Contract analysis

I. Introduction and Purpose This Settlement Offer — Version 3.0 ("Version 3.0" or this "Offer") is submitted by Ridgeline Midstream Services LLC ("Ridgeline" or "Applicant"), by and through its counsel Calderwood & Harkness LLP, to all Parties of Record in the above-captioned proceedings before the Federal Energy Regulatory Commission ("FERC" or the "Commission"). This Offer supersedes and replaces in their entirety

II. Background and Procedural History A. The Ridgeline Pipeline System The Ridgeline Pipeline System (the "System" or the "Pipeline") is a 187-mile, 24-inch-diameter high-pressure natural gas transmission pipeline located in West Virginia and southwestern Pennsylvania. The Pipeline originates at the Wetzel County Interconnect in Wetzel County, West Virginia (latitude 39.6120° N, longitude 80.7540° W) and terminates a

III. Ridgeline's Revised Rate and Cost-of-Service Parameters A. Rate Base Ridgeline's total rate base remains at $612.40 million, unchanged from its original filing. The components of the rate base are set forth below. Net Plant in Service: $563.71 million. This figure is derived from the original construction cost of $587.2 million, less accumulated depreciation of $23.49 million. Depreciation has been calculated at

IV. Proposed Settlement Terms — Tariff Provisions The following sections describe the tariff provisions that Ridgeline proposes to include in the redesigned FERC Gas Tariff, Original Volume No. 1, as part of a comprehensive settlement. These provisions have been developed in coordination with Braswell Energy Consulting Group LLC and are designed to address each of the fourteen deficiency items identified in the Janua

I. Creditworthiness Provisions Ridgeline proposes to include comprehensive creditworthiness provisions in its tariff, addressing Deficiency Item 11 of the Deficiency Letter. These provisions would establish the following framework: (i) Unsecured credit limits would be determined based on each shipper's creditworthiness, as assessed through a combination of credit ratings from nationally recognized statistical rating

V. Proposed Settlement Terms — Interconnection A. Physical Interconnection Configuration The proposed interconnection between the Ridgeline Pipeline System and the ATPC pipeline system would be located at the Wetzel County Interconnect, at milepost 0.0 of the Ridgeline system. The interconnection would tie into ATPC's existing 30-inch-diameter mainline at ATPC Milepost 412.6 in Wetzel County, West Virginia. The physi

VI. Positions of Other Parties — Summary and Response A. ATPC's Key Positions Appalachian Trunk Pipeline Company ("ATPC") is represented in these proceedings by William Pratt of Kellner, Royce & Dillard LLP, One PPG Place, Suite 2800, Pittsburgh, Pennsylvania 15222. ATPC is a subsidiary of Tidewater Infrastructure Partners LP, whose Chairman is Harrison J. Alderman and whose President and Chief Executive Officer is M