TransColorado Gas Transmission Company

Original Volume No. 1

Effective Date: 05/15/2000, Docket: GT00- 25-000, Status: Effective

Third Revised Sheet No. 226 Third Revised Sheet No. 226 : Superseded

Superseding: Second Revised Sheet No. 226

GENERAL TERMS AND CONDITIONS

6. CAPACITY RELEASE BY FIRM SHIPPERS (Continued)

To the extent such a pro rata allocation would

result in a capacity allocation to one or more Qualified Bid(s) below its

Minimum Bid Volume, then such below-minimum Qualified Bids shall be

discarded in their entirety and the Capacity Release Request capacity

shall instead be allocated on a pro rata basis (based on the Maximum Bid

Volume of each Qualified Bid) among the remaining Qualified Bid(s).

(iii) In the event that the previous Section

6.10(d)(ii) pro rata allocation procedure does not result in a single

winning combination of Qualified Bid(s) with the Winning Bid Value, then

Section 6.10(d)(ii) shall be disregarded and the winning Qualified Bid(s)

shall be determined in the following manner:

(1) Identify the highest individual Maximum Bid

Volume for a Qualified Bid which, alone or in combination with other

Qualified Bid(s), can create the Winning Bid Value. Discard all Qualified

Bid combinations which do not contain a Qualified Bid with such highest

Maximum Bid Volume. Identify the highest volume which can be allocated to

such Qualified Bid with such highest Maximum Bid Volume in the remaining

combinations and still have the Winning Bid Value. Discard all

combinations of Qualified Bid(s) which do not contain the highest such

volume allocation. If this does not break the tie, then repeat the above

procedure looking to the next highest Maximum Bid Volume, with the highest

volume allocated thereto, within each remaining combination of Qualified

Bid(s) with a Winning Bid Value; and so forth, until the tie is broken or

all Qualified Bids in the remaining combinations are reviewed.

(2) If the above does not break the tie, identify

again the Qualified Bid within each remaining combination with the highest

Maximum Bid Volume and the highest volume allocated to such Qualified Bid,

and identify which such Qualified Bid has the lowest Minimum Bid Volume.

Discard all combinations which do not contain such Qualified Bid. If this

does not break the tie, repeat the above procedure looking to the next

highest Maximum Bid Volume, with the lowest Minimum Bid Volume, within

each remaining combination of Qualified Bid(s) with the Winning Bid Value;

and so forth, until the tie is broken or all Qualified Bid(s) in the

remaining combination are reviewed.