Michigan Gas Storage Company

First Revised Volume No 1

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Effective Date: 11/01/1997, Docket: RP97-152-004, Status: Effective

Third Revised Sheet No. 41 Third Revised Sheet No. 41 : Superseded

Superseding: Second Revised Sheet No. 41

GENERAL TERMS AND CONDITONS

(continued)

(ii) The Actual Maximum Daily Withdrawal Quantity (AMDWQ)

for under Rate Schedules FS and IS is subject to the

following operational constraints:

If the actual quantity in Storage is greater than 25% of the MSQ,

then the AMDWQ shall be equal to the MDWQ.

If the actual quantity in Storage is less than or equal to 25% of

the MSQ, but greater than 10% of the MSQ, then the AMDWQ shall be

equal to 3% of the actual quantity of Gas in Storage.

If the actual quantity in Storage is equal to or less than 10% of

the MSQ, then the AMDWQ shall be equal to .25% of the MSQ.

3.2 Treatment of Gas

Transporter reserves the right to subject or permit the subjection

of the Gas to be transported hereunder to compression, cooling,

cleaning, or other processes to such an extent as may be required

in Transporter's sole opinion for its transmission from the Point

of Receipt to the Point of Delivery. Nothing contained herein

shall be construed so as to prevent the use of conventional

separation equipment, including low temperature wellhead

separation units, prior to the delivery of Gas to Transporter

hereunder.

3.3 Nominations For Next Day Service

Shipper shall furnish Transporter's Gas Control Coordinator with a

nomination by 11:30 AM Central Clock Time showing the estimated

daily quantities of Gas it desires Transporter to transport and/or

store during such Day, and any subsequent days. Such nomination

may be made in writing, by facsimile, or such other means as may

be posted on Transporter's EBB.

All nominations have a prospective effect only unless

otherwise agreed to between Transporter and Shipper, and

should include Shipper defined begin dates and end dates,

and shall have roll-over options. Specifically, Shippers

should have the ability to nominate for several days,

months, or years, provided the nomination begin and end

dates are within the term of Shipper's contract. All

nominations should be considered original nominations and

should be replaced to be changed. When a nomination for

a date range is received, each day within that range is

considered an original nomination. When a subsequent

nomination is received for one or more days within that

range, the previous nomination is superseded by the

subsequent nomination only to the extent of the days

specified. The days of the previous nomination outside

the range of the subsequent nomination are unaffected.

Overrun quantities shall be requested on a separate

transaction, and shall be subject to the limitations set

forth in Section 3.7. If Shipper fails to provide a

nomination, Transporter shall deem Shipper's nomination

to be zero.

The timeline for nominations in Central Clock Time for

service beginning on the next Gas Day shall be as

follows:

11:30 AM - Nomination leaves control of Shipper

11:45 AM - Transporter receives nomination

12:00 PM - Transporter provides quick response for validity of

data elements

3:30 PM - Receipt of completed confirmations by Transporter from

upstream and downstream connected parties

4:30 PM - Scheduled quantities made available by Transporter for

receipt by Shipper

Unless otherwise advised, Shipper's nomination is deemed to be

confirmed.