Northwest Pipeline LLC NOTICE #29275 Soliciting Email Bids for Discounted TF-1 Capacity posted on Nov 4 2019 9:32AM TSP Name: Northwest Pipeline LLC TSP: 67977322 Critical: N Notice Stat Desc: INITIATE Notice Type Desc: TSP CAPACITY OFFERING Post D/T: 11/04/2019 9:16 AM MCT Notice Eff D/T: 11/04/2019 9:16 AM MCT Notice End D/T: Reqrd Rsp Desc: No response required Rsp D/T: Notice ID: 19-181 Prior Notice: Subject: Soliciting Email Bids for Discounted TF-1 Capacity Notice Text:

 See Attachment

 

 

All Shippers Notification:  19-181              Dated November 04, 2019

 

TO:    ALL SHIPPERS

From:      Marvin Stevens (801) 584-7145

 marvin.l.stevens@williams.com

                            

SUBJECT: SOLICITING COMPETING EMAIL BIDS FOR DISCOUNTED  FIRM TF-1 TRANSPORTATION CAPACITY

 

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.

   

NOTE:  BIDS FOR POSTED CAPACITY WILL BE CONDUCTED via Email. Please call

Marvin @ 801 584-7145 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 41

Email OFFER #19-181

   

RECEIPT        DELIVERY              TOTAL    INITIAL   PRIMARY      PREARRANGED

POINT          POINT                 DTH/D    CONTRACT  TERM            OFFER___ 

 

Stanfield      Ignacio     (25,000)  45,000   11/01/2020 – 10/31/2021   Yes

               La Plata-TW (20,000) 

 

Min. & Max  Acceptable Bid:   TF-1 Maximum Base Tariff Rate, plus applicable surcharges

 

  

Min. Acceptable Bid Vol:          1 Dth/d

Max. Acceptable Bid Vol:     45,000 Dth/d

Bid Open Date:               11/04/2019  ( 11:00 a.m. Mountain Time)

Bid Close Date:              11/21/2019  ( 11:00 a.m. Mountain Time)

PA Match Deadline:           11/22/2019  ( 11:00 a.m. Mountain Time)

Award Deadline:              11/22/2019  (  3:00 p.m. Mountain Time)

Evergreen:                   Yes

 

 

Prearranged Bid Discount Conditions:

The Reservation Charge (per Dth of CD) will equal 25% of the Maximum

Base Tariff Rate, plus applicable surcharges.

 

Prearranged Bid Non-Conforming Provisions:

In the event of a challenge by another party regarding the rates

provided under this Agreement, and upon written request from

Transporter, Shipper will file in support of the discount under

the Agreement in Transporter's subsequent rate cases filed under either

Section 4 or 5 of the Natural Gas Act during the term that the discount

provided under the Agreement applies, excluding any rate cases that

involve a pre-filed settlement. For rate cases that involve a pre-filed

settlement, Shipper agrees to support the discount provided to shipper

under the Agreement during the pre-settlement process and not to

protest Transporter’s subsequent rate cases filed under either

Section 4 or 5 of the Natural Gas Act during the term that the discount

provided under the Agreement applies.

 

Extension and Segmentation Opportunity

Within ten days of being awarded the capacity, the winning bidder(s)

will be given the opportunity to extend the term of the awarded

contract at its existing rates, subject to the applicable discount and

non-conforming conditions, for a term ending no sooner than October 31,

2022. Upon extending the contract, the shipper will have the

opportunity to execute the following segmentations, pursuant to Section

25.5(c) of the General Terms and Conditions of Northwest’s Tariff, for

up to the full Contract Demand awarded: Stanfield Receipt to Kern River

Muddy Creek Delivery; Opal Receipt to Clay Basin Delivery; and Clay

Basin Receipt up to 25,000 Dth/D at Ignacio Delivery, and up to 20,000

Dth/D at La Plata TW Delivery.

 

The Reservation Charge will increase by an additional $.05 for each

additional segment Shipper or any Replacement Shipper is awarded, other

than the following segments: Stanfield to Kern River Muddy Creek, Opal

to Clay Basin, Clay Basin to Ignacio/La Plata-TW. However, such

increases will cease to apply once the Reservation Charge has reached

the Maximum Base Tariff Rate. In no event will the Reservation Charge

exceed the Maximum Base Tariff Rate.  

