UGI LNG, Inc

Original Volume No. 1

Effective Date: 06/01/2009, Docket: RP09-365-000, Status: Effective

Original Sheet No. 75 Original Sheet No. 75

27. DISPOSITION OF RETAINED QUANTITIES

In the event that Company holds an auction for gas quantities

retained pursuant to Rate Schedules LNG-F, LNG-I, LF-F or LF-I, Company

shall post such quantities on the EBB System on the fifth business

day following the fifteenth of a month. Company shall accept bids

only during the time period from 7:00 A.M. until 11:00 A.M. CT on

the seventh business day following the fifteenth of the month.

Company shall award the capacity to the Customer submitting the highest

bid, and shall notify the Customer submitting the highest bid prior to

4:00 P.M. CT of the same day on which Company accepts bids; provided,

however, Company reserves the right to reject all bids. When the gas is

purchased at auction, Customer must provide identification of the

existing storage service agreement with Company under which Customer

shall store the gas in Company's facilities.

Company shall credit the net proceeds received from such auction to

all Customers that did not have gas sold during the subject auction

("Qualifying Customer") based on the ratio of the total charges paid

by each Qualifying Customer for service to the total amount of such

charges paid by all Qualifying Customers during the month in which the

auction of the gas occurred. For the purposes of this Section, the term

"net proceeds" shall mean the total proceeds received from the auction

less the accumulated charges pursuant to the applicable Rate Schedule

for the agreement held by the Customer winning the bid. Such credits

shall be calculated for each month of the twelve (12) month period

ending July 31 of each year and will be included on the Qualifying

Customers' invoice for the month following the date of the final

Commission order approving Company's penalty disbursement report;

provided, however, that Company will calculate and include such

credits on Qualifying Customers' invoices for a period shorter than

twelve months in the event and to the extent that the total accumulated

amount of penalty revenue collected pursuant to this Section by

Company as of the end of any month exceeds $1,000,000. Company will

file a penalty disbursement report within 60 days of July 31 or sixty

days after the end of the month in which the revenue collected exceeds

$1,000,000. Any penalty revenue credited to Qualifying Customers

pursuant to this Section shall include interest calculated in accordance

with Section 154.501(d) of the Commission's regulations.