Bluewater Gas Storage, LLC

Original Volume No. 1

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Effective Date: 04/01/2008, Docket: RP08-249-000, Status: Effective

First Revised Sheet No. 130 First Revised Sheet No. 130 : Pending

Superseding: Original Sheet No. 130

GENERAL TERMS AND CONDITIONS

(Continued)

in the reverse order of priority set forth in Section 5.1. If

Firm Storage Service must be interrupted, interruption of service

to firm storage Customers shall be pro rata based on MDWQ, MDIQ,

MSQ, Maximum Park Quantity or Maximum Loan Quantity, as

applicable. Interruption of service to Interruptible Customers

under Rate Schedules ISS, IHBS, IP, IW, IL and IB and to firm

Customers utilizing Excess Injection Gas and/or Excess Withdrawal

Gas (pursuant to Section 2 of Rate Schedule FSS) shall be based on

the charges applicable to each Customer for the portion(s) of

service subject to interruption, with the transaction with the

lowest rate per dekatherm being interrupted first. Any ties shall

be interrupted on a pro rata basis.

(b) BLUEWATER shall provide Customer as much advance

notice of any interruption as is practicable under the

circumstances. Such notice shall be made by telephone, fax, e-

mail or via the Internet Web Site, as appropriate, and shall state

the reduced quantities of Gas that BLUEWATER estimates it will be

able to park, wheel, loan, store, inject, withdraw, receive or

deliver, as applicable, and the estimated duration of the

interruption.

(c) If interruption is required, BLUEWATER and Customer

shall cooperate to the extent possible in making adjustments to

receipts, deliveries, injections or withdrawals to minimize injury

to any property or facilities.

5.4 Interruption Liability. BLUEWATER shall not be

liable for any loss or damage to any person or property caused, in

whole or in part, by any interruption of service, except to the

extent caused solely by BLUEWATER's negligence or willful

misconduct.

5.5 Action Alerts and Operational Flow Orders.

(a) Circumstances Warranting Issuance: As specified in

this Section 5.5, BLUEWATER shall have the right to issue Action

Alerts or Operational Flow Orders ("OFOs") that require actions by

Customers in order (1) to alleviate conditions that threaten to

impair reliable service, (2) to maintain operations at the

pressures required to provide efficient and reliable services, (3)

to have adequate Gas supplies in the system to deliver on demand,

(4) to maintain service to all firm shippers and for all firm

services, and (5) to maintain the system in balance for the

foregoing purposes.

(b) Actions to be Taken to Avoid Issuance: BLUEWATER

shall, to the extent practicable, take all reasonable actions

necessary to avoid issuing an Action Alert or OFO. Such actions

shall include, in order of priority (1) working with point

operators to temporarily adjust receipts and/or deliveries at

relevant Point(s) of Receipt or Point(s) of Delivery, (2) working

with Customers and point operators to adjust scheduled flows on

the system, or (3) taking any other reasonable action designed to

mitigate the system problem. After taking all such reasonable

actions to avoid issuing an Action Alert or OFO, BLUEWATER will

have the right to issue Action Alerts or OFOs, if necessary, in

the circumstances described in Section 5.5(a).