Guardian Pipeline, L.L.C.

Original Volume No. 1

Effective Date: 08/01/2010, Docket: RP10-926-000, Status: Effective

First Revised Sheet No. 207 First Revised Sheet No. 207

Superseding: Original Sheet No. 207

GENERAL TERMS AND CONDITIONS

(Continued)

27. POLICY WITH RESPECT TO FEES AND CONSTRUCTION OF LATERAL, DELIVERY

AND RECEIPT FACILITIES (Continued)

Shipper under Transporter's FERC Gas Tariff. In the event

Transporter agrees to own, construct or install and/or

operate facilities to perform services requested including,

but not limited to laterals, looping, and/or compression

facilities, Transporter shall do so on a not unduly

discriminatory basis, provided Shipper agrees in writing to

reimburse or compensate Transporter for one hundred percent

(100%) of Transporter's construction, acquisition,

installation and/or operating costs (including any

associated tax effects) through one or a combination of the

following payment methods:

(a) Payment of an up-front contribution in aid of

construction, acquisition and/or installation;

(b) Payment of a separately stated reservation charge for

the new facilities under a firm transportation

contract for the use of those facilities; and/or

incremental quantity of mainline firm transportation

service.

Shippers choosing payment methods under Section 27.2(b) or

Section 27.2(c) shall be required to enter into new or

incremental firm transportation service agreements for

sufficient entitlement and duration to produce an

incremental net revenue stream providing a present value

greater than or equal to Transporter's construction,

acquisition, installation and/or operating costs (including

any associated tax effects). Shipper shall be required to

demonstrate creditworthiness as specified in Section 10 of

Transporter's FERC Gas Tariff to support such firm

transportation contracts.