Mojave Pipeline Company

Second Revised Volume No. 1

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Effective Date: 03/22/2010, Docket: RP10-330-001, Status: Pending

First Revised Sheet No. 280 First Revised Sheet No. 280

Superseding: Original Sheet No. 280

GENERAL TERMS AND CONDITIONS

(Continued)

37. CAPACITY RESERVED FOR EXPANSION PROJECTS.

37.1 Transporter may elect to reserve for future expansion projects,

any unsubscribed capacity or capacity under expiring or

terminating TSAs where such TSAs do not have a right of first

refusal (ROFR) or Shipper does not exercise its ROFR.

(a) Capacity may be reserved up to one year prior to Transporter

filing for certificate authority for construction of proposed

expansion facilities, and thereafter until all expansion

facilities related to the certificate filing are placed into

service.

(b) Transporter may only reserve capacity for a future expansion

project for which an open season has been or will be held

within one year of the date that Transporter posts such

capacity as being reserved. Transporter will post said

capacity for at least five days before capacity can be

reserved. Transporter will not, absent Commission approval,

accept advance payments to reserve capacity under this Section

37.1.

(c) If Transporter elects to reserve capacity, it will notify

Shippers of its intent as part of its posting of capacity on

its EBB, and will post and award all available capacity before

reserving such capacity for the expansion in accordance with

the tariff requirements of the General Terms and Conditions

Section 34. Transporter's posting for reserved capacity for

future expansion projects shall include the following

information: (i) a description of the project for which the

capacity will be reserved; (ii) the total quantity of capacity

to be reserved; (iii) the location of the proposed reserved

capacity on the pipeline system; (iv) whether, and if so when,

Transporter anticipates that an open season for the capacity

will be held or the reserved capacity will otherwise be posted

for bids; (v) the projected in-service date of the new

facilities; and (vi) on an ongoing basis, how much of the

reserved capacity has been sold on a limited-term basis that

would otherwise be eligible for a ROFR. To the extent

Transporter has not already solicited turnback capacity, the

posting for reserved capacity shall also include a non-binding

solicitation for turnback capacity to serve the expansion

project, provided that Transporter shall post the non-binding

solicitation for turnback capacity no later than 90 Days after

the close of the expansion project open season specifying the

minimum term for a response to solicitation. Transporter

shall make reasonable efforts to update the posting up to the

in-service date of the project to reflect any material project

changes.