U S G Pipeline Company

ORIGINAL VOLUME NO. 1

Effective Date: 04/01/2000, Docket: CP99-211-001, Status: Effective

Original Sheet No. 63 Original Sheet No. 63 : Effective

GENERAL TERMS AND CONDITIONS

12. POSSESSION OF GAS

Unless otherwise provided in the transportation agreement

or applicable Rate Schedule, as between Transporter and

Shipper, Shipper shall be deemed to be in exclusive control

and possession of the gas to be transported (i) prior to

receipt by Transporter at the Receipt Point(s), and (ii)

after delivery by Transporter at the Delivery Point(s);

otherwise, Transporter shall be in exclusive control and

possession of the gas. The party in exclusive control and

possession of the gas shall be responsible for all injury

or damage caused thereby to any third party. In the absence

of gross negligence or willful misconduct on the part of

Transporter, Shipper waives any and all claims and demands

against Transporter, its officers, employees or agents,

arising out of or in any way connected with (i) the quality,

use or condition of the gas after delivery from Transporter

for the account of such Shipper,(ii) any losses or shrinkage

of gas during or resulting from transportation hereunder,

and (iii) all other claims and demands arising out of

Transporter's performance of its duties hereunder.

13. PRESSURES AND AVAILABILITY OF DELIVERY POINTS

Unless otherwise agreed between Transporter and Shipper,

Shipper shall deliver gas to Transporter at the pressure

required from time to time to enable the gas to enter

Transporter's facilities at the Receipt Point(s). Unless

otherwise agreed between Transporter and Shipper, Transporter

shall deliver gas to Shipper at Transporter's line pressure

existing at the Delivery Point(s), subject to Transporter's

protecting its operational integrity and to minimum pressure

requirements, if any, specified in the transportation contract.