Hardy Storage Company, LLC

Original Volume No. 1

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Effective Date: 04/01/2007, Docket: CP05-150-003, Status: Effective

Original Sheet No. 21 Original Sheet No. 21 : Effective

HSS RATE SCHEDULE

HARDY STORAGE SERVICE (Cont'd)

(f) The Reservation Charge shall apply as of the date service is

deemed to commence by the terms of Customer's HSS Service Agreement.

(g) Seller shall be responsible for any loss, cost, or expense

arising from any loss of Customer’s gas in Seller's storage that results

from Seller's negligence or failure to exercise due diligence.

Notwithstanding the provisions in Section 22 (Possession of Gas) of the

General Terms and Conditions, Customer shall be responsible for obtaining

its own insurance for any gas in storage, and shall hold Seller harmless

from any loss, cost, or expense arising from any loss of storage gas that

results from a force majeure event or that is not the result of Seller's

negligence or failure to exercise due diligence.

7. PENALTIES

(a) If Customer fails to comply with an operational flow order issued

by Seller pursuant to Section 17 (Operational Flow Orders) of the General

Terms and Conditions, a penalty of $5.00 per Dth, per day shall be assessed

to Customer for all quantities in violation of that operational flow order.

(b) On any Critical Day on which Customer's injections into storage

exceed 110 percent of its applicable HMDIQ as described in Section 3(c) of

this Rate Schedule, Customer shall pay Seller a penalty of $5.00 per Dth for

all quantities injected in excess of 110 percent of its HMDIQ.