Northwest Pipeline LLC NOTICE #29039 Auction Soliciting EMail Bids for Capacity posted on Jun 12 2019 11:48AM TSP Name: Northwest Pipeline LLC TSP: 67977322 Critical: N Notice Stat Desc: INITIATE Notice Type Desc: TSP CAPACITY OFFERING Post D/T: 06/12/2019 11:48 AM MCT Notice Eff D/T: 06/12/2019 11:48 AM MCT Notice End D/T: Reqrd Rsp Desc: No response required Rsp D/T: Notice ID: 19-107 Prior Notice: Subject: Auction Soliciting EMail Bids for Capacity Notice Text: FROM: Miki Bode-Jones (801) 584-6861 miki.bode@williams.com Williams Northwest Pipeline Transportation SUBJECT: AUCTION SOLICITING COMPETING EMAIL BIDS FOR FIRM TF-1 TRANSPORTATION CAPACITY ON NORTHWEST PIPELINE'S SYSTEM Northwest has posted the following package of available firm TF-1 Large Customer transportation capacity to its Electronic Bulletin Board ("EBB") for competitive bid pursuant to the "Available Capacity" provisions of Northwest's Tariff. Northwest will be accepting Discounted and Recourse Rates. NOTE: BIDS FOR POSTED CAPACITY WILL BE CONDUCTED via Email. Please call 801 584-6861 or 713-215-6301 if you have any questions or encounter any problems with your bid(s). Time deadlines will be electronically monitored and implemented. PACKAGE U-1 Email OFFER #19-0001 RECEIPT DELIVERY TOTAL INITIAL PRIMARY PREARRANGED POINT POINT DTH/D CONTRACT TERM OFFER Ignacio Plant Kern River 9,889 08/01/2019 - 08/31/2019 No Min. Acceptable Reservation Bid:$0.06 Dth/d* Max Acceptable Reservation Bid: TF-1 Maximum Base Tariff Rate Min. Acceptable Bid Vol:1 Dth/d Max. Acceptable Bid Vol:9,889 Dth/d Bid Open Date:06/12/2019 ( 11:50 a.m. Mountain Time) Bid Close Date:06/17/2019 ( 13:00 p.m. Mountain Time) Award Deadline:*06/17/2019 ( 13:00 p.m. Mountain Time) Evergreen:Yes, Standard Bi-lateral. Discount Conditions: Any acceptable reservation bid rate less than the TF-1 Maximum Base Tariff Rate will be composed of the following daily reservation rate components: (1) A fixed reservation rate at or above the minimum acceptable reservation bid rate plus; (2) 50% of any positive net daily spread where the "Net Daily Spread" is defined as the difference remaining after the following calculation for each day within the month: a.The daily index price for Kern River Opal Midpoint Price, as b.published by Platts Gas Daily; c.Minus the daily index price for El Paso Bondad Midpoint d.price, as published by Platts Gas Daily; and e.Minus the TF-1 base tariff volumetric rate; f.Minus the TF-1 in-kind fuel reimbursement valued at the daily index price for El Paso Bondad Midpoint Price, as published by Platts Gas Daily multiplied by the currently effective TF-1 fuel rate as identified in Northwest's FERC Gas Tariff; g.Minus the fixed reservation rate. h.Equals the "Net Daily Spread" The "Combined Daily Rate" equals the Fixed Reservation Rate plus the Net Daily Spread. The Combined Daily Rate will be no lower than the minimum and no higher than the Maximum Base Tariff Rate and remains applicable no matter which receipt and delivery locations are used by Shipper or by Replacement Shipper(s). PROCEDURE FOR BIDDING AND AWARDING THE POSTED CAPACITY Northwest will only accept email bids for this capacity. Bidders may re-submit a bid with a higher net present value. Note: Northwest will not accept multiple bids from a Shipper. To withdraw a bid prior to the close bid date and time, Shipper must re-submit its bid with the Bid Withdraw Box checked. Northwest's email receipt time stamp will be used to determine timely arrival. If a document is in the process of being received at the Bid Close Date and Time, Northwest will deem the document as being received timely. Maximum Tariff Rate bids will be accepted for any primary contract term, subject to available capacity. Northwest will only accept discounted bids if the fixed reservation rates are at or above the minimum acceptable reservation rate for the maximum bid volume and the initial primary contract term noted above. Awarding Capacity Northwest will first award the capacity to Shipper(s) who request the capacity at the Maximum Base Tariff Rate based upon the net present value of the bid. Northwest will then award the capacity to Shipper(s) who request the capacity at a discount (provided the bid is consistent with the discount conditions and minimum acceptable reservation rate) based upon the