Sabine Pipe Line Company LLC

Second Revised Volume No. 1

Effective Date: 06/01/1997, Docket: RP97-109-001, Status: Effective

First Revised Sheet No. 241 First Revised Sheet No. 241 : Superseded

Superseding: Original Sheet No. 241

8. RESOLUTION OF IMBALANCES

8.1 Calculation of Monthly Imbalances

All imbalances accrued by Shipper under its Service

Agreement(s) shall be resolved in-kind on a monthly

basis. Sabine will calculate the imbalance for each

Service Agreement by determining the difference between

the total quantities of gas allocated for the account

of Shipper at the Receipt Points and the total

quantities of gas allocated for the account of Shipper

at the Delivery Points each month. All imbalances

accrued by Shipper under each of its Service

Agreement(s) will be combined to derive a net

underdelivery or overdelivery imbalance for resolution

purposes. The imbalance statement will be rendered

prior to or with the invoice. Rendered is defined as

postmarked, time-stamped, and delivered to the

designated site.

8.2 Imbalance Nominations

For each day on which Shipper desires to schedule the

delivery of gas to Sabine for the resolution of an

accrued underdelivery or the receipt of gas from Sabine

for the resolution of an accrued overdelivery, Shipper

shall submit to Sabine, in a written nomination, which

may be a telefax, the daily quantity of gas, expressed

in Dts, that it has available for delivery or the

quantity of gas Shipper desires to receive, in

accordance with the nomination procedures set forth in

Section 5. Such deliveries and receipts shall be

scheduled as operating conditions reasonably permit.

8.3 Imbalances at Termination

Any imbalances existing on the date of termination of

an executed Service Agreement shall be adjusted or

corrected within thirty (30) days.