Northern Border Pipeline Company

First Revised Volume No. 1

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

Fifth Revised Sheet No. 268E Fifth Revised Sheet No. 268E : Suspended

Superseding: Fourth Revised Sheet No. 268E

GENERAL TERMS AND CONDITIONS

23. FLOWING GAS (Continued)

23.3 Shipper Imbalances (Continued)

23.32 Shipper Imbalance Resolution (Continued)

at the Chicago, Illinois daily price for the

days when the Shipper Imbalance occurs. Any

penalty amounts received by Company in the

Production Month for settlement of Underdelivery

Shipper Imbalances will be credited to all

Shippers. Net penalty revenues shall be

credited to all Shippers in the Billing Month

for the corresponding Production Month in which

the penalty was incurred. Such credit shall be

allocated on the Dekatherm-miles transported for

the Production Month in which the penalty

occurred. The credit shall be revenue net of

costs received above the 100 percent level of

the daily price as referenced in this paragraph.

(f) Overdelivery Retention

If a noticed Shipper Imbalance has not been

resolved during the resolution period, and the

remaining Shipper Imbalance reflects an

Overdelivery, Company shall retain the quantity of

gas in excess and use it to reduce Company Use Gas.

23.4 Measurement Information Statement

The measurement information statement is a data set designed

to provide information on actual or estimated physical flow

moving across a location. A subset of the traditional

measurement statement, it does not include data elements

utilized to verify the calculation of measured flow.

The cutoff for the closing of measurement is 5 business

days after business month. [2.3.7/v1.0]

Measurement data available upstream of aggregated points shall

be sent to the allocating party and used to allocate the

aggregated volume back to the upstream points. [2.3.8/v1.0]

The measurement information statement shall standardize the

reporting basis for BTU as 14.73 dry psia and 60 degrees F

(101.325 KPa and 15.6 degrees C). [2.3.9/v1.3]