required of Freebird pursuant to the terms and

conditions of this Gas Tariff and the relevant Service Agreement, Shipper

shall be liable for all imbalances under its transportation agreement with

Transporter. Upon notification by Shipper or Transporter that a

Transportation Imbalance exists because Freebird failed to deliver or receive

the quantity of Gas nominated by Shipper and scheduled by Transporter in

accordance with the terms of this Gas Tariff and the relevant Service

Agreement, the terms of Section 8.8 addressing Receipt Defaults and Delivery

Defaults shall apply. Shipper agrees to use its best

efforts to prevent or diminish any occurrences of Transportation Imbalances.

Nothing in this Tariff is intended to inhibit the development of, or

discriminate against the use of, imbalance management or title transfer

tracking services provided by third parties. Any party interested in

providing imbalance management or title tracking services must coordinate with

Freebird.


 

6.5 Costs and Penalties. Shipper shall hold Freebird harmless for all costs

and penalties which may be assessed on Shipper by Transporter under Shipper’s

transportation agreement with Transporter, except to the extent such costs and

penalties result from the negligence of Freebird. Shipper and Freebird shall

cooperate with each other and with the Transporter to verify delivery and

receipt of the volumes of Gas delivered hereunder on a timely basis.


 


 

6.6 Downstream and Upstream Transportation. Shipper shall be responsible for

transportation to and from the Point of Injection/Withdrawal and payment of

all transportation charges relating thereto.


 

7. STORAGE OPERATIONS

7.1 Subject to the operating conditions of the Transporter, Freebird shall

receive Gas for injection from Shipper at the Point of Injection/Withdrawal

and make available Gas upon withdrawal to Shipper at the Point of

Injection/Withdrawal as scheduled by Shipper from time to time; provided that

Freebird shall not be obligated to receive for injection any quantity of Gas

if the injection of the same would cause the quantity of Gas stored for

Shipper’s account to exceed Shipper’s Maximum Storage Quantity, Maximum Park

Quantity, and/or Maximum Balance Quantity, as applicable; nor shall Freebird

be obligated at any time to make available for withdrawal to Shipper more Gas

than Shipper has stored in its Storage Inventory, Park Balance and/or Loan

Balance, as applicable.


 

7.2 Due to certain limitations of Freebird’s System, Freebird shall not be

obligated to receive, at the Point of Injection/Withdrawal, or make available,

at the Point of Injection/Withdrawal, any quantity of Gas when the quantity of

Gas tendered for delivery to Freebird or requested by Shipper to be delivered,

together with all other quantities of Gas tendered for delivery to Freebird at

the Point of Injection/Withdrawal or requested for delivery at such Point of

Injection/Withdrawal, results in a net metered flow which is less than the

minimum or greater than the maximum volumes that Freebird’s System is capable

of measuring.


 

8. NOMINATIONS AND SCHEDULING

8.1 During any Day when Shipper desires Freebird to inject or withdraw Gas for

Shipper’s account, Shipper shall submit a nomination to Freebird (i) for

timely nominations, via the Internet Web Site, and (ii) for evening and

Intraday nominations, via (a) the Internet Web Site and (b) telephone call to

the number(s) provided in the Service Agreement. Each nomination shall

include the following minimum