EXHIBIT 10.9(c)
Contract No. 33182000C
FIRM TRANSPORTATION SERVICE AGREEMENT RATE SCHEDULE TF-1
BETWEEN
COLORADO INTERSTATE GAS COMPANY
AND
GREELEY GAS COMPANY,
A DIVISION OF ATMOS ENERGY CORPORATION
DATED: OCTOBER 1, 2001
Contract No. 33182000C
FIRM TRANSPORTATION SERVICE AGREEMENT
RATE SCHEDULE TF-1
The Parties identified below, in consideration of their mutual promises, agree
as follows:
1. TRANSPORTER: COLORADO INTERSTATE GAS COMPANY
2. SHIPPER: GREELEY GAS COMPANY, A DIVISION OF ATMOS ENERGY CORPORATION
3. APPLICABLE TARIFF: Transporter's FERC Gas Tariff, First Revised Volume No.
1, as the same may be amended or superseded from time to time ("the
Tariff").
4. CHANGES IN RATES AND TERMS: Transporter shall have the right to propose to
the FERC changes in its rates and terms of service, and this Agreement
shall be deemed to include any changes which are made effective pursuant to
FERC Order or regulation or provisions of law, without prejudice to
Shipper's right to protest the same.
5. TRANSPORTATION SERVICE: Transportation Service at and between Primary
Point(s) of Receipt and Primary Point(s) of Delivery shall be on a firm
basis. Receipt and Delivery of quantities at Secondary Point(s) of Receipt
and/or Secondary Point(s) of Delivery shall be in accordance with the
Tariff.
6. POINTS OF RECEIPT AND DELIVERY: Shipper agrees to Tender gas for
Transportation Service, and Transporter agrees to accept Receipt Quantities
at the Primary Point(s) of Receipt identified in Exhibit "A." Transporter
agrees to provide Transportation Service and Deliver gas to Shipper (or for
Shipper's account) at the Primary Point(s) of Delivery identified in
Exhibit "A."
7. RATES AND SURCHARGES: As set forth in Exhibit "B." For example, Transporter
and Shipper may agree that a specified discount rate will apply: (a) only
to certain specified firm service entitlements under this Agreement; (b)
only if specified quantity levels are actually achieved under this
Agreement (with higher rates, charges, and fees applicable to all
quantities above those levels, or to all quantities under the Agreement if
the specified levels are not achieved); (c) only to production reserves
committed by the Shipper; (d) only during specified time periods; (e) only
to specified Point(s) of Receipt, Point(s) of Delivery, mainline area
segments, supply areas, transportation routes, or defined geographical
areas; or (f) in a specified relationship to the quantities actually
Delivered (i.e., that the rates shall be adjusted in a specified
relationship to quantities actually Delivered); provided, however, that any
such discounted rates set forth above shall be between the minimum and
maximum rates applicable to the service provided under this Agreement.
8. NEGOTIATED RATE AGREEMENT: Yes X No
--- ---
9. MDQ: 6,121 Dth per Day.
REDUCTION OF MDQ. Effective October 1, 2004, and October 1 of any year
thereafter through the term of this Agreement and subject to six months'
prior written notice, Shipper shall have the right to reduce the MDQ under
this Agreement subject to, and in accordance with, the following conditions
and limitations:
(a) The applicable regulatory or legislative body issues a final and
nonappealable order allowing Shipper to permanently unbundle its
merchant and transportation functions;
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Contract No. 33182000C
(b) The following calculation shall be used to determine the amount of
MDQ, if any, no longer needed by Shipper to provide service to the
markets served by this Agreement resulting from sales volume losses
due to unbundling ("Excess MDQ"):
EXCESS MDQ = (A X B) - C
where:
AS = The Shipper system served by Transporter under this Agreement,
which is affected by unbundling.
A = The average peak day usage factor on the AS (in Dth per customer).
B = Sales customer losses by Shipper on the AS due to unbundling,
excluding former Shipper sales customers being served by a Shipper
affiliate.
C = Any incremental transportation, gathering, and storage volumes
contracted for by Shipper for the AS after the execution of this
Agreement.
The resulting value may not be negative and shall be rounded down to a
whole number. However, should Shipper demonstrate the loss of an
individual sales customer whose estimated peak day demand exceeds 10
Dth, excluding former Shipper sales customers being served by a
Shipper affiliate, then that volume shall be added to the Excess MDQ,
provided that the total Excess MDQ from such individual customers is
less than 1,000 Dth.
(c) Despite Shipper's use of its best efforts to acquire state approvals
for cost recovery to avoid incurring "stranded costs" (including
amounts due Transporter under this Agreement related to Excess MDQ),
the applicable regulatory or legislative body does not approve a
mechanism which provides Shipper the opportunity to recover from its
rate payers such stranded costs.
