Gulf Crossing Pipeline Company LLC

Original Volume No. 1

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Effective Date: 03/01/2009, Docket: RP09-303-000, Status: Effective

First Revised Sheet No. 1050 First Revised Sheet No. 1050

Superseding: Original Sheet No. 1050



Section 16





16.1 Capacity Release


A Customer may release its firm capacity on Gulf Crossing only

under the firm capacity release mechanism of this Section 16.

Capacity Release hereunder is governed by 18 C.F.R. Section 284.8

of the Commission's Regulations. A Releasing Customer which

contracts for firm transportation service under Part 284 of the

Commission's regulations may notify Gulf Crossing of its desire

to release all or part of its capacity to another party. In

addition, a Replacement Customer may release its capacity

pursuant to and subject to the requirements, procedures and

obligations of this Section.


Any Replacement Customer or Prearranged Customer may seek credit

pre-approval under Gulf Crossing's credit requirements as

outlined in Section 5. To bid or contract for capacity release

transactions all entities must satisfy such credit requirements.

No entity, including but not limited to, Releasing Customer,

shall be entitled to rely on any credit appraisal performed by

Gulf Crossing of any Potential, Prearranged or Replacement

Customer. No Releasing Customer may establish a separate

creditworthiness standard which differs from the one required by

Gulf Crossing. Except as otherwise provided herein, the

Releasing Customer shall remain ultimately liable for all

reservation charges billable for the originally contracted firm

transportation service.


The rate charged the Replacement Customer for a release of

capacity may not exceed the applicable maximum rate, except that

no rate limitation applies to the release of capacity for a

period of one year or less if the release is to take effect on or

before one year from the date on which Gulf Crossing is notified

of the release.


The following categories of capacity release are exempt from

bidding requirements (1) a release of capacity to an asset

manager as defined in 18 C.F.R. Section 284.18 (h)(3) ("Asset

Manager"); (2) a release of capacity to a marketer participating

in a state-regulated retail access program as defined in 18

C.F.R. Section 284.8(h)(4) ("Retail Access Marketer"); (3) a

release for more than one year at the maximum tariff rate; and

(4) a release for any period of 31 days or less (non-rollover).


Any party who desires capacity may request Gulf Crossing to post

a request for capacity ("Capacity Request") on the Internet Web

Site. Such Capacity Request shall be posted on the Internet Web

Site for a period which shall not exceed one (1) month.