Gulf South Pipeline Company L P

Sixth Revised Volume No. 1

Effective Date: 05/14/2010, Docket: RP10-601-000, Status: Effective

First Revised Sheet No. 1901 First Revised Sheet No. 1901

Superseding: Original Sheet No. 1901

GENERAL TERMS AND CONDITIONS

Section 12

(Continued)

12.2 Predetermined Allocation Methodology

The types of allocation methodologies is a list from which two

parties may agree. The upstream or downstream party providing

the point confirmation should submit the PDA to Gulf South after

or during confirmation and before the start of the gas day. The

PDA standard allocation methods shall include ranked, pro rata,

percentage, swing, and operator provided value, as such terms are

used in the NAESB Standards. The party responsible for custody

transfer (the party performing the measurement function) should

provide the allocation. The same standard allocation methods

shall be available for use at all points.

Gulf South will accept standard methodology types from the

upstream or downstream custody transfer party who is providing

the point confirmation before the start of the gas day. Gulf

South shall send back "confirmation" of receipt of the pre-

determined allocation within 15 minutes.

Only one PDA allocation methodology can be applied per allocation

period. A new allocation detail may be needed when a nomination

changes. If the two parties cannot agree upon an allocation

methodology, pro rata based upon confirmed nominations shall be

used as the default method. An Operator PDA submitted after 9:00

a.m. on the first day of the month is subject to Gulf South's

approval, must be submitted by paper copy via fax or mail and,

unless prior authorization is received from all affected

Customer(s), must contain the signatures of all affected

Customer(s) signifying agreement to the proposed changes.