Ozark Gas Transmission, L. L. C.

Original Volume No. 1

Effective Date: 03/01/2002, Docket: RP02-155-000, Status: Effective

1st Rev Original Sheet No. 106 1st Rev Original Sheet No. 106 : Superseded

Superseding: Original Sheet No. 106

GENERAL TERMS AND CONDITIONS (continued)

(b) If Transporter receives such notification,

Transporter will automatically adjust an NNS

Shipper's storage injections or withdrawals to

accommodate the Shipper's variance between actual

receipts and actual deliveries under Shipper's FTS

Service Agreement, adjusted for fuel reimbursement

in accordance with the terms and conditions of the

NNS balancing option selected. Such adjustments

to injections or withdrawals must conform to the

schedules set forth in Rate Schedule FSS and the

provisions related thereto.

23. MONTHLY IMBALANCE PENALTIES

At least seven Days prior to the end of each Month,

Transporter shall notify Shipper if it appears that

deliveries to Transporter at the Receipt Point(s) will

be in excess of or deficient by five percent or more of

the transportation quantities delivered to Shipper at

the Delivery Point(s).

In the event Shipper fails to agree upon the

appropriate corrective action to be implemented with

Transporter's gas dispatchers within two Business Days

after notification, and/or fails to implement the

corrective action agreed upon, Transporter shall in the

event of over-deliveries, charge Shipper a penalty

equal to $1.00 per Dth multiplied by the excess

quantity. In the event of under-deliveries, the

Transporter shall charge Shipper a penalty equal to

$2.00/Dth plus the actual replacement cost multiplied

by the deficiency quantity. The appropriate corrective

action, if required of Shipper, shall include forty-

five (45) Days to eliminate any imbalance. Imbalances

for any Month that become apparent after the time for

notice has expired shall be considered as an imbalance

for the Month following the Month in which the

imbalance became apparent. Transporter will not impose

an imbalance penalty when a prior period adjustment

causes or increases a current Month penalty.