Mojave Pipeline Company

Second Revised Volume No. 1

Effective Date: 06/03/2010, Docket: RP10-706-000, Status: Effective

Third Revised Sheet No. 238 Third Revised Sheet No. 238

Superseding: Second Revised Sheet No. 238

GENERAL TERMS AND CONDITIONS

(Continued)

9. Capacity Release Program (Continued)

9.3 Prearranged Releases. Prearranged releases shall not be subject to

the competitive bidding procedures if the release is: (1) for more

than one year at the maximum reservation charge(s) and reservation

surcharge(s); (2) for any period of thirty-one days or less,

pursuant to Section 9.11 of the General Terms and Conditions; (3)

to an asset manager as defined by FERC regulations at 18 C.F.R.

284.8; or (4) to a marketer participating in a state-regulated

retail access program as defined by FERC regulations at 18 C.F.R.

284.8.

(a) A Shipper electing to release capacity on a prearranged basis

not subject to competitive bidding procedures must post the

notice of release on Transporter's EBB or submit its notice via

an EDI upload utilizing the data sets included in the NAESB

Standards pursuant to the timeline for non-biddable releases in

Section 9.1(c).

(b) Releasing Shipper shall have the right to tender an offer for

all or a portion of the released capacity accepted by a

potential Replacement Shipper otherwise satisfying the terms

of this Tariff who is found by the Releasing Shipper.

Releasing Shipper shall include with the offer the name of

the prearranged Replacement Shipper as well as all of the

other information required by Section 9.1 hereof. The offer

to release shall be posted for the minimum time periods

specified in Section 9.1 of the General Terms and Conditions.

Such potential Replacement Shipper found by the Releasing

Shipper shall have the right of first refusal, exercisable

within the timeline provided under Section 9.1 of this

section, to match the highest price of any bid for such

capacity, based on the criteria of the prearranged

transaction.

Shipper matches the highest bid, capacity shall be allocated

to that Replacement Shipper. In the event a potential

Replacement Shipper found by the Releasing Shipper agrees to

pay the maximum rate applicable to the released capacity for

the duration of the release and otherwise agrees to the terms

and conditions of the offer, then such offer to release shall

not be subject to the competitive bidding procedure, unless

the Releasing Shipper requests otherwise.