Panther Interstate Pipeline Energy, L.L.C.

Original Volume No. 1

Effective Date: 02/01/2004, Docket: CP03-338-001, Status: Effective

Original Sheet No. 48 Original Sheet No. 48 : Effective

(k) All transportation rights released hereunder shall be

scheduled and curtailed as firm transportation service under

Section 9 of these General Terms and Conditions.

Interruption or curtailment of such released service shall

be in accordance with interruption or curtailment of firm

service under this Tariff and as prescribed by the terms of

the release.

12. POSSESSION OF GAS

As between Shipper and Transporter, Shipper shall be deemed to be in

control and possession of gas and responsible therefore and shall hold

Transporter harmless of and from any damage or injury caused thereby

until the gas shall have been delivered to Transporter at the receipt

point(s), after which Transporter shall be deemed to be in control and

possession of such gas until its delivery to Shipper or for Shipper's

account at the delivery point(s) and while in such possession

Transporter shall be responsible therefore and hold Shipper harmless of

and from any damage or injury caused thereby. Transporter shall have no

responsibility with respect to any gas on account of anything which may

be done, happen or arise with respect to said gas until it is received

by Transporter. Shipper shall have no responsibility with respect to

said gas after its receipt by Transporter on account of anything which

may be done, happen or arise with respect to said gas after such receipt

until its delivery to Shipper, or for Shipper's account, at the delivery

point(s). The point of the division of responsibility shall be the

point of interconnection between the facilities of Transporter and

Shipper, or their respective agents, at the receipt or delivery

point(s), as applicable. In addition, any movement of gas by

Transporter upstream of the point of division between Transporter's

jurisdictional and non-jurisdictional facilities at High Island Block 48

shall be subject to a separate agreement. The foregoing provisions of

this Section shall not relieve either party from responsibility for acts

of gross negligence or willful misconduct of such party, its agents or

employees.

13. WARRANTY OF TITLE TO GAS

Shipper warrants for itself, its successors and assigns, that it will

have, at the time of delivery of gas hereunder, good title or the right

to acquire title to the gas it delivers and that the gas it delivers

hereunder shall be free and clear of all liens, encumbrances and claims

whatsoever. In the event of a breach of this warranty, Shipper shall

indemnify Transporter and save it harmless from all suits, actions,