Tres Palacios Gas Storage LLC

Original Volume No. 1

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Effective Date: 08/01/2008, Docket: RP08-424-000, Status: Effective

Original Sheet No. 159 Original Sheet No. 159

GENERAL TERMS AND CONDITIONS

(Continued)

the Customer submitting the highest bid prior to 4:00 p.m. CCT of

the same Day on which TRES PALACIOS accepts bids; provided,

however, TRES PALACIOS 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 TRES

PALACIOS under which Customer shall store the Gas in TRES

PALACIOS' facilities.

TRES PALACIOS shall credit the net proceeds received from

such auction to all Customers whose Gas was not so purchased or

retained ("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 Gas occurred. For the purposes of

this Section, the term "net proceeds" shall mean the total

proceeds received from the auction less any costs TRES PALACIOS

incurred as a result of conducting the auction or the purchase or

retention of Customer's Gas.

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' invoices for the Month following the

date of the final Commission order approving TRES PALACIOS'

penalty disbursement report; provided, however, that TRES PALACIOS

will calculate and include such credits on Qualifying Customers'

invoices for a period shorter than twelve (12) Months in the event

and to the extent that the total accumulated amount pursuant to

this Section 32 by TRES PALACIOS as of the end of any Month

exceeds $1,000,000. TRES PALACIOS will file a penalty

disbursement report within sixty (60) days of July 31 or sixty

(60) days after the end of the Month in which the revenue

collected exceeds $1,000,000. Any revenues credited to Qualifying

Customers pursuant to this Section shall include interest

calculated in accordance with Section 154.501(d) of the

Commission's regulations.

33. FORM OF SERVICE REQUEST

TRES PALACIOS GAS STORAGE LLC

SERVICE REQUEST

Send to: Laura Luce

President

TRES PALACIOS GAS STORAGE LLC

53 Riverside Avenue

Westport CT 06880

Telephone: 203-557-1000

Facsimile: 203-557-0577

e-mail: LLuce@trespalaciosgasstorage.com

INFORMATION REQUIRED FOR VALID STORAGE REQUEST

NOTE: Any change in the facts set forth below, whether

before or after service begins, must be promptly communicated to

TRES PALACIOS in writing.