Rate Schedule TF-1 Service Agreement

Contract No. 145356

 

THIS SERVICE AGREEMENT (Agreement) by and between Northwest Pipeline LLC (Transporter) and IGI Resources, Inc. (Shipper) is made and entered into on August 15, 2023.

 

WHEREAS:
  1. Pursuant to the procedures set forth in Section 22 of the General Terms and Conditions of Transporter's FERC Gas Tariff, Shipper acquired certain transportation capacity that was temporarily released by Southwest Gas Corporation from contract 100049.

 

 

THEREFORE, in consideration of the premises and mutual covenants set forth herein, Transporter and Shipper agree as follows:

  1. Tariff Incorporation. Rate Schedule TF-1 and the General Terms and Conditions (GT&C) that apply to Rate Schedule TF-1, as such may be revised from time to time in Transporter's FERC Gas Tariff (Tariff), are incorporated by reference as part of this Agreement, except to the extent that any provisions thereof may be modified by non-conforming provisions herein.
  2. Transportation Service. Subject to the terms and conditions that apply to service under this Agreement, Transporter agrees to receive, transport and deliver natural gas for Shipper, on a firm basis. The Transportation Contract Demand, the Maximum Daily Quantity at each Primary Receipt Point, and the Maximum Daily Delivery Obligation at each Primary Delivery Point are set forth on Exhibit A. If contract-specific OFO parameters are set forth on Exhibit A, whenever Transporter requests during the specified time period, Shipper agrees to flow gas as requested by Transporter, up to the specified volume through the specified transportation corridor.
  3. Transportation Rates. Shipper agrees to pay Transporter for all services rendered under this Agreement at the rates set forth or referenced herein. Reservation charges apply to the Transportation Contract Demand set forth on Exhibit A. The Maximum Base Tariff Rates (Recourse Rates) set forth in the Statement of Rates in the Tariff, as revised from time to time, that apply to the Rate Schedule TF-1 customer category identified on Exhibit A, will apply to service hereunder unless and to the extent that discounted Recourse Rates or awarded capacity release rates apply as set forth on Exhibit A or negotiated rates apply as set forth on Exhibit D. Additionally, if applicable under Section 21 or 29 of the GT&C, Shipper agrees to pay Transporter a facilities charge as set forth on Exhibit C.
  4. Transportation Term. This Agreement becomes effective on the effective date set forth on Exhibit A. The primary term begin date for the transportation service hereunder is set forth on Exhibit A. This Agreement will remain in full force and effect through the primary term end date set forth on Exhibit A and, if Exhibit A indicates that an evergreen provision applies, through the established evergreen rollover periods thereafter until terminated in accordance with the notice requirements under the applicable evergreen provision.
  5. Non-Conforming Provisions. All aspects in which this Agreement deviates from the Tariff, if any, are set forth as non-conforming provisions on Exhibit B. If Exhibit B includes any material non-conforming provisions, Transporter will file the Agreement with the Federal Energy Regulatory Commission (Commission) and the effectiveness of such non-conforming provisions will be subject to the Commission acceptance of Transporter's filing of the non-conforming Agreement.
  6. Capacity Release. If Shipper is a temporary capacity release Replacement Shipper, any capacity release conditions, including recall rights, are set forth on Exhibit A.
  7. Exhibit / Addendum to Service Agreement Incorporation. Exhibit A is attached hereto and incorporated as part of this Agreement. If any other Exhibits apply, as noted on Exhibit A to this Agreement, then such Exhibits also are attached hereto and incorporated as part of this Agreement. If an Addendum to Service Agreement has been generated pursuant to Sections 11.5 or 22.12 of the GT&C of the Tariff, it also is attached hereto and incorporated as part of this Agreement.
  8. Regulatory Authorization. Transportation service under this Agreement is authorized pursuant to the Commission regulations set forth on Exhibit A.
  9. Superseded Agreements. When this Agreement takes effect, it supersedes, cancels and terminates the following agreement(s): None, but the following Amendments and/or Addendum to Service Agreement which have been executed but are not yet effective are not superseded and are added to and become an Amendment and/or Addendum to this agreement: None
IN WITNESS WHEREOF, Transporter and Shipper have executed this Agreement as of the date first set forth above.
  
IGI Resources, Inc. Northwest Pipeline LLC
By: /S/ By: /S/
Name: RANDY SCHULTZ Name: GARY VENZ
Title: PRESIDENT Title: Director Commercial Services

 

EXHIBIT A

Dated August 15, 2023, Effective November 01, 2023

to the

Rate Schedule TF-1 Service Agreement

(Contract No. 145356)

between Northwest Pipeline LLC

and IGI Resources, Inc.

