ANR Pipeline Company

Second Revised Volume No. 1

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Effective Date: 11/01/2006, Docket: RP06-613-000, Status: Effective

Eighth Revised Sheet No. 122 Eighth Revised Sheet No. 122 : Effective

Superseding: Sub Seventh Revised Sheet No. 122

GENERAL TERMS AND CONDITIONS

(Continued)

(a) Subject to the provisions of Section 10.2(b) below, if, for any Day,

Transporter determines that the capacity of its system, or portion(s)

thereof, is insufficient to serve all transportation requirements scheduled

for such Day, or to accept the quantities of Gas tendered, capacity which

requires curtailment shall be curtailed so as to provide the service which is

feasible, in the order prescribed for scheduling, above; provided, however,

that once capacity is scheduled, firm deliveries at Secondary Receipt and

Delivery Points will not have a lower priority than firm deliveries at

Primary Receipt and Delivery Points; provided, further, that to enable prompt

action in an emergency situation where capacity is insufficient, Transporter

shall have the authority to take all necessary and appropriate actions, as

then may appear necessary, to preserve the operational integrity of its

system. Transporter shall not impose any Cashout Price in excess of one

hundred percent (100%) with respect to any quantities out of balance that are

attributable to implementation of this emergency situation procedure.

Transporter shall notify Shippers of the existence of any such emergency

situation by use of Electronic Communication, as soon as is reasonably

practicable, and shall include with such notification the information set

forth in Section 8.7 of these General Terms and Conditions.

(b) If, for any Day, due to the failure of any FTS-4 Shipper to comply with its MFO

obligations under Rate Schedule FTS-4, Transporter does not have sufficient

capacity to provide FTS-4L service scheduled for such Day, Transporter shall

curtail the affected FTS-4L service, on a pro-rata basis based on scheduled

quantities.

10.3 Segmentation of Capacity.

(a) Any Shipper, or Replacement Shipper, receiving firm Transportation Service

may segment its capacity by nominating, either on a forward haul or backhaul

basis, service at any Receipt Point and Delivery Point within the Rate

Segments traversed by the Primary Route specified in its Service Agreement,

up to MDQ, provided that: (1) the segmentation nomination is operationally

feasible; (2) the total of the segmentation nominations by the original

Shipper or a combination of Releasing and Replacement Shippers on any

overlapping segment, or at any common point used by multiple forward haul

segments, does not exceed the firm entitlements of the underlying segmented

Service Agreement on a firm basis; (3) capacity exists at the applicable

Receipt and Delivery Points subject to the segmentation nomination (and with

respect to an FTS-4L Shipper, Rate Schedule FTS-4 capacity exists at the

applicable Receipt and Delivery Points subject to the segmentation

nomination); and (4) capacity segmentation by any FTS-4 Shipper does not

affect Transporter's service obligations under Rate Schedule FTS-4L. For

purposes of determining the Primary Route of a Rate Schedule ETS Shipper

desiring to segment its capacity, for the segmented capacity such Shipper