(d) Despite Shipper's use of its best efforts to assign and/or release the
Excess MDQ to recover the costs (if any) which Shipper was not
afforded an opportunity to recover from its ratepayers under an
approved mechanism, Shipper is unable to either so assign and/or
release the Excess MDQ; and
(e) Shipper has exercised all rights it has to reduce contract
entitlements under all firm transportation, gathering, and storage
agreements with parties other than Transporter under which agreements
gas is provided to the AS; then
(f) If the conditions set forth above have been satisfied, Shipper shall
have the right to reduce the MDQ by an amount up to the Excess MDQ for
the period from the effective date of Shipper's notice through a date
designated by Shipper (not to exceed the date of termination of this
Agreement). Provided, however, Transporter shall have the option, by
notice delivered to Shipper within 45 days of Transporter's receipt of
Shipper's notice, to designate an equivalent volume of the firm
contract capacity under Transporter's firm transportation and/or
storage agreement(s) serving the AS other than this Agreement for
reduction in lieu of a reduction of the MDQ under this Agreement.
10. Term of Agreement.- Beginning: OCTOBER 1, 2001
Extending through: SEPTEMBER 30, 2006
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Contract No. 33182000C
11. NOTICES, STATEMENTS, AND BILLS:
TO SHIPPER:
INVOICES FOR TRANSPORTATION:
Greeley Gas Company, a division of Atmos Energy Corporation
160 Lincoln Centre Three 0000 XXX Xxxxxxx
Xxxxxx, Xxxxx 00000
Attention: Xxxx X. Hack
ALL NOTICES:
Greeley Gas Company, a division of Atmos Energy Corporation
160 Lincoln Centre Three 0000 XXX Xxxxxxx
Xxxxxx, Xxxxx 00000
Attention: Xxxx X. Hack
TO TRANSPORTER:
See Payments, Notices, Nominations and Points of Contact sheets in
the Tariff.
12. SUPERSEDES AND CANCELS PRIOR AGREEMENT: When this Agreement becomes
effective, it shall supersede and cancel the following agreement between
the Parties: The Firm Transportation Service Agreement between Transporter
and Shipper dated July 1, 2001, referred to as Transporter's Agreement No.
33182000B.
13. ADJUSTMENTS TO RATE SCHEDULE TF-1 AND/OR GENERAL TERMS AND CONDITIONS: N/A
14. INCORPORATION BY REFERENCE: This Agreement in all respects shall be subject
to the provisions of Rate Schedule TF- 1 and to the applicable provisions
of the General Terms and Conditions of the Tariff as filed with, and made
effective by, the FERC as same may change from time to time (and as they
may be amended pursuant to Section 13 of the Agreement).
IN WITNESS WHEREOF, the parties hereto have executed this Agreement.
TRANSPORTER: SHIPPER:
COLORADO INTERSTATE GAS COMPANY GREELEY GAS COMPANY
By: /s/ Xxxxxx X. Xxxxx, Vice President BY: /s/ Xxxxxx X. Xxx, Vice President
----------------------------------- ---------------------------------
Approved
For Execution
By
-----------
Legal Dept.
Accepted and agreed to this Accepted and agreed to this
day of , 2001. 2nd day of October, 2001.
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Contract No. 33182000C
EXHIBIT "A"
Firm Transportation Service Agreement
Between
Colorado Interstate Gas Company
And
Greeley Gas Company,
a division of Atmos Energy Corporation
Dated: October 1, 2001
1. Shipper's Maximum Delivery Quantity ("MDQ"): 6,121 Dth per Day
PRIMARY POINT(S) OF MAXIMUM RECEIPT
PRIMARY POINT(S) OF RECEIPT RECEIPT QUANTITY PRESSURE
(NOTE 1) (DTH PER DAY) (NOTE 2) P.S.I.G.
--------------------------- ---------------------- ---------------
NORTHERN SYSTEM:
Echo Springs Master Meter......... 300 850
Lost Cabin........................ 1,200 1,100
Uintah............................ 593 300
TOTAL NORTHERN SYSTEM.... 2,093
CENTRAL SYSTEM:
Xxxxx Master Meter................ 2,277 220
SOUTHERN SYSTEM:
Big Canyon........................ 491 955(4)
Mocane............................ 1,260 65
TOTAL SOUTHERN SYSTEM.... 1,751
TOTAL.................... 6,121
PRIMARY POINT(S) OF MAXIMUM DELIVERY
PRIMARY POINT(S) OF DELIVERY DELIVERY QUANTITY PRESSURE
(NOTE 1) (DTH PER DAY) (NOTE 3) P.S.I.G.
---------------------------- ---------------------- ----------------
CANON CITY GROUP (NOTE 5):
Canon City....................... 4,231 (Note 6)
Colorado State Penitentiary...... 298 100
Engineering Station 476 + 78..... 5 Line Pressure
Xxxxxxxx City Gate............... 989 60
Fremont County Industrial Park... 0 Xxxx Xxxxxxxx
Xxxxxxx Xxxx Gate................ 135 60
Penrose PBS-2.................... 000 Xxxx Xxxxxxxx
Xxxxxxxx Xxxx Gate............... 35 100
Xxxxxxxxx City Gate.............. 35 150
TOTAL CANON CITY GROUP........... 5,866
TOTAL CAPACITY RELEASE........... 4,814
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Contract No. 33182000C
PRIMARY POINT(S) OF MAXIMUM DELIVERY
PRIMARY POINT(S) OF DELIVERY DELIVERY QUANTITY PRESSURE
(NOTE 1) (DTH PER DAY) (NOTE 3) P.S.I.G.
---------------------------- ---------------------- ----------------
XXXX GROUP:
Xxxxxxx Xxxxxxx 00 000
Xxxx Xxxx Xxxx 207 60
Highline Taps:
Neoplan (Bent County) 3 Line Pressure
Penrose South (Fremont County) 11 Line Pressure
The Piggery (Fremont County) 3 Line Pressure
X.X. Xxxxxxxx (Xxxx County) 5 Line Pressure
TOTAL XXXX GROUP 257
XXXXXXX DELIVERY 350 500
SPRINGFIELD 700 Line Pressure
TOTAL 6,121
Storage Injection 4,151 N/A
NOTES:
(1) Information regarding Point(s) of Receipt and Point(s) of Delivery,
including legal descriptions, measuring parties, and interconnecting
parties, shall be posted on Transporter's electronic bulletin board.
Transporter shall update such information from time to time to include
additions, deletions, or any other revisions deemed appropriate by
Transporter.
(2) Each Point of Receipt Quantity may be increased by an amount equal to
Transporter's Fuel Reimbursement percentage. Shipper shall be responsible
for providing such Fuel Reimbursement at each Point of Receipt on a pro
rata basis based on the quantities received on any Day at a Point of
Receipt divided by the total quantity Delivered at all Point(s) of Delivery
under this Transportation Service Agreement.
(3) The sum of the Delivery Quantities at Point(s) of Delivery shall be equal
to or less than Shipper's MDQ.
(4) Minimum pressure Shipper will deliver gas to Transporter is 350 p.s.i.g.
(5) For Capacity Release purposes, the aggregate of the Canon City Group Point
of Delivery Quantities is 4,814 Dth per Day. To the extent that Shipper is
not utilizing a portion of its remaining Point of Delivery Quantities at
non-Canon City Group Points of Delivery, Shipper may nominate up to 5,866
Dth per Day for the Canon City Group, provided that volumes Tendered by
Shipper under this Agreement do not exceed the MDQ of 6,121 Dth per Day
unless an Authorized Overrun has been granted to Shipper by Transporter.
(6) Line pressure but not less than 100 p.s.i.g.
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Contract No. 33182000C
EXHIBIT "B"
Firm Transportation Service Agreement
Between
Colorado Interstate Gas Company
And
Greeley Gas Company.
a division of Atmos Energy, Corporation
Dated: October 1, 2001
Primary R(1)
Primary Point(s) Point(s) of Reservation Commodity Fuel
of Receipt Delivery Rate Rate Term of Rate Reimbursement Surcharges
---------------- ----------- ----------- --------- ------------ ------------- ----------
As Listed on As Listed on Through
Exhibit "A" Exhibit 'A" (Note 1) (Note 1) 09/30/06 (Note 2) (Note 3)
Primary R(1)
Primary Point(s) Point(s) of Reservation Commodity Fuel
of Receipt Delivery Rate Rate Term of Rate Reimbursement Surcharges
---------------- ----------- ----------- --------- ------------ ------------- ----------
Through
All All (Note 1) (Note 1) 09/30/06 (Note 2) (Note 3)
NOTES:
(1) Unless otherwise agreed by the Parties in writing, the rates for service
hereunder shall be Transporter's maximum rates for service under Rate
Schedule TF-1 or other superseding Rate Schedules, as such rates may be
changed from time to time.
Service under this Agreement shall be subject to R, Reservation Rate
applicable for:
0 to less than 4 Months of service in a year
---
4 to less than 8 Months of service in a year
---
X 8 Months of service or longer in a year
---
(2) Fuel Reimbursement shall be as stated on Transporter's Schedule of
Surcharges and Fees in the Tariff, as they may be changed from time to
time, unless otherwise agreed between the Parties.
(3) Surcharges, If Applicable:
All applicable surcharges, unless otherwise specified, shall be the maximum
surcharge rate as stated in the Schedule of Surcharges and Fees in The
Tariff, as such Surcharges may be changed from time to time.
GAS QUALITY CONTROL SURCHARGE:
The Gas Quality Control Reservation Rate and commodity rate shall be
assessed pursuant to Article 20 of the General Terms and Conditions as set
forth in The Tariff.
GRI:
The GRI Surcharge shall be assessed pursuant to Article 18 of the General
Terms and Conditions as set forth in The Tariff.
ORDER NO. 636 TRANSITION COST MECHANISM:
Surcharge(s) shall be assessed pursuant to Article 21 of the General Terms
and Conditions as set forth in The Tariff.
ACA:
The ACA Surcharge shall be assessed pursuant to Article 19 of the General
Terms and Conditions as set forth in The Tariff.
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