Natural Gas Pipeline Company Of America

Seventh Revised Volume No. 1

Effective Date: 04/18/2008, Docket: RP08-319-000, Status: Effective

Original Sheet No. 355 Original Sheet No. 355 : Pending

GENERAL TERMS AND CONDITIONS

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(2) In the case of a segmented release, if nominations

result in an overlapping path, through nomination at out-of-path

secondary points, overrun charges for volumes in excess of the MDQ under

the original Agreement in the area of overlap shall be applied as

follows: (i) if a Shipper is nominating or flowing within the primary

path under its segment, overrun shall not apply to that segment so long

as such Shipper is within its MDQ on that segment and any overrun shall

be assigned to the segment on which Shipper is nominating and flowing

outside its path; (ii) if a Shipper is nominating or flowing in excess of

its MDQ on a segment under the segmented release, the Shipper shall be

assessed overrun based on the volume in excess of its MDQ; and (iii)

where the Shipper on each segment is within its MDQ, but is nominating on

a secondary out-of-path basis so as to create an overlap in nominated

paths, and aggregate nomination by the Releasing and Replacement Shipper

in the area of overlap are in excess of the original contract MDQ, then

except as provided in (i) and (ii), overrun charges will be assessed to

the Releasing Shipper unless the release specifies that such overrun

charges are to be assessed to the Replacement Shipper.

(3) If a Shipper segments the primary path under an

Agreement which has opposite leg rights pursuant to Section 5.5(a)(2) of

these General Terms and Conditions prior to segmentation, whether

segmentation is by nomination or in connection with capacity release,

opposite leg rights shall be available after segmentation to the

downstream segment only and shall be limited to zones on the opposite leg

which are downstream of the zone which corresponds to the zone of

segmentation, as follows:

(i) Where the primary path is segmented in the

Amarillo Mainline Receipt Zone or the Gulf Coast Mainline Receipt Zone,

no opposite leg rights will exist.

(ii) Where the primary path is segmented in the

Midcontinent Zone, the downstream segment would have out-of-path

secondary Receipt Point rights in the Gulf Coast Mainline and where the

primary path is segmented in the Texok Receipt Zone, the downstream

segment would have out-of-path secondary Receipt Point rights in the

Amarillo Mainline Receipt Zone. These additional secondary Receipt Point

rights could only be used in conjunction with deliveries into the Market

Delivery Zone or to the storage point in the zone of receipt.

(iii) Where the primary path is segmented in the

Permian Receipt Zone, the downstream segment would have out-of-path

secondary Receipt Point rights in the Gulf Coast Mainline and Texok

Receipt Zones. Where the primary path is segmented in the Louisiana

Receipt Zone or the South Texas Receipt Zone the downstream segment would