Discovery Gas Transmission LLC

Original Volume No. 1

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Effective Date: 09/01/2000, Docket: RP00-423-001, Status: Effective

Original Sheet No. 167A Original Sheet No. 167A : Effective

12.3 RIGHT OF FIRST REFUSAL PROCEDURES

a. Shipper Notification - Transporter will notify

shipper in writing at least ninety (90) Days prior

to the expiration of the term of an Effective FT-1

Service Agreement or the end of a Contract Year

under an FT-2 Service Agreement. Shipper must

notify Transporter in writing at least seventy-five

(75) Days prior to the expiration of the term

whether it wishes to retain the option to exercise

its right of first refusal for all or a specified

portion of the capacity. If Shipper has notified

Transporter of its intent to exercise such right,

Transporter shall then notify Shipper of the best

acceptable bid received by Transporter on (1)

Business Day after the bid deadline Day for capacity

posted under the procedures of this Section 12.

Shipper shall then have the right to retain service

under the expiring FT-1 Service Agreement, or to