SUBJECT: SOLICITING COMPETING EMAIL BIDS FOR FIRM TF-1 TRANSPORTATION CAPACITY
Northwest has posted the following packages of available 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.
Package U is for Secondary Firm Service with subordinate scheduling rights and
the Package II is for Primary Firm Service.
NOTE: BIDS FOR POSTED CAPACITY WILL BE CONDUCTED VIAEMAIL.
Please call Gil @ 346-228-4168 or Jordan @ 832-374-9513 if you have any questions.
Time deadlines will be electronically monitored and implemented.
Package U
RECEIPT DELIVERY TOTAL INITIAL PRIMARY PREARRANGED
Pkg POINT POINT DTH/D CONTRACT TERM OFFER
U Ignacio Plant Kern River Muddy Creek Delv 20,000 4/1/2024 – 10/31/2024 No
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): Yes
Min. Acceptable Bid: $0.15
Min. Acceptable Bid Vol: 1 Dth/d
Max. Acceptable Bid Vol: 20,000 Dth/d
Bid Open Date: 3/04/2024 (11:00 am Mountain Daylight Time)
Bid Close Date: 3/11/2024 (11:00 am Mountain Daylight Time)
PA Match Deadline: N/A
Award Deadline: 3/13/2024 (11:00 am Mountain Daylight Time)
Evergreen: No
Discount Conditions: The Discount Rate remains applicable no matter which receipt and
delivery locations are used by Shipper or by Replacement Shipper(s).
Package II
RECEIPT DELIVERY TOTAL INITIAL PRIMARY PREARRANGED
Pkg POINT POINT DTH/D CONTRACT TERM OFFER
II Ignacio Plant La Plata - TW 29,000 4/1/2024 – 10/31/2024 No
Min. Acceptable Bid: $0.07
Min. Acceptable Bid Vol: 1 Dth/d
Max. Acceptable Bid Vol: 29,000 Dth/d
Bid Open Date: 3/04/2024 (11:00 am Mountain Daylight Time)
Bid Close Date: 3/11/2024 (11:00 am Mountain Daylight Time)
PA Match Deadline: N/A
Award Deadline: 3/13/2024 (11:00 am Mountain Daylight Time)
Evergreen: No
Discount Conditions: The Discount Rate remains applicable no matter which receipt and
delivery locations are used by Shipper or by Replacement Shipper(s).
PROCEDURE FOR BIDDING, BID EVALUATION, AND AWARDING THE POSTED CAPACITY
Northwest will only accept email bids for the posted package(s) of available
Northwest capacity from credit worthy shippers. Any duplicate bids will be
discarded. Email receipt time stamp will be used to determine timely arrival.
A bidder who withdraws its bid may not submit another bid with a lower economic
value. A bidder may not submit multiple bids for the same capacity.
Bids will be accepted for the primary contract term. Northwest is not obligated
to accept Bids for a shorter or longer term than posted for the subordinated
capacity or a different path than posted. Northwest may accept or reject any
such bids. Bidder may submit a bid on an individual package or any combination
of the two listed packages but is not required to bid on both packages.
Northwest will award the capacity outlined herein on a net present value (NPV) basis.
The NPV of each package shall be determined using the following formula:
Where:
i = monthly payment period
n = term in months
R = incremental monthly reservation revenue (Bid Qty (Dt/d) * Bid Daily Rate ($/Dt) * # Days in month i)
DR = monthly discount rate of 0.7083%
The NPV of each package bid by any party will be summed to determine the best bid.
In case of a tie, each tied shipper will have the right to improve its bid by submitting an improved bid within 24 hours of the bid close time.
If a tie still exists, such capacity shall be awarded on a pro-rata basis to the shippers indicating a willingness to accept a pro-rata share.
All bidding and awarding will be conducted in accordance with the General Terms and Conditions Section 25 of Northwest’s Tariff.
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 – Gilberto.Perez@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.
Package U
Contract Demand: 20,000 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)(select one):
_____ Maximum Base Tariff Rate, plus applicable surcharges
(Or)
$_____, plus applicable surcharges
Primary Term Begin Date: 4/01/2024
Primary Term End Date: 10/31/2024
Primary Receipt Point and MDQ:
Ignacio Plant 20,000 Dth/d or ____________ Dth/d
Primary Delivery Point and MDDOs:
Kern River Muddy Creek Delivery 20,000 Dth/d or ____________Dth/d
Evergreen Provision: None
Subordinate rights:
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): Yes
Package II
Contract Demand: 29,000 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)(select one):
_____ Maximum Base Tariff Rate, plus applicable surcharges
(Or)
$_____, plus applicable surcharges
Primary Term Begin Date: 4/01/2024
Primary Term End Date: 10/31/2024
Primary Receipt Point and MDQ:
Ignacio Plant 29,000 Dth/d or ____________ Dth/d
Primary Delivery Point and MDDOs:
La Plata - TW 29,000 Dth/d or ____________Dth/d
Evergreen Provision: None
Subordinate rights:
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
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 two (2) business days of notification by Northwest.