K N Wattenberg Transmission LLC

Original Volume No. 1

Effective Date: 11/01/1997, Docket: RP97-144-009, Status: Effective

First Revised Sheet No. 53 First Revised Sheet No. 53 : Effective

Superseding: Substitute Original Sheet No. 53

General Terms and Conditions - continued

quantities delivered on any day. Variations shall

be kept to the minimum and shall be balanced as

soon as practicable. Transporter shall be under no

obligation to accept from Shipper more gas at any

Receipt Point than has been nominated by such

Shipper for the Receipt Point for that day.

10. IMBALANCES.

Transporter is not responsible for eliminating any

imbalances in volumes between Shipper and any third party,

including imbalances between local distribution companies

and specific end users. Transporter is not obligated to

deviate from its standard operating and accounting

procedures in order to reduce or eliminate any such third

party imbalances. No imbalance penalty shall be imposed

when a prior period adjustment applied to the current period

causes or increases a current month penalty.

11. DELIVERY.

Any transportation gas delivered by Transporter, which is

designated by either Transporter or Shipper as gas to

satisfy past imbalances, shall be deemed first gas through

the meter relative to other transportation gas delivered by

Transporter.

12. RECEIPTS.

If Transporter receives gas from Shipper at a Point of

Receipt through which transportation quantities are being

received, all firm transportation quantities will be deemed

first through the meter and all interruptible transportation

quantities will be deemed second through the meter.

13. POSSESSION OF GAS.

a. Shipper shall be in exclusive control and possession of

the gas until such has been received at the Point(s) of

Receipt.