Garden Banks Gas Pipeline, LLC

Original Volume No. 1

Effective Date: 05/10/2010, Docket: RP10-594-000, Status: Effective

Original Sheet No. 145 Original Sheet No. 145

GENERAL TERMS AND CONDITIONS

37. NEGOTIATED RATES

37.1 PRECONDITIONS TO NEGOTIATED RATES

Rates (including but not limited to lost-and-unaccounted-for

gas) to be charged by Transporter for service to any Shipper

under Rate Schedule FT-1, FT-2, or IT-1 may deviate in

either form or level or both from the applicable maximum

and/or minimum rate level in this Tariff, subject to the

following provisions:

(a) Transporter and Shipper have executed a valid Service

Agreement containing therein or in a related agreement

a specific mutual understanding that Negotiated

Rate(s) or a Negotiated Rate Formula will apply to

service for that Shipper;

(b) At the time of execution of the Service Agreement (or

the amendment to a Service Agreement), which first

provides for the applicability to Shipper of the

Negotiated Rate(s) or Negotiated Rate Formula, service

was available pursuant to the terms and conditions

(not modified by this Section 37) of Rate Schedule FT-

1, FT-2, or IT-1 of this Tariff, as applicable;

service under this Section 37 if and to the extent

service is available at the Recourse Rate;

(d) Transporter will not negotiate terms and conditions of

service under this Section 37; and

(e) No later than the Business Day on which Transporter

commences service at such Negotiated Rate(s) or

Negotiated Rate Formula (or if the day on which

Transporter commences service is not a Business Day,

then no later than the next Business Day after

Transporter commences service), Transporter will file

a tariff sheet advising the Commission of such

Negotiated Rate or Negotiated Rate Formula, stating

the name of Shipper, the type of service, the primary

Receipt Point(s) and Delivery Point(s) applicable to

the service, the volume of the Gas to be transported,

any other charges, and specifying