Bobcat Gas Storage

Original Volume No. 1

Effective Date: 10/15/2008, Docket: RP08-608-000, Status: Effective

Original Sheet No. 92 Original Sheet No. 92

GENERAL TERMS AND CONDITIONS

(Continued)

8. POINT(S) OF RECEIPT AND POINT(S) OF DELIVERY (Continued)

8.4 Transportation Imbalances. In the event that Bobcat or Customer

delivers or causes to be delivered to Transporter at the Point(s)

of Receipt or Delivery a quantity of Gas not equal to the quantity

of Gas received or taken by Customer or Bobcat, a "Transportation

Imbalance" may occur. Provided that Bobcat has taken or delivered

the quantity of Gas nominated by Customer and scheduled by

Transporter, Customer shall be liable for all imbalances under its

transportation agreement with Transporter. Upon notification by

Customer or Transporter that a Transportation Imbalance exists

because Bobcat failed to deliver or receive the quantity of Gas

nominated by Customer and scheduled by Transporter, Bobcat will

endeavor to correct the Transportation Imbalance subject to any

restrictions imposed by Transporter, but Bobcat shall be solely

responsible and liable for any charges, penalties, costs, and

expenses incurred or payable by either party as a result of the

Transportation Imbalance. Customer agrees to use its best efforts

to prevent or diminish any occurrences of imbalances.

8.5 Measurement. Customer and Bobcat agree that the quantity of Gas

delivered hereunder shall be measured by Bobcat in accordance with

the Transporter's pipeline tariff, and, as such, may be allowed to

fluctuate within the applicable measurement or flow tolerances on

a daily and Monthly basis.

8.6 Costs and Penalties. Customer shall hold Bobcat harmless for all

costs and penalties which may be assessed by Transporter under

Customer's transportation agreement with Transporter, unless the

costs and penalties are due to the negligence of Bobcat. Customer

and Bobcat shall cooperate with each other and with the

Transporter to verify delivery and receipt of the volumes of Gas

delivered hereunder on a timely basis.

8.7 Downstream and Upstream Transportation. Customer shall be

responsible for transportation from the Point(s) of Delivery

located on Bobcat's system and payment of all transportation

charges relating thereto. Customer shall be responsible for

transportation to the Point(s) of Receipt located on Bobcat's

system and payment of all transportation charges relating thereto.