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Notice Type Desc (1):  TSP CAP OFFERING Notice Type Desc (2):  CAPACITY FOR SALE
Notice Eff Date/Time:  03/10/2017 9:03:34AM Notice End Date/Time:  03/16/2017 9:00:00AM
Post Date:  3/10/2017 9:03:34 AM Notice ID: 116439
Reqrd Rsp:  5 Notice Stat Desc:  INITIATE Prior Notice: 
Subject:  CPG Forwardhaul Open Season
Notice Text:
Motor vehicle bill of sale

Open Season Notice of Available Firm Capacity on Cheyenne Plains Gas Pipeline Company, L.L.C. (“CPG”)

Bid Deadline – 2:00 PM Mountain Time, March 15, 2017

CPG is conducting a binding Open Season for existing available capacity as outlined below:

Rate Schedule:


Volume / TCD:


200,000 Dth/day beginning April 1, 2017 through March 31, 2018

Primary Receipt Point(s):

WIC Thunder Chief (800716)


WIC Curley (800184)


CIG Red Cloud (800614)

*Up to meter unsubscribed capacity.

Primary Delivery Point(s):

ANR Greensburg (800859)


NGPL Ford (892158)


NNG Mullinville (800884)


PEPL South Rattlesnake Creek (800893)

Alternate Rec/Del:

The capacity offered in this Open Season will include the right to utilize the following points on an alternate basis at the same contracted rate:

Alternate Receipt Locations:


Thunder Chief (800716), Curley (800184), Red Cloud (800614),  Crazy Bear (800848), Greensburg (800859),  Ford (892158), Mullinville (800884), South Rattlesnake Creek (800893), Scott (800892), Sand Dune (892156), Windmill (892228), Arikaree (893001)



Alternate Delivery Locations:


Thunder Chief (800716), Curley (800184), Red Cloud (800614),  Crazy Bear (800848), Greensburg (800859),  Ford (892158), Mullinville (800884), South Rattlesnake Creek (800893), Scott (800892), Sand Dune (892156)

Recommended Term:

Transporter recommends that bids have a proposed term beginning April 1, 2017 through March 31, 2018, with no later starting date and no earlier or later ending dates (although Transporter reserves the right to reject any bid which fails to comport with the provisions of this open season).

Open Season Start:

March 10, 2017 – 9:00 am Mountain Time

Open Season End:

March 15,  2017 - 2:00 pm Mountain Time.

Award Notification:

March 16, 2017 – 2:00 pm Mountain Time

Bid Sheet:

Email attached Bid Sheet to

General Open Season Requirements:

Bids must include the bidding party's name, Open Season Name (‘CPG Forwardhaul'), quantity, term, and rate.


By submitting a bid, the bidding party certifies that:

(a) All information contained in the bid is complete and accurate.

(b) It satisfies, or will be able to satisfy, all the requirements of CPG's FERC Gas Tariff.

(c) The person submitting the bid has full authority to bind the bidding party.


The bid rate must be presented as follows:

The reservation rate per Dth/month or stated as the maximum tariff rate.


There will be no contractual ROFR offered with this capacity.


In addition to the bid rate, each bidding party shall be subject to the applicable maximum usage rate and maximum usage surcharges, all other maximum rates, charges and surcharges, including ACA, Fuel and L&U, and any other authorized surcharges assessed under the applicable Rate Schedule of CPG's FERC Gas Tariff as those amounts may be amended or superseded from time-to-time.  This includes incremental lateral charges and any third party charges resulting from the use of capacity that CPG may hold on other pipelines.


CPG reserves the right to reject negotiated rate bids, bids that have rates less than the maximum recourse rate, bids stated as the dollar equivalent of the current maximum recourse rate, bids that are incomplete, contain offers of varying rates within the term, contain additional or modified terms or are inconsistent with the provisions of CPG's FERC Gas Tariff.  CPG also reserves the right to reject bids for quantities that are not for the same quantity for the duration of the term.


CPG notes that FERC Order No. 894, in some cases, prohibits multiple affiliates of the same entity from bidding in an Open Season for capacity in which the pipeline may allocate capacity on a pro rata basis.  It appears to CPG that the restrictions imposed by FERC Order No. 894 will be applicable in this Open Season and FERC recommends that potential bidders review and adhere to the requirements of that FERC Order.



Creditworthiness Criteria:


The successful bidder(s) must satisfy the creditworthiness requirements of CPG's FERC Gas Tariff.  Bidders that fail to satisfy such creditworthiness requirements within a reasonable time will have their capacity award withdrawn.  CPG will treat the financial statements provided by bidders as confidential.


Each successful bidder and CPG shall enter into and execute a Transportation Service Agreement (TSA) reflecting the terms of its bid as awarded by CPG.  The TSA will be in the form contained in CPG's FERC Gas Tariff.


Evaluation Criteria:


If CPG receives acceptable bids for capacity in excess of the actual amount of available capacity, then the capacity will be allocated based on the Present Value (PV) of each bid as calculated below; provided, however, CPG reserves the right to aggregate bids that generate the highest PV to CPG.


PV will be the sum of the present values for all of the months beginning with the first month capacity is available through the end date of the bid term.


The PV for each month will be calculated as follows:


PV = (R X Q)/((1+i) to the power of n)


R = the monthly reservation bid rate

Q = the monthly bid quantity

i = the monthly discount rate of 0.2917% (which is the annual discount rate of 3.50% divided by 12).

n = the number of months from the earliest date the capacity is available in the Open Season to the month the revenue will be received (the first month capacity is available n = 1, the second month n = 2, and so on).


If there is insufficient capacity available to meet all successful bids, and if two or more of the lowest accepted bids are of equal Present Value, unless such bidder(s) have elected not to have the bid(s) prorated, capacity will be allocated pro rata based on the Maximum Delivery Quantity of the bids that are tied.


Contact Information:


Questions concerning this Open Season should be directed to:


Randy Barton            (719) 520-4667

Thania Delgado         (719) 520-4482

Mark Iverson             (719) 520-4587

Robin Janes              (719) 667-7555

Tim Mang                  (719) 520-4373

Damon McEnaney     (719) 520-4472

Steve Newell             (719) 520-4341

Dan Tygret                  (719) 520-3765


CPG Forwardhaul

Open Season Bid Sheet

Form of Service: FT

Email Bid To:

A.    Shipper Information

                        Legal Name of Bidder:__________________________

                        Name of Requesting Party:_______________________

                        Title of Requesting Party:________________________

                        DUNS Number:________________________________­


B.    Term of Service(i.e. 2 Years):____________________________   

Effective Start Date:___________________________________    

Requested Term End Date:_____________________________     


C.   Transportation Contract Demand (TCD):

            Will you accept a pro rata allocation of capacity if necessary                Yes           NO

Primary Receipt Point(s)

Maximum Daily Receipt Quantity Dth/Day

Primary Delivery Point(s)

Requested Dth/day MDQ





















Total Receipt Quantity


Total Delivery Quantity


*The sum of the MDQs at the Primary Delivery Location(s) must equal the TCD.

D.        Bid Rate (express as a monthly rate per Dth or maximum reservation rate):­­­_________________

*By submitting a bid to Transporter, the bidding party certifies that (a) all information contained in the request is complete and accurate, (b) it satisfies, or will be able to satisfy, all the requirements of Transporter's FERC Gas Tariff, and (c) the person submitting the bid has full authority to bind the bidding party.