Eastern Shore Natural Gas Company

Second Revised Volume No. 1

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Effective Date: 11/01/1997, Docket: CP96-128-004, Status: Effective

Original Sheet No. 100 Original Sheet No. 100 : Effective

EASTERN SHORE NATURAL GAS COMPANY

GENERAL TERMS AND CONDITIONS

(Continued)

2. Quality

(a) The gas received by Seller for Buyer's account shall be

natural gas conforming to the quality specifications as

provided for in the General Terms and Conditions of the

FERC gas tariffs of the immediately upstream pipeline(s)

on which the gas was transported.

(b) The gas delivered by Seller to any Point of Delivery

shall be natural gas conforming to the least stringent of

the quality specifications contained in the respective

General Terms and Conditions of the FERC gas tariffs of

the upstream pipeline(s) that interconnect with Seller's

system.

(c) Seller may perform odorization, or cause to have

odorization to be performed, prior to delivery. Such

odorization of gas shall not be construed as interfering

with the merchantability of gas delivered. Such

odorization of the gas by Seller, unless otherwise

mutually agreed by Buyer and Seller, shall be for the

purpose of detection of the gas only during the time it

is in possession of Seller, prior to delivery.

(d) If the natural gas received from Buyer or Buyer's

supplier by Seller for delivery shall fail at any time to

conform to any of the quality specifications required by

Section 2(a) of these General Terms and Conditions or

might otherwise interfere with or adversely affect the

normal operation of the facilities of Seller or Seller's

other Buyers, then upon notification by Seller to Buyer,

Seller may, at its option, refuse to accept such gas

pending correction by Buyer or Buyer's supplier. In

addition, Buyer shall be responsible for, and shall

indemnify and hold Seller harmless from, any damages or

liability for injury to or death of any persons, or

damage to property of Seller or of third parties, or any

other costs, liabilities and expenses incurred by Seller,

as a result of such receipt or delivery of natural gas of

non-conforming quality.