Keyspan LNG, LP (Alng)

Third Revised Volume No. 1

Effective Date: 01/27/2003, Docket: RP03-241-000, Status: Effective

Original Sheet No. 44 Original Sheet No. 44 : Effective

Joseph A. Vaszily, Vice President

GENERAL TERMS AND CONDITIONS

(continued)

6.2 Removal. (continued)

adverse claims, in which case Customer shall indemnify KLNG and

hold it harmless from all costs, damages, and liabilities arising

out of the failure of the Customer to remove such LNG and the

disposal of such LNG by sale by KLNG, including storage charges

under the applicable rate schedule.

In the event that, notwithstanding its exercise of due diligence,

Customer is inhibited from so withdrawing its LNG, KLNG shall pay

to Customer any net proceeds from KLNG's sale of the LNG. KLNG

shall use reasonable efforts to maximize the sales price of such

LNG.

In the event that Customer fails to exercise due diligence to

remove the LNG and therefore does not receive any net proceeds from

KLNG's sale of the LNG, KLNG shall file a disbursement report with

the Commission within thirty days of such sale proposing to credit

such proceeds to all other Customers holding a storage agreement

("Qualifying Customer") based on the ratio of the total charges

paid by each Qualifying Customer for storage service to the total

amount of such charges paid by all Qualifying Customers during the

month in which the sale of the LNG occurred. Such credits shall be

included on the Qualifying Customer's invoice for the month

following the date of the final Commission order approving KLNG's

disbursement report.

6.3 Liability. KLNG shall not be taken to have breached its

obligations under any rate schedule, service agreement, or these

General Terms and Conditions of this tariff by reason of any

Customer's failure to remove its LNG under this Section 6 or

KLNG's inability to dispose of such inventory if it has elected to

take title to such inventory.