Midwestern Gas Transmission Company

SECOND REVISED VOLUME NO. 1

Effective Date: 09/01/1993, Docket: RS92- 41-004, Status: Effective

Substitute Original Sheet No. 138 Substitute Original Sheet No. 138 : Effective

BALANCING AGREEMENT

(For Use at Receipt Points)

Balancing Party shall reconfirm any modification to such confirmations or cause such

modification to be reconfirmed prior to the commencement of the revised service.

Transporter shall notify Balancing Party or Balancing Party's designee of any

problems regarding the scheduling of gas in accordance with confirmations hereunder

within one business day after each daily confirmation and within four business days

after the end of the calendar month for an aggregate of all confirmations for a

calendar month unless mutually agreed to otherwise. Balancing Party shall notify

Transporter or cause Transporter to be notified of any errors in the Scheduled

Quantities within one business day of receipt of such information from Transporter.

If Balancing party fails to confirm the quantities to be transported at any Receipt

Point(s) in accordance with the above, and such failure continues for two business

days or more (whether or not such days are consecutive) after 24 hour written notice

to the Balancing Party by Transporter for each occurrence of Balancing Party's

failure to confirm, then the affected Receipt point(s) shall be deleted from Exhibit

A upon written notice from Transporter at the end of that calendar month.

2.2 Allocations Based on Scheduled Quantities - The Parties intend that the quantity

actually delivered at the Receipt Point(s) will equal the Scheduled Quantities.

Balancing Party shall use all reasonable efforts to ensure that the quantities

actually received at the Receipt Point(s) equal the Scheduled Quantities. Unless

prohibited by applicable law or regulation, all transportation services provided by

Transporter shall be allocated each day in accordance with Rate Schedule LMS-PA of

Transporter's Tariff or by such method as may be mutually agreed to by both Parties.

2.3 Allocation of Variances - The difference on any day between the Scheduled Quantities

at all Receipt Points and the total actual quantity received at the Receipt Point(s)

shall be the Daily Variance and shall be allocated to this Agreement and resolved

pursuant to the provisions of Rate Schedule LMS-PA. The difference between the sum

of the Scheduled Quantities during a calendar month and the total actual quantity

received at the Receipt Point(s), during the calendar month shall be the Monthly

Operational Imbalance. Any Monthly Operational Imbalances will be corrected in

accordance with Article III.

2.4 Reports on Actual Deliveries - Should Transporter not have the ability to monitor

actual deliveries at any Receipt Point(s) on a daily basis, Balancing Party shall

provide to Transporter the best available information compiled on a daily basis