El Paso Natural Gas Company

Second Revised Volume No. 1A

Effective Date: 04/01/2010, Docket: RP10-454-001, Status: Effective

Third Revised Sheet No. 277 Third Revised Sheet No. 277

Superseding: Second Revised Sheet No. 277

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

9. CAPACITY RELEASE PROGRAM (Continued)

9.3 Notice by Shipper Electing to Release Capacity (Continued)

(i) whether the Releasing Shipper desires to release capacity on

the basis of a volumetric reservation charge and, if so,

whether bids shall be stated in dollars or as a percentage of

Transporter's maximum reservation charge(s) and reservation

surcharge(s) in accordance with Section 9.14, and if there is

a volumetric commitment, the commitment stated as a

percentage of the capacity awarded;

(j) which Option of Section 9.9 shall be used to determine the

highest bidder and, if Option 3 is selected, the criteria by

which bids are to be evaluated; whatever evaluation option

the Releasing Shipper chooses, it may establish and post

objective, non-discriminatory minimum conditions for an

acceptable bid, subject to the provisions of Section 9.3(q);

(k) the weight for each factor if bids will be evaluated using

the Option 1 weighted composite bid method;

(l) the method by which ties will be broken;

(m) whether the Releasing Shipper wants Transporter to market its

released capacity in accordance with Section 9.15;

(n) the duration of the open season and of the matching period if

longer than the minimums specified in Section 9.7;

(o) the date and time the notice is posted on the EBB;

(p) whether the Releasing Shipper is willing to accept contingent

bids that extend beyond the open season and, if so, any non-

discriminatory terms and conditions applicable to such

contingencies including the date by which such contingency

must be satisfied (which shall be no later than 3:15 p.m. CCT

on the Day prior to scheduling) and whether, or for what time

period, the next highest bidder will be obligated to acquire

the capacity should the winning contingent bidder be unable

to satisfy the contingency specified in its bid;