Garden Banks Gas Pipeline, LLC

Original Volume No. 1

Effective Date: 10/01/2002, Docket: RP02-468-000, Status: Effective

Third Revised Sheet No. 84 Third Revised Sheet No. 84 : Effective

Superseding: Second Revised Sheet No. 84

GENERAL TERMS AND CONDITIONS

12. DETERMINATION OF RECEIPTS AND DELIVERIES

The responsibility for calculation and reporting of

allocated quantities should rest with the party responsible

for accepting NAESB allocation types. The party receiving

nominations should provide allocation statements.

12.1 Allocation of Actual Quantities at Receipt Point:

(a) In the event gas from multiple Shippers is

measured by Transporter's meter at any Receipt

Point, all Shippers delivering gas to Transporter

at that Receipt Point shall provide, or cause to

be provided, to Transporter a predetermined

allocation statement from its seller(s) and/or

third-party transporter(s)/operator(s) delivering

gas to Transporter at that Receipt Point for the

purpose of determining the quantity of gas in Dth

to be received by Transporter for the account of

Shipper at that Receipt Point for the day(s) (and

in the aggregate for the month) for which Shipper

has made its nominations(s). The upstream party

providing the point confirmation should submit the

pre-determined allocation to the allocating party

after or during confirmation and before start of

gas day.

(b) Except as provided in subsection 12.1(c), the

predetermined allocation statements provided for a

Receipt Point on Transporter's system shall

include:

(i) an allocation by the operator of the

facilities immediately upstream of

Transporter's Receipt Point of the actual

quantities of gas in Dth to be received by

Transporter which allocates each working

interest owner's gas from the production

source field(s) on each day following the day

of gas flow based on one and only one of the

allocation methodology types agreed upon as

follows; ranked, pro rata, percentage, swing,

and operator provided value: