Oktex Pipeline Company

Original Volume No. 1

Effective Date: 02/01/2010, Docket: RP10-205-001, Status: Effective

First Revised Sheet No. 40K First Revised Sheet No. 40K

Superseding: Original Sheet No. 40K

XXXVIII. NETTING AND TRADING OF IMBALANCES

When applicable at the end of each Month, to the extent unauthorized quantities are

recognized pursuant to Section XX, XXI, XXII, and XXIII, the following

transportation fees and netting and trading procedures will apply:

a. Unauthorized Quantities under a Customer's different Service Agreements

will be netted together to obtain the Customer's Total Monthly Imbalance ("TMI").

The TMI will be shown with the monthly billings sent to Customers. To facilitate the

trading or offsetting of a Customer's TMI, OkTex will post on its electronic bulletin

board, on or before the ninth business day of the month, the TMI of any Customer that

has not notified OkTex in writing that the Customer does not elect to have that

information posted. Customers or their agents may then trade offsetting imbalances

to OkTex with Customers or their agents until the close of business on the

seventeenth business day of the month ("Trading Period"). Parties that agree to trade

all or part of an imbalance must notify OkTex in writing on or before the seventeenth

business day of the month; otherwise, such trade shall not be effective. Upon

receipt of an Imbalance Trade Confirmation, OkTex will send an Imbalance Trade

Notification to the trading parties by noon CCT the next business day. Any

Customer's unauthorized quantity remaining after the Trading Period will be

charged a penalty pursuant to the provisions of Sections XX, XXI, XXII, and XXIII.

b. The netting of imbalances does not relieve Customer of the obligation to pay

all transportation charges for the quantity of gas actually delivered to Customer during

the month.

XXXIX. NORTH AMERICAN ENERGY STANDARDS BOARD

OkTex hereby incorporates into this FERC Gas Tariff by reference the following NAESB WGQ

standards that are required by the Commission in 18 CFR Part 284.12(a). In addition,

OkTex is incorporating herein the following NAESB WGQ standards, definitions, and data

sets incorporating the Version 1.8 standards: