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Notice of Open Season 205
OS205 - Firm Storage Transporation Capacity


POSTED: 11/11/2014
- 11/19/2014
11/21/14: This offer has been fully subscribed.





National Fuel Gas Supply Corporation (“National Fuel”) is pleased to commence an Open Season for firm storage transportation capacity under National's Firm Storage Transportation ("FST") rate schedule.  In this Open Season, shippers holding annual FST capacity may request a contractual FST primary withdrawal point change to TGP-Roselake for approximately 10,000 Dth/day.

Commencement Date

This service could commence as early as December 1, 2014.

Open Season Schedule

This offering commences Tuesday, November 11, 2014 and concludes at 11:00 a.m. EST on Wednesday, November 19, 2014.

Capacity and Points

In this Open Season, National Fuel will award FST withdrawal point changes to TGP-Roselake (Meter 420527) for approximately 10,000 Dth/d.  Requests must propose an FST withdrawal point change from a current "northern" or "southern" contractual FST withdrawal point.  Bidders should contact a National Fuel representative to discuss eligible points.

National Fuel is not offering FST injection point changes in this Open Season.


Requests must be made under the FST rate schedule.  In the event that bidders' existing FST contract has discounted FST rates, such FST rates as well as the rates associated with any associated discounted Firm Storage Service ("FSS") contract  shall transition to National Fuel's current maximum FST and FSS tariff rates with the effective date of the point change.  Those maximum tariff rates are shown here:

Firm Storage Service (FSS)

Demand $2.4826 per Dth/d
Capacity $0.0381 per Dth
Commodity - Injection/Withdrawal $0.0391 per Dth
ACA Surcharge $0.0014 per Dth


Firm Transportation Service (FST):

Reservation $3.7805 per Dth/d
Commodity $0.0135 per Dth
ACA Surcharge $0.0014 per Dth


Fuel and Loss

Storage Operating and LAUF Allowance, and Transportation Fuel and Company Use Retention and Transportation LAUF Retention will be established and subject to change under the tracking mechanism guidelines in National’s GT&C Section 41 tariff sheets.

For informational purposes, National’s current allowances are as follows:

FSS: Storage Operating and LAUF Allowance of 0.79% on injection, and 0.79% on withdrawal.

FST: On withdrawal, there is no charged Transportation Fuel and Company Use Retention and Transportation LAUF Retention (collectively “Transportation Fuel/LAUF”).  On injection and non-storage transportation, the current Transportation Fuel/LAUF is 1.1%.

Bid Format & Award Process

All requests must be submitted using a Service Request Form (“SRF”).  Bidders should indicate on the SRF a proposed term extension of their existing FST (and associated FSS) contract(s).  Requests for rate discounts or discounts of fuel and loss retention will not be accepted.  Shippers may request all or part of the available TGP-Roselake FST withdrawal capacity, and are allowed to revise their bids within the posting period.  

Acceptable requests will be ranked and the best bid(s) determined based on the highest net present value (NPV) of the incremental FST and FSS reservation charge revenues, per unit of capacity (Dth/day) requested.  The incremental reservation charge revenues shall be calculated based on the transition of existing contractual rates to the maximum FST and FSS tariff rates (if applicable), and bidders' proposed term extension.  The NPV calculation will incorporate length of contract term and will utilize a monthly rate of 0.8% (9.6% annually) for discounting purposes.   

In the event that multiple shippers submit requests that are equivalent in value and term, the available capacity shall be prorated to those shippers based on the quantities requested.  Accordingly, service agreements will be sent to each successful bidder reflecting such proration.  These service agreements will provide for a range of quantities between the prorated quantities and the requested quantities.  The contract quantity will be within this range and will be determined by the capacity subscribed by all successful bidders under executed service agreements for each Package.

National reserves the right, in its sole discretion, to modify the amount of awarded capacity to be greater or less than any estimated quantity listed above, based on the system hydraulics associated with specific requests.

Participation in this Open Season is non-binding for bidders and National Fuel.

Credit Requirements

Shippers will be required to demonstrate creditworthiness or provide a credit alternative acceptable to National Fuel.

Open Season Bid Process

All Open Season requests must be submitted on a Service Request Form. Complete the Service Request Form online or download the PDF version, both of which are available on our web site http://www.nationalfuelgas.com/  or by calling our Marketing Department at (716) 857-7740. The completed forms should be submitted online, via mail or fax as listed below:

     National Fuel Gas Supply Corporation

     6363 Main Street

     Williamsville, NY 14221

     Phone:  (716) 857-7740

     Fax:  (716) 857-7310


     Terry Falsone -  (716) 857-7602

     Joe Kolis - (716) 857-7520

     Anthony Limina - (716) 857-7924

Service Agreements

Successful bidders will be required to execute and return service agreements within 10 business days after they are received.

Once agreements are executed, the results of this Open Season will be posted on National's web site, www.nationalfuelgas.com.

Contact Our Marketing Department

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