National Fuel Gas Supply Corporation

Third Revised Volume No. 1

Effective Date: 04/01/1997, Docket: RP97- 1-004, Status: Effective

First Revised Sheet No. 142 National Fuel Gas Supply Corporation: Third Revised Volume No. 1

First Revised Sheet No. 142 : Effective

Superseding: Original Sheet No. 142

GENERAL TERMS AND CONDITIONS

5. BILLING AND PAYMENT (Cont'd)

(6) months from the date of such statement (in the case of any

transportation or storage service) or within seven (7) months (in

the case of a sales service). The party receiving a claim of

error and request for adjustment shall have three (3) months to

rebut such claim, otherwise the statement shall be adjusted as

requested. The time limitations set forth in this Section 5.3

shall not apply in the case of deliberate omission or

misrepresentation, mutual mistake of fact or government required

rate changes; nor shall the parties other statutory or

contractual rights be diminished by this Section.

5.4 Delayed Payment. Should Shipper fail to pay all of the amount of

any invoice, as herein provided, when such amount is due,

interest on the unpaid portion of the invoice shall accrue at the

then effective prime interest rate (Chase Manhattan Bank).

Transporter may suspend service to any Shipper which is

delinquent in payments, provided that Transporter shall give

Shipper written notice of the delinquency and of Transporter's

intent to suspend if the delinquency is not remedied within

fifteen (15) days of the date of the notice. Transporter may

terminate service to any Shipper which is delinquent in payments,

provided Transporter shall give Shipper written notice of the

delinquency and of Transporter's intent to curtail or terminate

if the delinquency is not rendered within thirty (30) days of the

notice and then only upon written notice to the Commission and,

if required by the Commission's regulations, authorization by the

Commission.

However, if Shipper in good faith shall dispute the amount of any

such invoice or part thereof and shall pay to Transporter such

amounts as it concedes to be correct, accompanied by documen-

tation identifying the basis for the dispute, and at any time

within thirty (30) days after a demand made by Transporter, shall

furnish good and sufficient surety bond, guaranteeing payment to

Transporter of the amount ultimately found due upon such bills

after a final determination which may be reached either by

agreement or judgment of the courts, as may be the case, then

suspend or terminate service on account of such disputed claim

while so secured, until default be made in the conditions of such

bond.