highest rate bid for the fixed reservation component for the entire capacity offered. *In the case of a tie, each tied Shipper will have the right to improve its bid by submitting an improved bid within 24 hours of notification. If a tie still exists, such capacity will be awarded on a pro-rata basis to the Shippers indicating a willingness to accept a pro-rata share. At the conclusion of the awarding process, the winning Shipper(s), must execute the necessary service agreements on line in Northwest Passage within five "5" business days of being notified by Northwest. NORTHWEST PIPELINE LLC EMAIL BID FOR FIRM TF-1 TRANSPORTATION CAPACITY FORM _______________________ (Date) _______________________________________ _______________________________________ _______________________________________ (Company Name & Address) Contact Name: ________________________________ Contact Phone Number: ________________________________ VIA Email - miki.bode@williams.com Northwest Pipeline LLC Attn: Miki Bode Jones 295 Chipeta Way Salt Lake City, UT 84108 Re: BID FOR AVAILABLE FIRM-TF-1 TRANSPORTATION CAPACITY ________________________ ("Shipper") is requesting that Northwest Pipeline LLC ("Northwest") consider the following bid for available TF-1 transportation capacity as noted below. Shipper understands that the procedures outlined in this posting will be utilized in accepting, evaluating and awarding such bid. This bid supersedes the bid Shipper submitted on ________________, if applicable. BID: TOTAL CONTRACT DEMAND BID: 9,889 Dth/d OR ______________ Dth/d (MAXIMUM BIDS ONLY) MINIMUM CONTRACT DEMAND SHIPPER IS WILLING TO ACCEPT IN THE EVENT TRANSPORTER MUST ALLOCATE THE CAPACITY: ______________ Dth/d IF SUBMITTING A DISCOUNTED RATE BID, INDICATE (YES OR NO) IF SHIPPER IS WILLING ACCEPT A PRIMARY TERM FOR A PERIOD LESS THAN 8/1/2019 THROUGH 10/31/2019 IN THE EVENT THE CAPACITY IS AWARDED TO A MAXIMUM RATE BID SHIPPER FOR A PORTION OF THE TERM. YES]__ [NO]___ check one PRIMARY TERM BEGIN DATE: 08/01/2019 OR ___________________ PRIMARY TERM END DATE: 10/31/2019 OR ___________________ (MAXIMUM BID RATES ONLY) RESERVATION RATE BID: Circle One Option 1 Northwest's TF-1 Maximum Base Tariff Rate (Rate is exclusive of fuel, volumetric charges and applicable surcharges) Option 2 $______ TF-1 fixed daily discounted reservation rate plus 50% of any positive Net Daily Spread (per Dth of CD) (Rate is exclusive of fuel, volumetric charges and applicable surcharges) with the following discount conditions. Discount Conditions: The daily TF-1 reservation rate will be composed of the following components: (1) The fixed reservation rate plus; (2) 50% of any positive net daily spread where the "Net Daily Spread" is defined as the difference remaining after the following calculation for each day within the month: a.The daily index price for Kern River Opal Midpoint Price, as published by Platts Gas Daily; b.Minus the daily index price for El Paso Bondad Midpoint price, as published by Platts Gas Daily; and c.Minus the TF-1 base tariff volumetric rate; d.Minus the TF-1 in-kind fuel reimbursement valued at the daily index price for El Paso Bondad Midpoint Price, as published by Platts Gas Daily multiplied by the currently effective TF-1 fuel rate as identified in Northwest's FERC Gas Tariff; e.Minus the fixed reservation rate. f.Equals the "Net Daily Spread" The Combined Daily Rate equals the Fixed Reservation Rate plus the Net Daily Spread. The Combined Daily Rate will be no lower than the minimum and no higher than the Maximum Base Tariff Rate and remains applicable no matter which receipt and delivery locations are used by Shipper or by Replacement Shipper(s). Evergreen Provision Standard Bi-lateral Evergreen Provision per Section 12.2 of Rate Schedule TF-1 Bid Withdrawal Check Box ____________________ (initials / date) Northwest's acceptance of Shipper's bid for this firm capacity will constitute a binding offer from Shipper to Northwest for the capacity and the terms and conditions posted herein. Sincerely, ______________________________ (Company Name) _____________________________ (Authorized Person's Name and Title) _____________________________ (Signature and Date) Accepted / Rejected by Northwest Rejected Reason: __________________________________________ Date: _______________Name: __________________________