Hardy Storage Company, LLC

Original Volume No. 1

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Effective Date: 04/01/2007, Docket: CP05-150-003, Status: Effective

Original Sheet No. 87 Original Sheet No. 87 : Effective

GENERAL TERMS AND CONDITIONS (Cont’d)

7.4 Posting Procedures for Capacity Allocation. Except for force majeure

events and/or events or conditions which threaten the integrity of Seller's

system or Seller's ability to meet its firm service obligations, Seller

will notify Customers at least 24 hours in advance on its Internet EBB. In

addition to the general restrictions described below, more specific

restrictions may be imposed when necessary in accordance with the

provisions of this Tariff.

(1) No Capacity Restrictions. Seller, based on forecasted

system conditions and utilization, has determined there is adequate

system capacity to make all nominated withdrawals and/or injections.

(2) Capacity Restrictions. Seller, based on forecasted system

conditions and utilization, has determined there is a limited amount of

Non-Firm Capacity available for withdrawals and/or injections. Seller

will post on its EBB the Non-Firm Capacity available. Seller will

allocate capacity as described in Section 7 above.

(3) Zero Non-Firm Capacity. Seller, based on forecasted system

conditions and utilization, has determined there is zero Non-Firm

Capacity available for withdrawals and/or injections and will post this

on its EBB. Provisions of Section 19.4 (Critical Day) of the General

Terms and Conditions apply.