Kern River Gas Transmission Company

Second Revised Volume No. 1

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Effective Date: 07/01/2000, Docket: RP00-288-000, Status: Effective

Original Sheet No. 101 Original Sheet No. 101 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

8. POSSESSION OF GAS AND RESPONSIBILITY

As between Transporter and Shipper, Shipper will be deemed to be in

control and possession of the Gas prior to Shipper's delivery of the Gas

to Transporter for Transportation at the Receipt Point(s). Transporter

will be deemed to be in control and possession of the Gas following

receipt of the Gas from Shipper at the Receipt Point(s) and prior to

delivery of the Thermally Equivalent Gas Volumes (less any requisite

fuel and loss reimbursement) to Shipper at the Delivery Point(s), after

which Shipper will be deemed to be in control and possession.

Shipper will have no responsibility with respect to any Gas after it has

been delivered to Transporter at the Receipt Point(s) on account of

anything which may be done, happen or arise with respect to said Gas,

prior to the redelivery of the Thermally Equivalent Volumes (less any

requisite fuel and loss reimbursement) to Shipper at the Delivery

Point(s). Transporter will have no responsibility with respect to said

Gas prior to its delivery to Transporter at the Receipt Point(s), after

its delivery to Shipper at the Delivery Point(s), or on account of

anything which may be done, happen or arise with respect to said Gas

prior to such receipt or after such delivery.