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TSP/TSP Name:  1939164-TENNESSEE GAS PIPELINE Critical: Y
Notice Type Desc (1):  TSP CAPACITY OFFERING Notice Type Desc (2):  TSP CAP OFFERING
Notice Eff Date/Time:  09/08/2021 2:00:06PM Notice End Date/Time:  12/31/2049 9:00:00AM
Post Date:  9/8/2021 2:00:06 PM Notice ID: 380208
Reqrd Rsp:  1 Notice Stat Desc:  INITIATE Prior Notice: 
Subject:  AVAILABLE FIRM CAPACITY - OS #1320
Notice Text:

DATE: September 8, 2021                                                                                                                         TIME: 2:00 PM CT

TO:          ALL TENNESSEE GAS PIPELINE COMPANY, L.L.C. CUSTOMERS

RE:          AVAILABLE FIRM CAPACITY (OPEN SEASON POSTING #1320)

Open Season Timeline

Tennessee Gas Pipeline Company, L.L.C. (“Tennessee”) is holding this Open Season in accordance with Article XXVI, Section 5 of the General Terms and Conditions of its FERC Gas Tariff (as it may be in effect from time to time, the “Tariff”), commencing at 2:00 PM on Wednesday, September 8, 2021 and ending at 4:00 PM on Wednesday, September 15, 2021 (the “Open Season Period”). Unless otherwise indicated, capitalized terms that are used but not defined herein shall have the meanings ascribed to such terms in the Tariff.

 

Proposal: Receipt Zone 0 to Delivery Zone L Capacity Proposed Contract Terms

Rate Schedule:

FT-A

Transportation Quantity (“TQ”):

Up to 31,758 Dth/d

Tennessee reserves the right to reject bids with a TQ higher than the TQ listed above.

Term:    

November 1, 2021 through March 31, 2022

Tennessee reserves the right to reject bids with a commencement date prior to November 1, 2021, or a termination date later than March 31, 2022.

 

Primary Receipt Point(s):

 

420826 – POOLING PT – 100 LEG – ZN 0 - NORTH

 

Primary Delivery Point(s):

 

420373 – TRNSCO/TGP KINDER LA EXCH (BI 1)

 

Secondary Receipt Point(s) at

which the rates

specified below apply:

All Zone 0 and L/1 Receipt Points within the Transportation Path.

Secondary Delivery Point(s) at

which the rates

specified below apply:

All Zone 0 and L/1 Delivery Points within the Transportation Path.

Monthly Reservation Rate:

Tennessee reserves the right to reject bids for less than Tennessee's applicable Base Reservation Rate per Dth.

Commodity Rate for Primary

and Secondary 

Deliveries:

Tennessee will reject bids for less than Tennessee's applicable Base Commodity Rate per Dth.

Other Charges:

Shipper shall also pay ACA, applicable F&LR, EPCR charges, and all other applicable surcharges specified in Tennessee's Tariff.

 

Reservations

Without limiting or waiving any other rights that Tennessee may have with respect to this Open Season, Tennessee reserves the following rights:

1.                   To reject bids at less than Tennessee's applicable Base Reservation Rate or applicable Base Commodity Rate per Dth.

 

2.                   At any time during this Open Season, upon notice and in its sole discretion, to terminate this Open Season, to extend the Open Season Period, or to modify this Open Season.

 

3.                   To clarify and finalize bids containing non-specific and/or ambiguous bid information (including, without limitation, rate, term, and receipt or delivery points) or discrepancies in bid information, provided that Tennessee shall have no obligation to do so.

 

4.                   On a not unduly discriminatory basis, to reject any bid or service request that, in Tennessee's sole determination, is incomplete, is inconsistent with the terms of this Open Season, contains additions or modifications to the terms of this Open Season, is otherwise deficient in any respect (including failure to provide credit support as Tennessee deems necessary), or requests service outside the scope of this Open Season.

 

5.                   To reject any bid that does not specify capacity within the path(s) posted above.

 

6.                   To reject bids received after the Open Season Period.

7.                   To award capacity to mutually agreeable alternate receipt or delivery points if capacity is unavailable at the meters specified in any bid.

 

8.                   To award capacity for a quantity less than the bid quantity, if sufficient capacity is not available to award the entire bid quantity. 

 

9.                   To reject any bid that will result in a reduction of reservation charges.

 

10.                To reject negotiated rate bids. 

 

11.                To reject contingent bids.

Submission of Bids

This Open Season is for capacity available for the receipt/delivery point path(s) specified above. In order to be considered eligible to be awarded capacity following this Open Season, potential shippers must submit bids that specify terms, volumes, receipt points, and delivery points that are consistent with the respective dates, quantities, and associated receipt and delivery zones outlined above.  All bids should refer to Open Season #1320.

Available capacity volumes are contingent upon mainline, meter, and lateral capacity. Bids cannot exceed the stated maximum volumes.

Parties interested in this capacity should submit binding Firm Transportation requests through the DART system.  Parties may also submit binding bids via e-mail by e-mailing their bids to TGPBidroom@kindermorgan.com.  Any party may confirm Tennessee's receipt of its bid by contacting the Bidroom between 8 A.M. and 5 P.M. CT, Monday through Friday (unless such day is not a working day).

All bids submitted during this Open Season may be replaced with a higher Net Present Value (“NPV”) bid during the Open Season Period.  Bids cannot be replaced with lower NPV bids.  Upon completion of this Open Season, all remaining bids will be considered binding until a successful bid(s) has been awarded.

Evaluation Method

All final bids for each Proposal received during this Open Season will be evaluated on an NPV basis using the following factors:

NPV/Dth = En[R*(1/(1+i)**n)]/Dth

En = summation of months 1 through n (Sigma)

n = term in months

R = incremental monthly revenue

Dth = TQ of contract

i = monthly discount factor of 0.8333%

Tennessee reserves the right to accept any one bid or combination of bids that will result in the largest aggregate NPV for the aforementioned Proposal(s). 

 

For further information, please contact:

Britton Durio        (713) 420-4205

Caitlin Harris         (713) 420-2915

Scott Minear         (713) 420-5177

Greg Pollard          (713) 420-7149

 

E-mail                     TGPBidroom@kindermorgan.com