Westgas Interstate, Inc.

First Revised Volume No. 1

Effective Date: 09/01/1993, Docket: RS92- 89-002, Status: Effective

Original Sheet No. 82 Original Sheet No. 82 : Effective

GENERAL TERMS AND CONDITIONS

23. CAPACITY RELEASE PROGRAM (Continued)

23.19 BILLING - (Continued)

make payment to Transporter of the reservation portion

of the charges due as set forth in Section 10 of this

Volume No. 1 Tariff, Transporter shall notify the

Releasing Shipper of the amount due, including all

applicable late charges authorized by Section 10.5 of

this Tariff, and such amount shall be paid by the

Releasing Shipper. All payments received from an

Acquiring Shipper shall first be applied to the

reservation charge, including associated late charges

on the non-payment of reservation charges, then to the

usage charge, then to late charges other than those

related to the non-payment of reservation charges, and

then to penalties.

23.20 NOMINATIONS AND SCHEDULING - An Acquiring

Shipper shall nominate and schedule natural gas for

transportation service hereunder directly with

Transporter in accordance with the applicable

procedures set forth in this Volume No. 1 Tariff as in

effect from time to time. The Releasing Shipper shall

give Transporter and the Acquiring Shipper(s) notice of

any recall no later than twenty-four (24) hours prior

to the day on which the recall is to take effect. The

Releasing Shipper in returning recalled capacity to the

Acquiring Shipper(s) shall give Transporter and such

Acquiring Shipper(s) twenty-four (24) hour notice prior

to the day on which the capacity is to revert to the

Acquiring Shipper(s).

23.21 QUALIFICATION FOR PARTICIPATION IN THE CAPACITY

RELEASE PROGRAM - Any Shipper wishing to become a

Bidding Shipper must satisfy the creditworthiness

requirements of Transporter's Volume No. 1 Tariff as in

effect from time to time by pre-qualifying prior to

submitting a bid for capacity. A Shipper cannot bid for

services which exceed its qualified level of

creditworthiness. Notwithstanding such qualification

to participate in the open season, Transporter does not

guarantee the payment of any outstanding amounts by an

Acquiring Shipper.