National Fuel Gas Supply Corporation

Fourth Revised Volume No. 1

Effective Date: 10/16/2002, Docket: RP02-547-001, Status: Effective

Sub. Original Sheet No. 366.01 Sub. Original Sheet No. 366.01 : Effective

GENERAL TERMS AND CONDITIONS

10. CAPACITY RELEASE (Cont'd)

(iv) except in the situation described in subsection

10.8(c)(v), that at any time within thirty (30) days

following the service of such written notice, the

Replacement Shipper may submit a service request for a

new source agreement for its awarded capacity (i.e., the

Replacement Shipper's capacity entitlement for the

remainder of the term of the award) at the lower of (A)

the rates applicable to the defaulting shipper's

agreement or award or (B) Transporter's maximum rates;

(v) with respect to a Replacement Shipper with an award of a

geographically segmented portion of the capacity subject

to the defaulting shipper's agreement or award, that at

any time within thirty (30) days following the service of

such written notice, the Replacement Shipper may submit a

request for a new source service agreement for the

Replacement Shipper's Contract Maximum Daily

Transportation Quantity along the defaulting shipper's

full capacity path for the remainder of the term of the

Replacement Shipper's capacity award at the lower of (A)

the rates applicable to the defaulting shipper's

agreement or award or (B) Transporter's maximum rates;

and

(vi) an explanation of shipper's rights as described in

Subsections 10.8(d)-(g).

(d) Subject to Subsections 10.8(e)-(f), if (i) the Replacement

Shipper submits a service request within the period of time

specified in Subsection 10.8(c)(iv) or (v); (ii) the

Replacement Shipper satisfies the service qualification

requirements set forth in Section 31 of this Tariff; and (iii)

the termination of the defaulting shipper's agreement or award

becomes effective, Transporter shall tender the requested

source agreement for execution by the Replacement Shipper.

(e) If Transporter receives more than one timely service request

under this Section 10.8 from qualified Replacement Shippers

for the same awarded capacity in the situation where the

capacity released by the defaulting shipper has been re-

released by its Replacement Shipper, such service requests

will be prioritized in the order in which the capacity

releases occurred (i.e., a Replacement Shipper closer to the