Millennium Pipeline Company, L. L. C.

Original Volume No. 1

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Effective Date: 07/01/2009, Docket: RP09-633-000, Status: Effective

First Revised Sheet No. 119 First Revised Sheet No. 119

Superseding: Original Sheet No. 119

GENERAL TERMS AND CONDITIONS

(Continued)

7. CAPACITY ALLOCATION

This Section sets forth the manner in which Transporter shall allocate

capacity among its Rate Schedules when it has received nominations from

Shippers that exceed available capacity.

7.1 General Priority. Transporter shall allocate capacity on its system in

the following order commencing with the highest priority:

(a) capacity at delivery points;

(b) capacity at any point between the receipt points and delivery

points that is restricted ("internal constraint point"), beginning with the

internal constraint point closest to the delivery point if capacity at more

than one internal point is restricted; and

(c) capacity at receipt points.

7.2 Transportation Delivery Points. For transportation capacity at delivery

points under Rate Schedules FT-1, FT-2, HT-1, BH-1 (if scheduled pursuant to

Section 2(c) of Rate Schedule BH-1), IT-1 and PALS of this Tariff,

Transporter shall allocate capacity sequentially among the Rate Schedule

priority groupings and within those Rate Schedule priority groupings, in the

manner set forth below:

(a) Rate Schedules FT-1, FT-2, HT-1 and BH-1. For deliveries to

primary delivery points under Rate Schedules FT-1, FT-2, HT-1 and BH-1, upon

the occurrence of a force majeure event or the existence of a condition

identified in Section 16 (Interruptions of Service) of the General Terms and

Conditions, Transporter shall allocate capacity among those Shippers on a pro

rata basis, based upon those Shippers' respective levels of Transportation

Demand.

(b) Priority Secondary Delivery Points Under Rate Schedules FT-1, FT-

2, HT-1 and BH-1. For deliveries to secondary delivery points within the

Primary Path under Rate Schedules FT-1, FT-2, HT-1 and BH-1, Transporter

shall allocate capacity among Shippers on a pro rata basis based upon those

Shippers' respective nominated quantities. The priority for deliveries to

secondary delivery points within the Primary Path shall apply where Shipper's

aggregate deliveries at primary and secondary delivery points do not exceed

Shipper's Transportation Demand.