December 17, 2020

To All Southern Natural Gas Shippers

Re: Award of Firm Transportation Capacity in Open Season

On December 10, 2020, Southern Natural Gas Company, L.L.C. ("Southern”) announced an open season for bids for 10,000 Dth/day of short-term firm transportation capacity (“FT”) that is operationally available from January 1, 2021 through April 30, 2021 on the south system of the Southern Natural Gas Company, L.L.C. ("Southern”) pipeline system. This capacity is available from receipt pins as far west as TGP Rose Hill (PIN #420546) and other pins along the south main downstream of this location. This capacity is available to delivery pins as far east as Southern's Wrens Compressor Station (Segment 560) and to pins that are as far south as Savannah, GA. (Segments 580, 615, 620).

Shippers could increase their net present value (NPV) by bidding to buy supplemental capacity which is available in other locations on the system or for capacity that is available from receipt pins at the Elba Island LNG Terminal, the SNG-Elba Express Interconnects, or the FGT-Suwanee Interconnect to various delivery pins. In addition, Shippers currently receiving discounted FT service could increase the NPV of their bids by increasing their discounted rate for a period of time stated by the shipper in its bid.

Pursuant to the terms of Section 2.1(b) of the General Terms and Conditions of the Southern Natural Tariff, Southern is required to post the winning bid(s) within 24 hours of awarding the capacity.  Below are the winning bid(s).  Southern did not have capacity to award all of the requested bids.

Winning Bid(s):

Shipper 1

Volume – 10,000 Dth/day)

Term – January 1, 2021 through April 30, 2021

Rate – Maximum applicable zone 3 tariff rate

Note: 

To increase its NPV, the Winning Shipper also bid and was awarded 3,200 Dth/day of supplemental capacity that was available to and from receipt and delivery pins in Zone 3 at the maximum tariff rate for the period January 1, 2021 through April 30, 2021.

SNG Marketing