 

(Releasing Shipper/Contract No. : Southwest Gas Corporation/100049)

 

SERVICE DETAILS
  1. Transportation Contract Demand (CD): 41,535 Dth per day
  2. Primary Receipt Point(s):
      Point ID Name Maximum Daily Quantities (Dth)    
      4 IGNACIO PLANT 13,699    
      297 SUMAS RECEIPT 24,090    
      543 OPAL PLANT 3,330    
      552 WESTGAS ARKANSAS 416    
      Total41,535
  3. Primary Delivery Point(s):
      Point ID Name Maximum Daily Delivery Obligation (Dth)   Delivery Pressure (psig)  
      459 RENO LATERAL (TO PAIUTE)41,535    
      Total41,535  
    Specified conditions for Delivery Pressure, pursuant to Section 2.4 of the General Terms and Conditions: None
  4. Customer Category:
    1. Large Customer
    2. Incremental Expansion Customer: No
  5. Transportation Rates:
    1. Awarded Reservation Charge (per Dth of CD): $0.70, plus applicable surcharges

      Awarded CRM Surcharge (per Dth of CD): Maximum CRM Surcharge Rate
    2. Volumetric Charge (per Dth): Maximum Base Tariff Rate, plus applicable surcharges
    3. Awarded Additional Facility Reservation Surcharge pursuant to Section 3.4 of Rate Schedule TF-1 (per Dth of CD): None
    4. Rate Discount Conditions Consistent with Section 3.5 of Rate Schedule TF-1: Not Applicable
  6. Transportation Term: Begin Date: November 01, 2023

    Nomination Cycle: Timely

    End Date: March 31, 2024

  7. Contract-Specific OFO Parameters and/or Alternative Actions in lieu of a Contract-Specific OFO:

    None

  8. Subordinate rights apply as defined in GT&C Section 1 Secondary Firm Service Rights with a Scheduling and Curtailment Priority per GT&C Section 12.1(b)(ii): No
  9. Regulatory Authorization: 18 CFR 284.223
  10. Additional Exhibits:

    Exhibit B Yes

    Exhibit C No

  11. Standard Capacity Release Conditions:
    1. Releasing Shipper's recall rights:
      1. Released capacity may be recalled prior to the Evening nomination cycle applicable to the initial day of the capacity recall.
      2. Recall notification: Allowed on any day
      3. Recall provisions in Section 22.2(a)(2) of the General Terms and Conditions of Transporter's Tariff also apply: Yes
      4. Recall provisions in Section 22.2(a)(3) of the General Terms and Conditions of Transporter's Tariff also apply: No
    2. Reput rights: Yes
    3. Primary Receipt Point may be changed through amendment: No
    4. Primary Delivery Point may be changed through amendment: No
    5. Re-releasable: No
    6. Asset Management Arrangement ("AMA"): No
  12. Additional Capacity Release Conditions pursuant to Section 22.7(k) of the GT&C: Rather than recalling the released capacity in the event of a Transporter notification of an imminent general OFO, Releasing Shipper may require Replacement Shipper to realign supply to the opposite side of the constraint point, reduce nomination through the constraint point, flow displacement gas through the constraint point or take other action mutually agreeable to Transporter to satisfy its share of the Releasing Shipper's OFO obligation. Releasing Shipper will immediately communicate to Replacement Shipper any notification Releasing Shipper receives from Transporter pursuant to Section 14.15d(iii) of Transporter's Tariff and will request Replacement Shipper to take the necessary actions to help comply with the OFO obligations imposed by Transporter upon the Releasing Shipper. Further, Releasing Shipper conditions its capacity release upon Replacement Shipper bearing the financial responsibility for any penalties assessed against Releasing Shipper as a result of any failure by Replacement Shipper to take the required actions to help satisfy Releasing Shipper's OFO obligations with respect to the released capacity.

    The Parties understand and agree that any incremental costs associated with the modification of Receipt and Delivery Points or the use of secondary Receipt and Delivery Points shall be the sole responsibility of the Replacement Shipper.

  13. Index-Based Rate Unique Formula specified by Releasing Shipper: None

EXHIBIT B

Dated August 15, 2023, Effective November 01, 2023,

 

(subject to Commission acceptance)

to the

Rate Schedule TF-1 Service Agreement

(Contract No. 145356)

between Northwest Pipeline LLC

and IGI Resources, Inc.

 

NON-CONFORMING PROVISIONS

1. Transportation Term - Primary Term End Dates

The Primary Term End Date associated with 4,291 Dth/d of Contract Demand including the associated MDQs at the Opal Plant and Sumas receipt points for 1,802 Dth/d and 2,489 Dth/d respectively, and the MDDOs at the Reno Lateral delivery point is October 31, 2020, as the result of a permanent release of capacity pursuant to Offer No. 36782.

The Primary Term End Date associated with 2,197 Dth/d of Contract Demand along with the associated MDQ's at the Sumas receipt point and MDDOs at the Reno Lateral delivery point is September 30, 2044.

The Primary Term End Date associated with the remaining Contract Demand along with the associated MDQ's at the Ignacio Plant, Opal Plant, Sumas, and Westgas Arkansas receipt points and MDDOs at the Reno Lateral delivery point is March 31, 2032.