Cove Point LNG Limited Partnership

Second Revised Volume No. 1

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Effective Date: 06/14/2000, Docket: RP00-389-000, Status: Effective

Original Sheet No. 142 Original Sheet No. 142 : Effective

GENERAL TERMS AND CONDITIONS

(Continued)

18. BILLING AND PAYMENT (Continued)

(b) Payment.

(1) On or before the tenth day after Operator renders its bill to Buyer for the gas

delivered during the preceding Billing Month, except when such tenth day is a

Saturday, Sunday or federal bank holiday, Buyer shall pay Operator by wire

transfer of Federal Funds immediately available to Operator at such bank account

as Operator shall designate. When the payment due date falls on a Saturday,

Sunday, or federal bank holiday, payment is due on the following Business Day.

All such payments shall be considered to have been made on the date when Operator

has use of said funds. Notwithstanding the foregoing, a Buyer whose monthly

statement total amount due is less than $10,000.00 may elect to make payment by

check which shall be sent by U.S. Mail, First Class delivery and postmarked on or

before the twentieth day of the month. All payments shall be identified by

invoice number and, if a payment differs from the invoiced amount, remittance

detail shall be provided with payment.

(2) If rendering of a bill by Operator is delayed until one or more days after the

tenth day following the final monthly meter reading, then the time of payment

shall be extended by the same number of days unless Buyer is responsible for such

delay.

(3) Should Buyer fail to pay all of the amount of any bill as herein provided,

interest on the unpaid portion of such bill shall be computed at the rate set

forth in Section 154.67 of the Commission's Regulations, prorated for the

number of days from the due date of payment until the actual date of payment.

(4) If Buyer in good faith disputes the amount of any such bill or part thereof,

Operator shall not be entitled to suspend further delivery of Natural Gas if (i)

Buyer pays to Operator such amounts it concedes to be correct and provides

written documentation as to the basis for the dispute; (ii) within thirty (30)

days of a demand made by Operator, Buyer furnishes good and sufficient surety

bond in the amount and with surety satisfactory to Operator; (iii) such surety

bond guarantees payment to Operator in the amount ultimately found due upon such

bill, plus accrued interest, upon a final determination by agreement or by

judgement of the courts; and (iv) Buyer does not default on the conditions of

such bond.

(c) Adjustment of Billing Errors. If it shall be determined that Buyer has been

overcharged or undercharged in any form whatsoever and Buyer has actually paid the

bills containing such overcharge or undercharge, Operator shall refund the amount of

any such overcharge or Buyer shall pay the amount of any such undercharge within

thirty (30) days after final determination of such amounts. In the event an error is

discovered in the amount billed in any statement rendered by Operator, such error

shall be adjusted within thirty (30) days of Operator's determination of such error,

provided that the claim therefore shall have been made within thirty (30) days after

the date of discovery of such error, but in no event later than six (6) months after

the date of such statement and 7 months from the date of the initial sales invoice

with a three (3) Month rebuttle period. These time limitations shall not apply in

cases of FERC required rate changes, to deliberate omissions, to misrepresenations or

mutual mistake of fact. Neither Buyer's nor Operator's other statutory or contractual

rights shall be affected by this provision.