Stingray Pipeline Company, L. L. C.

Third Revised Volume No. 1

Effective Date: 11/01/2008, Docket: RP08-436-000, Status: Effective

First Revised Sheet No. 203 First Revised Sheet No. 203

Superseding: Original Revised Sheet No. 203

GENERAL TERMS AND CONDITIONS

Recourse Rate applied under such bid or request for

the entire evaluation period. Where the Negotiated

Rate(s) or rate(s) under the Negotiated Rate Formula

result in revenue which is less than revenue at the

Recourse Rate over the relevant evaluation period, the

value of the bids or requests at the Negotiated

Rate(s) or rate(s) under the Negotiated Rate Formula

shall be evaluated based on such lower revenue and

shall be afforded a correspondingly lower priority

than bids or requests at the Recourse Rate.

(b) In allocating capacity among competing requests where

one or more request is at a Negotiated Rate or

Negotiated Rate Formula, Stingray will consider, in

assigning value to such request(s), only reservation

or demand charge revenue or other revenue which is

guaranteed to be received by Stingray (i.e., through a

minimum throughput condition or minimum bill). For

capacity evaluation purposes, the value of any such

request shall be capped by the value of the maximum

applicable reservation rate for such service over the

contract term bid.

34.3 ACCOUNTING FOR COSTS AND REVENUES

The allocation of costs to, and the recording of

revenues from service at Negotiated Rate(s) will follow

Stingray's normal practices associated with all of its

services under this Tariff. Stingray will maintain

separate records of Negotiated Rate and Negotiated Rate

Formula transactions for each billing period. These

records shall include the volumes transported, the

billing determinants (contract MDQ), the rates charged

and the revenue received associated with such

transactions. Stingray will separately identify such

transactions in Statements G, I and J (or their

equivalent) filed in any general rate proceeding.