Midwestern Gas Transmission Company

Third Revised Volume No. 1

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Effective Date: 10/01/2006, Docket: RP06-583-000, Status: Effective

Third Revised Sheet No. 81 Third Revised Sheet No. 81 : Effective

Superseding: Second Revised Sheet No. 81

RATE SCHEDULE PAL

PARK AND LOAN SERVICE

6. FAILURE BY BUYER TO RESPOND (Continued)

6.1 Park Service (Continued)

(c) No penalty will be assessed, pursuant to this Subsection, on a remaining

balance if the Buyer-submitted nominations related to that balance to

clear the PAL transaction cannot be scheduled by the Company, through no

fault of the Buyer.

(d) In the event that parked quantities of natural gas become the property of

Company, Company shall dispose of such excess gas pursuant to

Subsection 22.2 of the General Terms as Conditions. Company shall

categorize the proceeds of an excess-parked gas sale, net of incremental

administrative charges, as PAL penalties.

6.2 Loan Service

(a) In the event any of the following occurs, loaned quantities shall be sold

to Buyer at 150 percent of the weekly average spot price at the Midpoint

Chicago LDC Citygate as reported in Gas Daily during the term of the

agreed upon transaction as set forth in the associated Exhibit A to a PAL

Agreement:

(i) Company's prevailing operations require Company to notify Buyer

that deliveries of Buyer's loaned quantities must be suspended or

be reduced, and Buyer fails to comply with such notification;

and/or

(ii) Company's prevailing operations require Company to notify Buyer

that all or part of Buyer's loaned quantities must be returned to

Company, and Buyer fails to comply within the specified time frame;

and/or

(iii) Subject to Subsection 2.4 herein, the PAL account reflects a

balance at the termination date of the associated Exhibit A to an

executed PAL Agreement.

(b) If, pursuant to Subsection 6.2(a)(i), Company notifies Buyer that

deliveries of Buyer's loaned quantities must be suspended or be reduced,

only those quantities loaned in violation of the notification shall be

sold to Buyer at 150 percent of the highest daily Midpoint Chicago LDC

Citygate price as reported in Gas Daily during the term of the agreed upon

transaction as set forth in the associated Exhibit A to a PAL Agreement.

(c) No penalty will be assessed, pursuant to this Subsection, on a remaining

balance if the Buyer-submitted nominations related to that balance to

clear the PAL transaction cannot be scheduled by the Company, through no

fault of the Buyer.