Northwest Pipeline Corporation G P

Fourth Revised Volume No. 1

Effective Date: 01/31/2008, Docket: RP08-130-000, Status: Effective

Original Sheet No. 298 Original Sheet No. 298 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

32. SALES OF EXCESS GAS (Continued)

(g) as system operations dictate, Transporter may buy and sell

gas in equivalent Dth amounts for the purpose of moving gas

between the Jackson Prairie and Clay Basin storage facilities;

(h) pursuant to Section 14.12, Transporter may recover gas

through its fuel use requirements factors as reimbursement for

volumes purchased by Transporter to fund lost and unaccounted-for

gas; and

(i) pursuant to Rate Schedule DEX-1, Transporter will take title

to any Deferred Exchange Quantity not delivered to Shipper at the

end of the Deferred Exchange Period or any extension thereof due

to Shipper's failure to arrange for receipt of such gas.

(j) pursuant to Section 5 of Rate Schedule PAL, any Parked

Quantity not removed within the time frame specified by

Transporter's notice and any Parked Quantity not removed by the

termination date of the Service Agreement will be deemed as a sale

to Shipper.

32.2 Revenue Crediting. One hundred percent (100%) of all sales

revenues received by Transporter pursuant to Sections 32.1(a) through

(d) and Section 32.1(i), and one hundred percent (100%) of all net sales

revenues received by Transporter pursuant to Section 32.1(j) and Section

5.3 of Rate Schedule PAL, will be credited to firm transportation

Shippers. Credits due pursuant to Section 32.2 will be allocated to all

firm transportation Shippers under Rate Schedule TF-1(Large Customer),

excluding discounted firm transportation service and Shippers receiving

service under a capacity release Service Agreement, Rate Schedule TF-

1(Small Customer) for the months they paid a reservation charge due to

conversion to Rate Schedule TF-1 (Large Customer) service, Rate Schedule

TF-2 and Rate Schedule T-1 who received service prior to the

cancellation of Rate Schedule T-1 (collectively, the specified

Shippers). The credits will be allocated to the specified Shippers pro

rata in proportion to reservation revenue (total revenue, net of credits

from capacity releases as described in Section 23 of the General Terms

and Conditions, less variable cost charges and all surcharges) received

by Transporter from each and all of the specified Shippers for each

applicable month. Such credits shall be reflected as a credit billing

adjustment to each March billing for credits accrued during the prior

calendar year.