Northern Border Pipeline Company

First Revised Volume No. 1

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Effective Date: 11/01/2003, Docket: RP00-403-002, Status: Suspended

Second Revised Sheet No. 252 Second Revised Sheet No. 252 : Suspended

Superseding: First Revised Sheet No. 252

GENERAL TERMS AND CONDITIONS

10. NOMINATIONS/CONFIRMATIONS/SCHEDULING/INTERRUPTION OF SERVICE

(Continued)

10.4 Capacity Allocation and Confirmation Process (Continued)

10.42 Allocation of Constrained Backhaul Capability

In those instances in which the aggregate quantity

of all validated nominations in a Backhaul direction

exceed the operational capability of Company's

system at a specific pipeline location or segment,

Company will allocate capacity to the validated

nominations at the constrained pipeline location in

the following order:

(a) Shipper imbalance.

(b) Nominations with a Forwardhaul flow direction

at the constrained pipeline location. Such

nominations will be initially allocated

capacity given that they potentially create

capacity at the constrained location.

(i) IPID Rate Schedule T-1/T-1R firm

transportation nominations.

Pro rata allocation of capacity within

this nomination class, if necessary, will

be based on Shipper's Maximum Receipt

Quantity.

If all available displacement capacity is

allocated to this nomination class,

Company will allocate Backhaul capacity

starting with Subsection 10.42(c) below.

(ii) Rate Schedule IT-1 interruptible

nominations feeding Rate Schedule

T-1/T-1R firm Forwardhaul nominations.

Such nomination class will be supported

by Company until October 31, 2003.