Viking Gas Transmission Company

Original Volume No. 1

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

Original Sheet No. 120 Original Sheet No. 120 : Superseded

OPERATIONAL BALANCING AGREEMENT (Continued)

Viking. If Operator fails to respond to Viking's requests to confirm the quantities to be

transported at any Receipt Point(s) in accordance with the above, and such failure continues

for fifteen days or more (whether or not such days are consecutive) after 24-hour written

notice to the Operator by Viking for each occurrence of Operator's failure to respond, then

this Agreement shall terminate upon written notice from Viking at the end of that calendar

month (and such Receipt Point(s) will be deleted from Exhibit A upon written notice from

Viking at the end of the calendar month and shall no longer be subject to this Agreement).

If, subsequent to the deletion of the Receipt Point from this Agreement, Operator

demonstrates to Viking's satisfaction that Operator will respond to confirmation requests in

accordance with this Agreement, then the Receipt Point may be added to Exhibit A.

1.2 Allocations Based on Confirmed Nominations - The Parties intend that the quantity actually

delivered at the Receipt Point(s) will be equal to the confirmed nominations. Operator shall

use all reasonable efforts to ensure that the quantities actually delivered at the Receipt

Point(s) are equal to the confirmed nominations. Unless prohibited by applicable law or

regulation, all transportation services provided by Viking shall be allocated each day based

upon the confirmed nominations set forth in Section 1.1 above, or by such other methods as

may be mutually agreed to by both Parties.

1.3 Allocation of Variances - The difference on any day between the confirmed nominations set

forth in Section 1.1 above and the total actual quantity delivered at the Receipt Point(s) as

shown on Exhibit "A" shall be the Daily Operational Imbalance and shall be allocated to this

Agreement. The differences between the sum of the confirmed nominations set forth in Section

1.1 above during a calendar month and the total actual quantity delivered at the Receipt

Point(s), as shown on Exhibit "A", during the calendar month shall be the Monthly Operational

Imbalance. Any Operational Imbalances will be corrected in accordance with Article II.

1.4 Reports on Actual Deliveries - Should Viking not have the ability to monitor actual

deliveries at any Receipt Point(s) on a daily basis, Operator shall provide to Viking the

best available information compiled on a daily basis on the actual deliveries at such Receipt

Point(s) within two business days after the date of delivery. Furthermore, the Operator

shall provide meter statements within three (3) business days after the close of a production

month at any Receipt Pint(s) where Viking does not operate the meter. If the Operator does

not provide such information or meter statements at any Receipt Point(s), or the information

provided contains significant inaccuracies as reasonably determined by Viking, and such

conditions continue for fifteen days or more (whether or not such days are consecutive) after

the first notice to the Operator, then this Agreement shall terminate upon written notice

from Viking at the end of that calendar month (and such Receipt Point(s) will be deleted from

Exhibit A upon written notice form Viking at the end of that calendar month). Any Receipt

Point which is deleted from this Agreement in accordance with this section, may be added to

Exhibit A in the future if the Parties mutually agree.