Empire Pipeline, Inc.

Original Volume No. 1

Effective Date: 12/10/2008, Docket: CP06-5-010, Status: Effective

Original Sheet No. 178 Original Sheet No. 178

GENERAL TERMS AND CONDITIONS

12. CAPACITY RELEASE (Cont'd.)

As set forth in the first paragraph of this Section 12, the

capacity release timeline will not be applicable if the Existing

Shipper requests Transporter to release it from further

obligations; provided however, that said timeline shall apply if

the Existing Shipper's notice expressly indicates that the

release is not contingent upon Transporter's determination under

this provision.

In no event shall the communication of an award pursuant to

Section 12.6 be deemed as the grant of a request to release the

Existing Shipper from further obligations to Transporter.

In the case of a capacity release, if a Replacement Shipper

utilizes any Secondary Receipt Point or Secondary Delivery

Point, the Releasing Shipper shall be responsible for paying

Transporter's maximum applicable rates for such service unless

Transporter has agreed otherwise. The Releasing Shipper may

protect itself from added charges by the use of a restriction

against the use of higher rate secondary points or by requiring

reimbursement from the Replacement Shipper for such added

charges as part of the provisions of the posted notice of a

capacity release pursuant to Section 12.2(a)(xv) of these

General Terms and Conditions, and by the inclusion of such terms

in the Bid Agreement.