The launch of capacity auction for the 2013/2014 gas year

Dear Partners,

Hereby we are informing you that the Hungarian Energy Office in its decision of 28 September 2012, No. 994/2012 obliged our company to carry out the capacity sales procedure for the „Osztrák-magyar határ betáplálási pont Baumgarten felől” network point, launched on 25 June 2012 and suspended on 31 August 2012. The Office obliged our company to comply with the regulations pertaining to capacity booking and with the Business and Commercial Code of the Hungarian natural gas system (ÜKSZ).

Taking into consideration the regulations pertaining to capacity booking – including the 13/2011 (IV.7.) NFM decree on the quantity, sales and substitution of security stock of natural gas – and the relating provisions of ÜKSZ, the free capacity offered for booking for the 2013/2014 gas year at the above mentioned network point is 19,197,840 MJ/day. We are informing you that in comparison with the free capacity the aggregate capacity demand in the procedure launched on 25 June 2012 and in the claims serving as the basis for that procedure shows capacity oversubscription.

Based upon section (o) 8.4.3.1.6 of the Network Code (ÜKSZ), in case of capacity oversubscription the allocation of free capacities should be performed in a capacity auction procedure.

Taking all these into consideration, FGSZ Ltd. will launch an auction
for the above point for the 2013/14 gas year
between 14.00 and 15.00 p.m. on 17 October 2012.

System users, whose capacity demand was submitted before 16 July 2012 and is in compliance with the relevant points of ÜKSZ after the procedure of filing missing documents and thus are entitled to participate in the capacity auction, are informed separately parallel with the present Newsletter.

The entitled System users intending to participate in the auction should send the Application form to FGSZ. Ltd. till 16:00 8 October 2012 per letter or telefax (+36-84-505-218).

We would like to draw your attention that if the bids submitted during the auction are over the published capacity, they are invalid on the basis of (j) 8.4.7.5. of ÜKSZ and the system doesn’t accept them.

We would like to draw your attention that according to point 8.4.7.2. (a) of ÜKSZ, which came into force on 28 February 2012, the bid(s) for auction price must be given in percent of 4 decimal places of the annual capacity fee for non-authorized system users.

Please be informed that according to the effectual ÜKSZ the blind period has been deleted from the capacity auction module. This way you can see the indicators, the status of your bids and data listed in point (h) 8.4.7.5 of ÜKSZ in the last five minutes as in the preceding 55 minutes. You are kindly requested to give your bids in the last minutes of the auction with taking into consideration that those will be evaluated according to the server clock of FGSZ Ltd. This date and time may slightly differ from the date and time on your surface due to delay in data transmission. The rate of the delays is influenced by the quality of the internet lines on your side so we can not take the responsibility for the bids unaccepted for this reason.

FGSZ Ltd. informs the System users about the result of the auction immediately through the messages generated by the system automatically, the official notice will be sent by FGSZ Ltd. for the participants the next working day at the latest according to point 8.4.7.5 (m) of ÜKSZ.

Yours sincerely

FGSZ Ltd.