Pacific Interstate Offshore Company

Second Revised Volume No. 1

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Effective Date: 01/01/1994, Docket: RS92- 73-001, Status: Effective

Original Sheet No. 37 Original Sheet No. 37 : Effective

GENERAL TERMS AND CONDITIONS (cont'd)

4. MEASURING EQUIPMENT (Cont'd)

4.8 Notwithstanding the provisions of this Section, in

no event shall any existing Shipper or existing

facility connected to the pipeline be required to

install new equipment to meet these standards unless

required to do so by government action.

5. DELIVERY PRESSURE

Transporter will maintain, or will cause to be

maintained, at the point(s) of delivery such pressure as

may reasonably be required by Shipper as specified in the

Service Agreement.

6. RECEIPT AND DELIVERY POINT(S)

The point(s) of delivery and receipt for all gas

delivered or received, or caused to be delivered or

received, by Transporter to Shipper shall be designated

in the Service Agreement.

6.1 Flexible Receipt and Delivery Points

If operationally feasible, Transporter will provide

flexible receipt and delivery points when requested

by Shipper. Any construction of facilities to

provide for alternate receipt/delivery points shall

be done on a non-discriminatory basis as provided

under Section 8 of Rate Schedules FT-1 and IT-1.

7. POSSESSION OF AND RESPONSIBILITY FOR GAS

7.1 Possession and Responsiblity

Transporter shall be deemed to be in control and

possession of the gas transported hereunder only

after the gas is received at the Point of Receipt,

and before it is delivered at the Point of Delivery.

Shipper shall be deemed to be in control and

possession at all other times.