East Tennessee Natural Gas, LLC

Third Revised Volume No. 1

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Effective Date: 03/01/2009, Docket: RP08-487-002, Status: Effective

Substitute Original Sheet No. 315B.04 Substitute Original Sheet No. 315B.04

GENERAL TERMS AND CONDITIONS (Continued)

5.8 Allocation of Firm Capacity (continued)

(b) Expansion Capacity

(1) Transporter shall post notices pursuant to this

Section 5.8(b) for solicitation of bids in an open

season for significant mainline or lateral capacity

expansion projects on its system; provided, however,

that an open season held pursuant to this Section

5.8(b) shall not be required for capacity attributable

solely to facilities which Transporter is willing to

construct pursuant to Transporter's blanket

authorization ("blanket facility capacity"), such

blanket facility capacity shall rather be available

for contracting pursuant to Section 5.8(a) above.

(2) The open season notice will identify:

(a) the location of the capacity or proposed

expansion;

(b) the total quantity, unless such quantity is not

known or knowable;

(c) whether Transporter will offer rate incentives

in exchange for an early commitment to the

expansion project and, if so, a description of

the circumstance(s) under which such incentives

would be offered;

(d) the methodology to be used by Transporter in

selecting the best bid(s) in the event that

Transporter is unwilling or unable to award

capacity pursuant to all bids tendered to

Transporter;

(e) the date capacity is proposed to be available;

and

(f) the dates on which the open season begins and

ends.