Blue Lake Gas Storage Company

First Revised Volume No. 1

Effective Date: 08/01/1993, Docket: RS92- 93-001, Status: Effective

Original Sheet No. 149 Original Sheet No. 149 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

timely nomination for service for a Month, pursuant to

these General Terms and Conditions, for such service,

then such Customer's priority for such service for that

Month, shall be changed, on the first Day of that Month,

to a ranking below that of all other Customers who have

made timely nominations for service.

10.3 Overrun Service

All requests for Overrun Service under Rate Schedules FS or IS

shall rank in priority below requests for service which are

within the Customers' respective Maximum Storage Quantities.

If some, but not all, overrun service requests can be

performed, the service shall be allocated pro rata to the

Maximum Storage Quantities of the Customers requesting the

overrun service.

10.4 Communications

In offering service from time to time pursuant to this Section

10, to a Customer under an Agreement, Seller may deem any

offer made by telephone or other instant communication method

to have been refused if acceptance thereof is not communicated

to Seller within six (6) normal working hours after such

offer, or as otherwise agreed to by the parties.

11. MISCELLANEOUS

11.1 Responsibility for Gas. Upon receipt of Gas to be stored,

Seller shall be in exclusive control and possession of such

Gas and responsible for any loss thereof, or any and all

injury or damage caused thereby, until the Equivalent

Quantities of Gas have been delivered for the account of

Customer after which Customer shall be in exclusive control

and possession of such Gas and responsible for any and all

injury or damage caused thereby.

11.2 Warranty. Customer or Replacement Customer warrants for

itself, its successors, and assigns, that it has, or will

have, at the time of delivery of the Gas for injection

hereunder good title to such Gas and/or good right to cause

the Gas to be delivered to Seller for Storage. Customer or

Replacement Customer warrants for itself, its successors, and

assigns, that the Gas it warrants hereunder shall be free and

clear of all liens, encumbrances or claims, that it will