Gulf Crossing Pipeline Company LLC
Original Volume No. 1
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Effective Date: 12/20/2008, Docket: RP09-61-000, Status: Effective
Original Sheet No. 1056 Original Sheet No. 1056
GENERAL TERMS AND CONDITIONS
The capacity release bid that meets the criteria set forth
herein and is determined based upon such criteria to be the
winning bid for the capacity subject to the bidding process
is the "Best Bid".
In the event the Releasing Customer does not specify a
standard to be applied in determining the Best Bid, Gulf
Crossing will select the Best Bid based on the bid which
generates the highest present value. Present value will be
calculated based on a discount rate equivalent to a fifteen
percent (15%) pre-tax rate of return.
If a Potential Customer fails to eliminate a contingency
within the prescribed time frame, the capacity shall be
awarded to the next highest bidder.
Capacity shall be awarded based upon the Best Bid. If two
or more bids are equivalent based upon the Best Bid
criteria, then the bid with the shortest term will be the
Best Bid. If the bids are identical, then the bid
submitted first in time will be designated the Best Bid
unless the Releasing Customer has identified an alternate
tie-breaking method in its offer.
If there are multiple bids meeting the offer conditions,
Gulf Crossing shall rank the bids and award the capacity,
best bid first, until all offered capacity is awarded.
Gulf Crossing shall be entitled to reject any bid which
does not match the conditions set forth in the offer.
Notwithstanding anything to the contrary, a Potential
and/or Replacement Customer that does not receive the
amount of capacity that it requested may reject the