Williston Basin Interstate Pipeline Co.

Second Revised Volume No. 1

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Effective Date: 08/23/2004, Docket: RP04-410-000, Status: Effective

Third Revised Sheet No. 164 Third Revised Sheet No. 164 : Effective

Superseding: Second Revised Sheet No. 164

RATE SCHEDULE PAL-1

PARK AND LOAN SERVICE (continued)

achieved; and/or (2) for a specifically defined period. A discount

agreement which provides for an agreed discount as to a specified

volume will not be invalidated if the Shipper transports an incremental

volume above that specified volume. Such incremental volume will be

priced at a mutually agreeable price between Transporter and Shipper.

Unless otherwise agreed, at the expiration of the stated primary term

specified in Exhibit "A" of the Service Agreement, the rate for service

shall be the maximum allowable rate under this Rate Schedule.

3.4 Penalties: Pursuant to the terms of Subsection 2.3.3, Shipper

shall be assessed applicable penalties for failure to return a loaned

quantity in compliance with this Rate Schedule PAL-1. Such penalties

shall be credited to applicable Shippers pursuant to the terms of

Subsection 15.21.2 of the General Terms and Conditions of this Tariff.

4. MINIMUM MONTHLY BILL

None.

5. CONDITIONS OF SERVICE

5.1 To qualify for service pursuant to this Rate Schedule, Shipper

shall make a request for PAL Service pursuant to the provisions of

Section 7 of the General Terms and Conditions of this Tariff.

5.2 Shipper shall be required, in order to receive service under this

Rate Schedule, to have in place both an executed Transportation Service

Agreement and an executed Storage Service Agreement.

5.3 Shipper may be required periodically by Transporter to update the

credit information originally provided in the Transportation/Storage

Service Request Form.

6. OTHER OPERATING PROVISIONS

6.1 For planning purposes, Transporter may, from time to time,

request estimates from Shipper of the quantities that Shipper intends to

utilize hereunder. In the event that such a request is made, Shipper

shall reply in writing within 45 days of the request.

6.2 Transporter may request other planning information as needed

from time to time and Shipper shall comply with all reasonable requests.