High Island Offshore System, L.L.C.

Third Revised Volume No. 1

Effective Date: 10/01/2009, Docket: RP09-487-001, Status: Effective

Substitute Sixth Revised Sheet No. 69 Substitute Sixth Revised Sheet No. 69

Superseding: Substitute Fifth Revised Sheet No. 69

GENERAL TERMS AND CONDITIONS

(Continued)

1.29 The term "Predetermined Allocation (PDA)" shall mean the method

determined by the Designated Allocator and provided to HIOS in accordance

with Sections 7.6 and 7.7 of the General Terms and Conditions to be used

by HIOS in allocating the actual gas volumes delivered for the Shippers'

accounts from the individual HIOS measurement points to the respective

HIOS Receipt Points.

1.30 The term "scheduled volume" or "scheduled nomination" shall mean a volume

that has been nominated by Shipper and confirmed by HIOS in accordance

with Sections 7.2, 7.3 and 7.4 of the General Terms and Conditions,

hereof.

1.31 The term "Critical Day" shall mean a day during which, in HIOS' judgment

(1) conditions exist that could threaten the safe operation or integrity

of the HIOS system or (2) steps must be taken to maintain the operations

required to provide efficient and reliable firm service of the system.

1.32 The term "Primary Path" shall mean the shortest distance along

contiguous HIOS-owned facilities deemed to transport Gas from the

Primary Points of Receipt to the Primary Points of Delivery.

1.33 The term "Compressor Fuel" shall mean the quantity of gas required by

HIOS for compressor operations.

1.34 The term "Company Use" shall mean the sum of Compressor Fuel plus

Unaccounted For Gas.

1.35 The term "Company Use Variance" or "CUV" shall mean the variance between

the Company Use collected from all Shippers and the actual Company Use

during the same period.

1.36 The term "Monthly Billing Quantity", or "MBQ", shall be the contractual

quantity to be multiplied by the service rate under each firm service

Rate Schedule, using the methodology as provided in the applicable Rate

Schedule, for purposes of calculating the monthly Bill due to Shipper

under such Rate Schedule.