Guardian Pipeline, L.L.C.

Original Volume No. 1

Effective Date: 04/01/2008, Docket: RP08-227-000, Status: Effective

Original Sheet No. 174A Original Sheet No. 174A : Pending

GENERAL TERMS AND CONDITIONS

(Continued)

19. RESOLUTION OF IMBALANCES

then the absolute quantity of such variances will be considered an

imbalance for purposes of the monthly resolution of imbalances set

forth in Section 19 herein.

19.2 Imbalance Netting and Trading

All imbalances accrued by Shipper under each of its Service

Agreements will be combined to derive a "Net Monthly

Imbalance" (NMI) (in Dth) for purposes of the calculations

in Section 19.3. Shippers will be permitted to offset

imbalances across contracts and trade imbalances amongst

themselves when such imbalances have similar operational

impact on the Pipeline Facilities. All the Pipeline

Facilities will be considered one operational impact area

for purposes of this Section 19.2. If Transporter

determines and can document that such trading will cause a

loss of transportation revenue, Transporter will implement

an appropriate charge such that it is made whole for all

transportation charges. The following procedures will apply

to imbalance trading amongst Shippers.

(a) Shipper may authorize contract imbalances under

Shipper's Service Agreements to be posted for trading.

(b) Authorizations to post imbalances that are received by

Transporter by 11:45 a.m. shall be effective by

8:00 a.m. CCT the next Business Day. Imbalances

authorized for posting shall be posted on or before

the ninth (9th) Business Day of the Month.