Canyon Creek Compression Company

Third Revised Volume No. 1

Effective Date: 09/24/2001, Docket: RP01-515-000, Status: Effective

Second Revised Sheet No. 146 Second Revised Sheet No. 146 : Effective

Superseding: First Revised Sheet No. 146

GENERAL TERMS AND CONDITIONS

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16.5 CAPACITY RELEASE REQUIREMENTS

(a) All terms and conditions relating to a release which

is the subject of a Capacity Release Request: (1) must be

nondiscriminatory and applicable to all potential bidders; (2) must be

made available to Canyon for posting; (3) must relate solely to the

details of acquiring or maintaining the transportation capacity rights

on Canyon, which are the subject of the release; and (4) must not

place any obligations or burdens on Canyon in addition to the terms

and conditions applicable to a capacity release under this Section 16

which are specified in Canyon's Tariff. Any bid evaluation procedure

elected by a Releasing Shipper different from Canyon's bid evaluation

procedure set forth in Sections 16.10(b) through 16.10(d) must be

objective, nondiscriminatory in all circumstances and contain a

complete description of the bid evaluation procedure for posting on

the Informational Postings portion of Canyon's Interactive Website.

Canyon may require the Releasing Shipper to submit a working computer

program to Canyon in diskette form which is compatible with Canyon's

Interactive Website system computer which will enable Canyon to make

such alternative bid evaluation entirely through Canyon's Interactive

Website, prior to the time any alternative bid evaluation procedure is

requested, if such bid evaluation procedure is not based on (1)

highest rate; (2) net revenue; or (3) present value as determined in

Sections 16.10(b)(1) through 16.10(b)(4) (collectively referred to as

"Acceptable Alternative Bid Evaluation Procedure") and the remaining

procedures set forth in Sections 16.10(c) and 16.10(d). If the

Releasing Shipper elects a bid evaluation procedure that differs from

Canyon's bid evaluation procedure or the Acceptable Alternative Bid

Evaluation Procedure and the remaining procedures set forth in

Sections 16.10(c) and 16.10(d), Canyon shall not be held to the

subsequent deadlines set forth in this Section 16, but Canyon shall

make a reasonable attempt to adhere to such deadlines. Canyon shall

publish standards relating to such computer diskettes, but it is the

responsibility of the Releasing Shipper to develop and provide the

working computer diskette. The Releasing Shipper shall warrant that

the computer diskette conforms to the bid evaluation procedure in the

Capacity Release Request.

(b) The term of any release of capacity sought under this

Section 16 shall be at least one full day and shall not exceed the

remaining term of the Eligible Firm Compression Agreement.

Release Request shall not be less than the minimum quantity required

for the Eligible Firm Compression Agreement under Canyon's Tariff.