PROCEDURE FOR BIDDING AND AWARDING THE POSTED CAPACITY

 

 

Northwest will only accept email bids for this capacity and will use

the email receipt time stamp to determine timely arrival.

 

Awarding Capacity

 

Northwest will first award any Maximum Base Tariff Rate bids. Northwest

will award Maximum Base Tariff Rate bids based on the net present value

of the bid(s).

 

For any discounted bid, Northwest will award the capacity based on the

highest percentage of the Maximum Base Tariff Rate per Dth/d for the

indicated term. Any discounted bids will be subject to the Discount

Conditions and Non-conforming provisions of the Prearranged Bid.

 

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 Shipper(s) indicating a willingness to accept a pro-rata

share.

 

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. If any of the

capacity is awarded to Shipper, Shipper agrees to submit a request in

Northwest Passage within two (2) business days of notification by

Northwest.

 

 

 

 

NORTHWEST PIPELINE EMAIL BID FORM

 

_______________________

       (Date)

_______________________________________

 

_______________________________________

 

_______________________________________

      (Company Name & Address)

 

Contact Name:           ________________________________

 

Contact Phone Number:  ________________________________

 

VIA Email – marvin.l.stevens@williams.com

 

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 any bids previously submitted by Shipper if

applicable.

                    

Contract Demand:  45,000 Dth/d OR ______________ Dth/d

 

The minimum Contract Demand Shipper is willing to accept in the event

Transporter must allocate capacity: ____________Dth/d

 

Reservation Charge (per Dth of CD)(check one):

______ Maximum Base Tariff Rate, plus applicable surcharges

            (or)

______%of Maximum Base Tariff Rate, plus applicable surcharges

 

A Shipper bid of less than the Maximum Base Tariff Rate must include

the following discount conditions and non-conforming provisions:

 

Discount Conditions:

The initial Reservation Charge (per Dth of CD) will equal _____ of the

Maximum Base Tariff Rate, plus applicable surcharges. The Reservation

Charge will increase by an additional $.05 for each additional segment

Shipper or any Replacement Shipper is awarded, other than the following

segments: Stanfield to Kern River Muddy Creek, Opal to Clay Basin, Clay

Basin to Ignacio/La Plata-TW. However, such increases will cease to

apply once the Reservation Charge has reached the Maximum Base Tariff

Rate. In no event will the Reservation Charge exceed the Maximum Base

Tariff Rate.  

 

Non-Conforming Provisions:

In the event of a challenge by another party regarding the rates

provided under this Agreement, and upon written request from

Transporter, Shipper will file in support of the discount under

the Agreement in Transporter's subsequent rate cases filed under either

Section 4 or 5 of the Natural Gas Act during the term that the discount

provided under the Agreement applies, excluding any rate cases that

involve a pre-filed settlement. For rate cases that involve a pre-filed

settlement, Shipper agrees to support the discount provided to shipper

under the Agreement during the pre-settlement process and not to

protest Transporter’s subsequent rate cases filed under either

Section 4 or 5 of the Natural Gas Act during the term that the discount

provided under the Agreement applies.

 

 

Primary Term Begin Date:           11/01/2020 _______________

 

Primary Term End Date:             10/31/2021 _______________

 

Primary Receipt Point and MDQ:

Stanfield     45,000 Dth/d or ____________ Dth/d

 

Primary Delivery Point and MDDOs:

Ignacio      25,000  Dth/d  ____________Dth/d

 

      La Plata-TW  20,000  Dth/d  ____________Dth/d       

 

Evergreen Provision:Yes, Standard Bi-lateral Evergreen Provision per Section 12.2 of Rate Schedule TF-1.

 

Sincerely,

 

______________________________

(Company Name)

_____________________________

(Authorized Person’s Name and Title)

 _____________________________

(Signature and Date)

 

Affiliate of Transporter:   Yes________ No_________       

 

Accepted   /    Rejected     by Northwest

 

Rejected Reason: __________________________________________

 

Date:  _______________Name:  __________________________

 

 

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. If any of the

capacity is awarded to Shipper, Shipper agrees to submit a request in

Northwest Passage within five (5) business days of notification by

Northwest.