheet No. 132B


Interruptible Transportation Service (continued)


Imbalance statements should be generated at the same time or prior to the

generation of the transportation invoice. The imbalance statement should

be rendered prior to or with the invoice, and the transportation invoice

should be prepared on or before the 9th business day after the end of the

production month. Rendered is defined as postmarked, time-stamped, and

delivered to the designated site.


Delivery point allocations should be performed at the lowest level of

detail provided by nominations. The determination of deliveries

applicable to Shipper shall be made in accordance with the thermal

balancing provisions above unless a PDA in accordance with the PDA

provision below or an operating arrangement satisfactory to Shipper,

Transporter and any third party transporting to or from Transporter's

system is submitted. The responsibility for calculation and reporting of

allocated quantities should rest with the party responsible for accepting

NAESB allocation types. The party receiving nominations should provide

allocation statements.


The upstream or downstream party providing the point of confirmation

should submit the pre-determined allocation to the allocating party after

or during confirmation and before the start of the gas day. To the extent

there is no OBA or PDA, Transporter shall allocate pro rata based on

confirmed nominations. As a minimum, allocations should be provided by

both contract and locations. The types of allocation methodologies is a

list from which two parties may agree. If the two parties can not agree

upon an allocation methodology, pro rata based upon confirmed nominations

should be used as the default method. The party responsible for custody

transfer (the party performing the measurement function) should provide

the allocation. The same standard allocation methodologies should be

available for use at all points. A new allocation detail may be needed

when a nomination changes. The PDA methods shall include ranked, pro

rata, percentage, swing, and operator provided value, as such terms are

used in the NAESB Standards. Transporter shall be entitled to rely

exclusively on an effective PDA in allocating gas delivered to a point.

No retroactive changes to a PDA may be made unless Transporter and all

affected parties agree in writing. The allocating party should send back

"confirmation" of receipt of the pre-determined allocation within 15



A Party may change the PDA during a calendar month provided (i) such

change will have prospective effect only, (ii) all Shippers on

Transporter's system with scheduled deliveries at such point have been

notified of the change and the effective date of the change, and (iii)

the interconnecting Party identifies and holds Transporter and Shippers

utilizing such points harmless against actions taken and allocations made

in reliance upon such change in PDA.