Stingray Pipeline Company

Third Revised Volume No. 1

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Effective Date: 12/01/1996, Docket: RP97- 39-000, Status: Effective

Original Sheet No. 118A Original Sheet No. 118A : Effective





(b) Stingray may elect, on a nondiscriminatory basis,

to pay all or a portion of the costs of the facilities constructed

pursuant to subsection (a) above if Stingray determines that the

construction of such facilities is economically beneficial to

Stingray. For purposes of determining whether a project is

beneficial, Stingray will evaluate projects on the basis of various

economic criteria, which will include the estimated transportation

throughput, cost of the facilities, operating and maintenance as

well as administrative and general expenses attributable to the

facilities, the revenues Stingray estimates will be generated as a

result of such construction, and the availability of capital funds

on terms and conditions acceptable to Stingray. In estimating the

revenues to be generated, Stingray will base those revenues upon

transportation rates it expects to be able to charge, exclusive of

any surcharges such as ACA, and the projected incremental volumes

which will result from the project.




Stingray's maximum obligation to deliver gas at the

Delivery Point(s) under an Agreement shall never exceed the lesser

of: (a) the applicable MDQ under the Agreement in the aggregate or

at each point as specified in the Agreement or as applicable to any

point under this Tariff; or (b) the total daily volume Shipper or

its designee is willing and able to receive at the Delivery





Unless otherwise described in an Agreement, the Delivery

Point(s) for transportation Agreements shall be located at the

interconnection between the facilities of Shipper or its designee,

and the facilities of Stingray.