Horizon Pipeline Company, L.L.C.

Original Volume No. 1

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Effective Date: 04/18/2002, Docket: CP00-129-001, Status: Effective

Original Sheet No. 115 Original Sheet No. 115 : Effective

GENERAL TERMS AND CONDITIONS

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(b) (1) If capacity remains after all gas properly

nominated and confirmed (to the extent nomination is required)

Horizon shall schedule the remaining interruptible services

(including authorized overrun). To the extent there is insufficient

capacity available to schedule all properly nominated and confirmed

interruptible services (including authorized overrun), Horizon

shall identify which nominated services are affected by the lack of

capacity and shall schedule all affected interruptible services in

accordance with the following sequence:

(i) Horizon shall schedule interruptible

services (including authorized overrun) based on the rate to be

paid, from highest to lowest daily rate, with service for which the

highest daily rate being paid is scheduled first. Any Shipper

paying the maximum rate applicable to its service (or revenue equal

to or greater than the applicable maximum rate pursuant to a

Negotiated Rate or Negotiated Rate Formula) shall be afforded

highest priority even if a Shipper which has agreed to a Negotiated

Rate or Negotiated Rate Formula is paying a higher unit rate.

(ii) In the event there is insufficient

capacity to schedule all services for which the same rate is to be

paid, Horizon shall allocate the available capacity pro rata based

on the confirmed nominated volume.

(2) In interrupting or curtailing interruptible

services (including authorized overrun), Horizon shall curtail in

accordance with the following priority sequence:

(i) Horizon shall interrupt services

(including authorized overrun) based on the rate being paid, from

lowest to highest daily rate, with service for which the lowest

daily rate being paid is interrupted first. Any Shipper paying the

maximum rate applicable to its service (or revenue equal to or

greater than the applicable maximum rate pursuant to a Negotiated

Rate or Negotiated Rate Formula) shall be afforded highest priority

even if a Shipper which has agreed to a Negotiated Rate or

Negotiated Rate Formula is paying a higher unit rate.

(ii) If there is capacity sufficient to

provide some but not all services, Horizon shall interrupt such

services from the lowest daily rate to the highest daily rate being

paid.