El Paso Natural Gas Company

Second Revised Volume No. 1A

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

Fifth Revised Sheet No. 301 Fifth Revised Sheet No. 301

Superseding: Fourth Revised Sheet No. 301

TRANSPORTATION GENERAL TERMS AND CONDITIONS

(Continued)

11. SYSTEM OPERATIONAL PARAMETERS

11.1Strained and Critial Operating Condition Procedures (Continued)

(b) Critical Operating Condition (Continued)

(vi) Netting

(A) Transporter will allow a Shipper to net Delivery Point

daily imbalances that occurred during the COC among the

Shipper's various TSAs delivering to the affected COC

area subject to the following conditions:

1. Shipper attempted to resolve such daily Delivery

Point imbalances by: 1) submitting corrective

nominations which were subsequently confirmed in

the intraday scheduling cycles and/or 2)

requesting a flow day diversion pursuant to

Section 6.5 of the GT&C, and

2. Transporter's review after the COC event indicates

that such netting did not allow for a greater risk

to have been placed on any other Shipper or to the

integrity of Transporter's system.

(B) Transporter will allow a Shipper to net Receipt Point

daily imbalances that occurred during the COC among the

Shipper's various TSAs within the affected COC area

subject to the following conditions:

1. Shipper attempted to resolve such daily Receipt

Point imbalances by submitting corrective

nominations which were subsequently confirmed in

the intraday scheduling cycles.

2. Transporter's review after the COC event indicates

that such netting did not allow for a greater risk

to have been placed on any other Shipper or to the

integrity of Transporter's system.