High Island Offshore System, L.L.C.

Third Revised Volume No. 1

Effective Date: 04/07/1999, Docket: GT99- 17-000, Status: Effective

Original Sheet No. 84 Original Sheet No. 84 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

Provided, however, that estimates of receipts or deliveries

determined in accordance with Section 3.11 herein, shall in

no event cover a period of time greater than 6 months from

the date such failure of measuring equipment under this

section is known definitely or agreed upon.

3.12 Measurement Corrections. The cutoff for the closing of

measurement is five (5) business days after the business

month. If an error is discovered in the measured quantities,

claim therefor shall be made within six (6) months of the

production month in which the claimed error occurred. The

time for dispute or resolution of the claim shall be three

(3) months from the date the claim is made. If there is an

agreement as to the amount of an error, any adjustment shall

be made within thirty (30) days of the determination

thereof. Such time limits shall not apply in the case of

deliberate omission or misrepresentation, or mutual mistake

of fact.

3.13 Preservation of Records. Shipper and HIOS shall preserve

for a period of at least three years, or for such other

period as may be permitted by public authority, all test

data, charts, and other similar records, but not less than

24 months.

4. GAS QUALITY

4.1 Treatment of Gas. Unless otherwise agreed, the Gas

delivered at the Points of Receipt and the Points of

Delivery hereunder shall be Gas which has not been processed

for the removal of liquefiable hydrocarbons; provided,

however, that HIOS may subject or permit the subjection of

said Gas to compression, cooling, cleaning, or other

processes to such an extent as maybe required in HIOS' sole

opinion for its transmission from the Points of Receipt to

the Points of Delivery.

Nothing contained herein shall be construed so as to prevent

the use of conventional separation equipment,