Viking Gas Transmission Company

Original Volume No. 1

Effective Date: 11/01/1993, Docket: RS92- 52-001, Status: Effective

Original Sheet No. 58 Original Sheet No. 58 : Superseded

GENERAL TERMS AND CONDITIONS (Continued)

Shipper/Operator to adjust gas supplies as directed. Such response shall be

required within the time frame specified in the OFO. Failure to comply in a timely

fashion with an OFO may result in an immediate interruption of all or a portion of

Shipper's/Operator's service and cause Shipper/Operator to incur penalties as

provided for in Rate Schedule LMS. Penalty revenues received by Transporter from

Shippers who fail to comply with the OFO will be used to compensate Shippers who

comply with the OFO and do not receive their scheduled quantities as a result of

the unauthorized actions or the noncomplying Shippers; provided, however, that in

no event shall the compensation paid to Shippers who comply with OFOs exceed the

penalty revenues actually collected by Transporter from non-complying Shipper. The

payment of unauthorized overrun penalties does not create the right to exceed the

levels established by an OFO.

(d) In the event Shipper(s)/Operator(s) does not respond to the OFO and Transporter

believes it is necessary to take actions (i.e., buying or selling gas, etc.) to

maintain system integrity or to prevent interrupting service to another Shipper,

Transporter shall have the right, but not the obligation, to take such remedial

actions as it deems necessary. If Transporter takes these actions, it shall be

made whole by the non-responding Shipper(s)/Operator(s) for all costs that

Transporter incurs.

(e) Transporter shall not be liable for any costs incurred by any Shipper/Operator in

complying with an OFO.

(f) Transporter shall not be responsible for any damages that result from any

interruption in Shipper's/Operator's service that is a result of a

Shipper's/Operator's failure to comply promptly and fully with an OFO and the

non-complying Shipper(s)/Operator(s) shall indemnify Transporter against any claims

of responsibility.

(g) Notwithstanding the foregoing, when gas supplies necessary to effectuate

transportation deliveries are not flowing on the system, Transporter will not be

responsible for backing up such supplies and the associated deliveries will be

subject to interruption.

(h) OFO Notice, Contents and Procedures. Transporter shall issue an OFO as

expeditiously as is reasonable and practicable in the circumstances. Each OFO will

contain the following provisions:

(i) time and date of issuance;