Midcoast Interstate Transmission, Inc.

Second Revised Volume No. 1

Effective Date: 11/01/2000, Docket: RP01- 4-003, Status: Effective

Third Revised Sheet No. 83 Third Revised Sheet No. 83 : Effective

Superseding: Second Revised Sheet No. 83

GENERAL TERMS AND CONDITIONS (continued)

Irrespective of the transportation quantity set forth in the

Shipper's IT Contract, no Shipper receiving interruptible service,

including service related to the transportation of Authorized

Overrun Quantities under Rate Schedule FT, FT-SG IT, may be

curtailed due to a capacity limitation which is the result of a

change during the month in interruptible transportation service

for other Shippers. Provided, however, that interruptible service

may be curtailed due to a change in interruptible service for

other Shippers where the change is due to the correction of a

previously existing force majeure condition. Provided further,

that Transporter shall have the right to modify on a

nondiscriminatory basis the above priority order in the event that

a constraint on a particular part of Transporter's system requires

the temporary interruption of a service higher, by ranking, than

another service which, because of its location on Transporter's

system, need not be interrupted.

3.7 Operational Balancing Agreements, Balancing and Cash-outs - It

shall be the responsibility of the Shipper receiving any

transportation service(s) from Transporter, or any party using

such services on behalf of the Shipper, to use all reasonable

efforts to ensure that receipts and deliveries of gas are equal to

the nominations scheduled by Transporter. The Shipper shall be

responsible to control, and if necessary, adjust receipts,

deliveries and confirmed nominations. To the extent that a

Shipper is out of balance, it will be subject to the daily and

monthly balancing provisions contained within this Section 3.7.

(a) Operational Balancing Agreements - OBAs shall specify the

gas custody transfer procedures to be followed by

Transporter and the OBA Party for the confirmation of

scheduled quantities of gas to be delivered by Transporter

at the Point(s) of Delivery. Such OBAs shall provide that

any variance between actual quantities delivered by Shipper

(as measured by Transporter) and quantities scheduled and

confirmed pursuant to Section 3.4 for any day shall be

resolved by the payment or crediting by Transporter to

Shipper, in the situation where receipts by