Texas Gas Transmission, LLC

Third Revised Volume No. 1

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Effective Date: 09/15/2008, Docket: RP08-392-000, Status: Effective

Original Sheet No. 3202 Original Sheet No. 3202 GENERAL TERMS AND CONDITIONS Section 20 (Cont'd) All such facilities owned and operated by Texas Gas must include any rights-of-way necessary to access facilities for inspection and maintenance. Any such facilities constructed by Customer or Customer's agent must be in accordance with Texas Gas' specifications. Texas Gas must approve design drawings and bills of materials, and construction shall be subject to approval by Texas Gas' inspectors. If Customer constructs facilities, Customer shall coordinate the construction of such facilities with Texas Gas so that Texas Gas may reasonably have inspectors at the site during construction. Customer assumes full responsibility and liability and agrees to hold Texas Gas harmless from any liability of any nature arising from the installation of such facilities by Customer or Customer's agent. 20.2 Receipt Facilities Texas Gas may, at its option, add receipt point facilities, or expand capacity to provide transportation service. Customer may be required to pay or cause Texas Gas to be paid for the installed cost of all such facilities. Receipt facilities shall be installed, owned, operated, and maintained by Texas Gas, unless otherwise agreed to in writing by both parties. Unless otherwise agreed, Customer shall reimburse or cause Texas Gas to be reimbursed for the cost of such facilities. Such costs include, but are not limited to, operating and maintenance expenses, administrative and general expenses, gross-up for state and federal income taxes, taxes other than income taxes, depreciation costs and the time value of money. (a) All such facilities owned and operated by Texas Gas must include any rights-of-way necessary to access for inspection and maintenance. Any such facilities constructed by Customer or Customer's agent must be in accordance with Texas Gas' specifications. Texas Gas must approve design drawings and bills of materials, and construction shall be subject to approval by Texas Gas' inspectors. If Customer constructs facilities, Customer shall coordinate the construction of such facilities with Texas Gas so that Texas Gas may reasonably have inspectors at the site during construction. Customer assumes full responsibility and liability and agrees to hold Texas Gas harmless from any liability of any nature arising from the installation of such facilities by Customer or Customer's agent. (b) Subject to conditions below and upon receipt of Customer's request, Transporter will also construct, on a nondiscriminatory basis, the necessary facilities to attach gas supplies to its pipeline to the extent that (1) Customer(s) agree to pay Transporter an amount to recover the cost of such facilities, or (2) Customer(s) provide Transporter adequate assurances that there are adequate gas supplies to be attached by the facilities to make construction of the facilities economical to Transporter.