Colorado Interstate Gas Company

First Revised Volume No. 1

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

Third Revised Sheet No. 347 Third Revised Sheet No. 347

Superseding: Sub Second Revised Sheet No. 347

GENERAL TERMS AND CONDITIONS

(Continued)

10.1 continued

(e) Imbalances with Other Parties. Transporter shall not be

responsible for eliminating any imbalances between Shipper and

any third Party, including imbalances between local

distribution companies and/or specific end users. Furthermore,

Transporter shall not be obligated to deviate from its standard

operating and accounting procedures in order to reduce or

eliminate any such imbalances.

(f) Balancing Upon Termination. Upon termination of the Agreement,

any imbalance shall be eliminated through the procedures set

forth in this Section 10.

Locations For Which Electronic Measurement Is Not Available.

When measurement information is not available at a location at

the time allocations are performed, quantities will be

allocated as Nominated. If measurement data is received on or

before the 5th Business Day of the Month following flow, daily

quantities will be reallocated pursuant to the appropriate

Predetermined Allocation procedure for the location.

Measurement data which is received after the 5th Business Day

of the Month will be used to retroactively allocate quantities

at the location. Imbalances resulting from such retroactive

allocations will be reflected as a beginning-of-Month imbalance

for the next Month on the appropriate Shipper Agreement(s).

(g) Transporter shall accommodate third-Party Imbalance Management

Services on a non-discriminatory basis as long as these

services comply with applicable NAESB Standards and do not

adversely impact CIG's system operations. Criteria for third

Party services will include compliance with the NAESB

Nomination and Confirmation Time Lines, and meeting Transporter

credit requirements appropriate for the quantity of Shipper

Imbalance Gas for which such third Party may be responsible.

10.2 Imbalance Adjustments.

(a) Imbalance Transfers. At the end of each Month, Transporter

shall, unless otherwise agreed, review each Shipper's

Agreements and will transfer imbalances among such Agreements

to provide the Shipper with the lowest possible imbalance on

all Agreements. Transporter will first transfer imbalances

among a Shipper's Agreements under the same Rate Schedule.