Colorado Interstate Gas Company

First Revised Volume No. 1

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Effective Date: 06/01/2010, Docket: RP10-689-000, Status: Effective

Original Sheet No. 281L Original Sheet No. 281L

GENERAL TERMS AND CONDITIONS

(Continued)

6.2 (Continued)

(k) Confirmation Balancing. During each Nomination cycle,

Transporter will match the Shipper's Nomination with the related

Confirmations from the upstream and downstream Interconnecting

Parties. Transporter will treat the lesser of the Nomination and

Confirmations at the related Points of Receipt and Points of

Delivery as the Shipper's Scheduled Quantity pursuant to Section

6.2. To the extent that Confirmations are received by

Transporter in time to complete the Confirmation Balancing

process at or prior to the Confirmation deadline, no scheduled

imbalance will be created for the Shipper's Nominated

transaction. A Shipper may elect to exempt its Nominations from

the confirmation balancing process by notifying Transporter prior

to the deadline for the Timely Nomination Cycle for the effective

day of the exemption. A Shipper's confirmation balancing

election will remain in effect until changed by the Shipper.

However, a Shipper's confirmation balancing exemption may be

suspended when imbalance activity adversely affects Transporter's

ability to provide service to others, adversely affects safe

operations of Transporter's system and/or a Strained Operating

Condition or Critical Condition is in effect.

Upon the determination that exemptions from the confirmation

balancing process cannot be supported due to operational reasons,

Transporter shall post a notice on its EBB prior to the Evening

Nomination Cycle nomination deadline to be effective the next Gas

Day. The notice will indicate the circumstances requiring the

suspension, the system impact of the suspension (e.g. the

locations or pipeline segments for which the suspension is

effective) and an estimated duration of the suspension.

Transporter shall post a related notice when the shippers'

elections to be exempted from the confirmation balancing can be

reinstated.