West Texas Gas, Inc.

First Revised Volume No. 1

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Effective Date: 10/01/1996, Docket: RP96-377-000, Status: Effective

Original Sheet No. 32M Original Sheet No. 32M : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

Section 19.5(i) Annual PGA Filing (Continued):

(ii) If the refund subaccount balance is a credit balance,

disbursing to its jurisdictional customers in cash the total

refund subaccount balance when the total refund subaccount

balance equals or exceeds an amount which is the lesser of:

(A) $2 million, or

(B) 1 cent per MMBtu, determined by dividing X by Y where:

X= The monthly ending refund balance, and

Y= The quantity of a pipelines most recent 12 months of

actual jurisdictional sales.

(iii) The disbursement shall be made by Seller within

90 days of the end of the month in which it receives

a refund, revenue credit, or billing adjustment which causes

the refund subaccount balance to reach the level stated in

Paragraph 19.5(i) (l)(ii)(A) or (l)(ii)(B).