Venice Gathering System, L. L. C.

Original Volume No. 1

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Effective Date: 01/01/1998, Docket: CP97-533-002, Status: Effective

Original Sheet No. 150 Original Sheet No. 150 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

14. PREGRANTED ABANDONMENT AND RIGHT OF FIRST REFUSAL

PROCEDURES

14.1 Applicability

Any Shipper receiving firm transportation service

under an executed Firm Service Agreement that has a primary

term of one (1) year or more, and that does not have an

evergreen provision, may exercise its right of first refusal

in order to retain firm transportation service at the

expiration of the primary term. Any Shipper receiving firm

transportation under a Firm Service Agreement that has a

primary term of one (1) year or more, and that has an

evergreen provision, may exercise its right of first refusal

in order to retain continued firm transportation in the

event that VGS provides notice, as allowed by such Service

Agreement, that it will terminate the Service Agreement at

the expiration of the primary term or any roll-over term.

Any Shipper receiving transportation service provided

under an Interruptible Service Agreement, or a Firm Service

Agreement that has a primary term of less than one (1) year,

and that may or may not have an evergreen provision, does

not have the right of first refusal to retain its

interruptible or firm transportation service at the

expiration of a primary term or any subsequent roll-over

term.