Transcolorado Gas Transmission Company LLC

Second Revised Volume No. 1

Effective Date: 12/28/2007, Docket: RP08-167-000, Status: Effective

Original Sheet No. 297 Original Sheet No. 297 : Effective

20. SYSTEM OPERATION - (Continued)

K. In addition to the OFOs described in subsections (A-J)

above, TransColorado may issue OFOs as follows:

(i) In order to improve system operations, TransColorado

may require any Shipper that has a variance of twenty percent(20%) or more

between actual deliveries to TransColorado at a Receipt Point and the

confirmed nomination at that Receipt Point to conform the deliveries to the

confirmed nomination as of the day that commences with the effectiveness of

the OFO.

(ii) TransColorado may also require Shippers to keep any

variances between actual flows and confirmed nominations at all of the Receipt

Points or Delivery Points under each Shipper's Agreements, which are to the

detriment of TransColorado's system, within a ten percent (10%) tolerance. If

a Shipper agrees to keep all other Shippers at a Delivery Point whole with

their nominations (Swing Shipper), such other Shippers' confirmed nominations

and actual takes at that point will be included in the total confirmed

nominations and the total actual deliveries of the Swing Shipper at all

Delivery Points for the purposes of determining the Swing Shipper's variance.

(iii) A Shipper shall not be subject to overrun penalties

and charges from TransColorado or imbalance charges with respect to any action

taken in conformance with an OFO issued by TransColorado during a Critical or

non-Critical Time.

20.6 Unilateral Action. In the event that the actions under Sections 20.3

through 20.5 are inadequate or there is insufficient time to carry out such

procedures, TransColorado may periodically have to take unilateral action to

maintain system pressure and preserve the overall operational integrity of

TransColorado's system (or any portion thereof). TransColorado is authorized

to use all the resources of its system to such ends, through the integrated

operation of line pack, and supply received into TransColorado's system, even

though gas may be owned by a person other than the entity receiving delivery.

TransColorado shall not, however, be responsible as a supplier of gas to any

Shipper.