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Gas Transportation Agreement

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Sectors: Energy
Governing Law: Texas, View Texas State Laws
Effective Date: December 19, 1994
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Exhibit 10(e)


Service Package 9069
Amendment No. 0


GAS TRANSPORTATION AGREEMENT
(For Use Under FT-G Rate Schedule)


THIS AGREEMENT is made and entered into as of the 19th day of December, 1994 by and between TENNESSEE GAS PIPELINE COMPANY, a Delaware Corporation, hereinafter referred to as "Transporter" and DELTA NATURAL GAS COMPANY INC, a KENTUCKY Corporation, hereinafter referred to as "Shipper." Transporter and Shipper shall collectively be referred to herein as the "Parties."


ARTICLE I
DEFINITIONS


1.1 TRANSPORTATION QUANTITY (TQ) - shall mean the maximum daily
quantity (MDQ) of gas which Transporter agrees to receive and
transport on a firm basis, subject to Article II herein, for the
account of Shipper hereunder on each day during each month of each
year during the term hereof. Shipper shall elect a Transportation
Quantity (TQ) for each month of the year and specify the delivery
point meters to which service under this Rate Schedule applies. Any
limitations of the quantities to be delivered to each Point of
Delivery shall be as specified on Exhibit A attached hereto.


1.2 EQUIVALENT QUANTITY - shall be as defined in Article I of the
General Terms and Conditions of Transporter's FERC Gas Tariff.


ARTICLE II
TRANSPORTATION


Transportation Service - Transporter agrees to accept and receive daily on a firm basis in accordance with Rate Schedule FT-G, at the Point(s) of Receipt from Shipper or for Shipper's account such quantity of gas as Shipper makes available up to the Transportation Quantity, and to deliver to or for the account of Shipper to the Point(s) of Delivery an Equivalent Quantity of gas.


ARTICLE III
POINT(S) OF RECEIPT AND DELIVERY


The Primary Receipt and Delivery Points shall be those points specified on Exhibit "A" attached hereto.


ARTICLE IV


All facilities are in place to render the service provided for in this Agreement.


ARTICLE V
QUALITY SPECIFICATIONS AND STANDARDS FOR MEASUREMENT


For all gas received, transported and delivered hereunder the Parties agree to the Quality Specifications and Standards for Measurement as specified in the General Terms and Conditions of Transporter's FERC Gas Tariff Volume No. l. To the extent that no new measurement facilities are installed to provide service hereunder, measurement operations will continue in the manner in which they have previously been handled. In the event that such facilities are not operated by Transporter or a downstream pipeline, then responsibility for operations shall be deemed to be Shipper's.


ARTICLE VI
RATES AND CHARGES FOR GAS TRANSPORTATION


6.1 TRANSPORTATION RATES - Commencing upon the effective date hereof,
the rates, charges and surcharges to be paid by Shipper to
Transporter for the transportation service provided herein,
including compensation for system fuel and losses, shall be in
accordance with Transporter's Rate Schedule FT-G and the General
Terms and Conditions of Transporter's FERC Gas Tariff.


6.2 INCIDENTAL CHARGES - Shipper agrees to reimburse Transporter for
any filing or similar fees, which have not been previously paid by
Shipper, which Transporter incurs in rendering service hereunder.


6.3 CHANGES IN RATES AND CHARGES - Shipper agrees that Transporter
shall have the unilateral right to file with the appropriate
regulatory authority and make effective changes in (a) the rates
and charges applicable to service pursuant to Transporter's Rate
Schedule FT-G (b) the rate schedule(s) pursuant to which service
hereunder is rendered, or (c) any provision of the General Terms
and Conditions applicable to those rate schedules. Transporter
agrees that Shipper may protest or contest the aforementioned
filings, or may seek authorization from duly constituted regulatory
authorities for such adjustment of Transporter's existing FERC Gas
Tariff as may be found necessary to assure Transporter just and
reasonable rates.


ARTICLE VII
BILLINGS AND PAYMENTS


Transporter shall bill and Shipper shall pay all rates and charges in accordance with Articles V and VI, respectively, of the General Terms and Conditions of Transporter's FERC Gas Tariff.


ARTICLE VIII
GENERAL TERMS AND CONDITIONS


This Agreement shall be subject to the effective provisions of Transporter's Rate Schedule FT-G and to the General Terms and Conditions incorporated therein, as the same may be changed or superseded from time to time in accordance with the rules and regulations of the FERC.


ARTICLE IX
REGULATION


9.1 This Agreement shall be subject to all applicable and lawful
governmental statutes, orders, rules and regulations and is
contingent upon the receipt and continuation of all necessary
regulatory approvals or authorizations upon terms acceptable to
Transporter. This Agreement shall be void and of no force and
effect if any necessary regulatory approval is not so obtained or
continued. All Parties hereto shall cooperate to obtain or continue
all necessary approvals or authorizations, but no Party shall be
liable to any other Party for failure to obtain or continue such
approvals or authorizations.


9.2 The transportation service described herein shall be provided
subject to Subpart B, Part 284 of the FERC Regulations.


ARTICLE X
RESPONSIBILITY DURING TRANSPORTATION


Except as herein specified, the responsibility for gas during transportation shall be as stated in the General Terms and Conditions of Transporter's FERC Gas Tariff Volume No. l.


ARTICLE XI
WARRANTIES


11.1 In addition to the warranties set forth in Article IX of the
General Terms and Conditions of Transporter's FERC Gas Tariff,
Shipper warrants the following:


(a) Shipper warrants that all upstream and downstream transportation
arrangements are in place, or will be in place as of the requested
effective date of service, and that it has advised the upstream and
downstream transporters of the receipt and delivery points under
this Agreement and any quantity limitations for each point as
specified on Exhibit "A" attached hereto. S
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