Midwestern Gas Transmission Company

SECOND REVISED VOLUME NO. 1

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Effective Date: 06/01/1997, Docket: RP97- 59-002, Status: Effective

First Revised Sheet No. 93 First Revised Sheet No. 93 : Effective

Superseding: Original Sheet No. 93

GENERAL TERMS AND CONDITIONS

c) Bidding will be an iterative process in that a Bidder may submit any number

of Bids during the Bidding Period; provided that each new submission of a

Bid effects the withdrawal of any previous Bid submitted by Bidder such that

a Bidder cannot have more than one Bid in contention for the same capacity

at one time. If a Bidder withdraws its Bid, resubmitting a new one, such

new Bid must be at a higher rate. A Bidder retains the right to withdraw

its Bid, by resubmitting a new bid or with written or electronic notice of

withdrawal to Transporter, until the close of the Bidding Period at which

time such Bid shall become binding.

d) Bids must contain the information on the Bid Form set forth in this Tariff,

in particular a Bid must state:

i) the identity of the Bidder (which will be concealed during the Bidding

Period);

ii) the FT-A Agreement number of the Releasing Shipper and Release Request

number to which the Bid relates;

iii) the bid rate(s) that the Bidder is willing to pay for the released

transportation rights, which must be no less that any minimum bid

rate(s) specified in the Release Request;

iv) the maximum daily quantity (MDQ) for the Bid, which must equate to the

maximum Release Quantity specified in the Release Request or be no

less than any minimum Release Quantity specified in the Release

Request;

v) the term for which the Bidder wishes to obtain the transportation

rights, which must be the same as the term specified in the Release

Request, or be no less than any minimum term specified in the Release

Request; and

vi) whether the bid is contingent, and if so, the basis of the

contingency.

6. Determination of a Successful Bidder for Transportation Rights

The determination of the successful Bidder shall be effected in accordance with

the following procedures:

a) Bid Evaluation Methodologies: The Releasing Shipper shall specify in the

Release Request one of the following bid evaluation methodologies: (i)

highest rate, (ii) net revenue, or (iii) present value. A Release Request

submitted specifying one of these methods shall be accorded the timeline

treatment described in Section 8. However, the Releasing Shipper may choose

another bid evaluation method and this request shall be accorded the

timeline treatment described in Section 8. Transporter shall apply the

method chosen to determine the successful bidders as mandated thereby,

provided that the volumes released to each successful bidder shall be no

less than one dekatherm. If the Releasing Shipper desires to award more

than one winner, the Releasing Shipper should allow for the acceptance of

partial TQ bids.