Viking Gas Transmission Company

First Revised Volume No. 1

Effective Date: 07/01/2004, Docket: RP04-306-000, Status: Effective

Eighth Revised Sheet No. 86 Eighth Revised Sheet No. 86 : Effective

Superseding: Seventh Revised Sheet No. 86

GENERAL TERMS AND CONDITIONS

23. EXTENSION OF LONG TERM FIRM TRANSPORTATION AGREEMENTS

23.1 If a Shipper, prior to the expiration of a Maximum Rate Firm Transportation

Agreement for 12 or more consecutive months of service, or a Maximum Rate

multi-year seasonal Firm Transportation Agreement for services not offered by

Company for a full twelve months, elects to extend the Firm Transportation

Agreement for less than the automatic extension period provided therein or if

the Firm Transportation Agreement contains no automatic extension provision,

then Company, at its option, shall either accept Shipper's requested extension

period or shall require Shipper to exercise its right-of-first-refusal by

making the capacity under the Firm Transportation Agreement available in

accordance with the following procedures:

(a) Shipper shall notify Company that Shipper elects to exercise the right-of-

first-refusal by providing Company written notice no later than the date

specified in the Firm Transportation Agreement by which the Shipper is

required to provide notice that it is terminating the Firm Transportation

Agreement. If the Firm Transportation Agreement does not specify a date

by which Shipper must give notice that it is terminating the Firm

Transportation Agreement, then Shipper shall notify Company that Shipper

elects to exercise the right-of-first-refusal no later than six months

prior to the expiration of the current Firm Transportation Agreement. No

later than four months prior to the expiration of the current Firm

Transportation Agreement, Company shall post the capacity for bidding on

its System. The capacity will remain posted on the System for a minimum

of 20 days ("Bidding Period") with such posting containing the following

information with respect to the capacity:

(i) daily and other applicable quantity limitations of capacity

available;

(ii) receipt and delivery points;

(iii) maximum reservation charge;

(iv) any applicable restrictions; and

(v) the last day of the Bidding Period.

(b) During the Bidding Period, Company shall accept requests for all or a

portion of Shipper's capacity from any prospective Shipper that has

submitted a valid request for service under Section 22; provided, however,

that for purposes of this Section, requests for service may be made

earlier than ninety days prior to the commencement of service and shall be

made in accordance with the Bidding Period. Upon conclusion of the

Bidding Period, Company shall evaluate the bids in accordance with the

present value formula set forth for the evaluation of bids under Company's

capacity release mechanisms.