Transwestern Pipeline Company

Second Revised Volume No. 1

Effective Date: 02/23/2000, Docket: RP99-481-002, Status: Effective

Substitute Third Revised Sheet No. 92B Substitute Third Revised Sheet No. 92B : Effective

Superseding: Second Revised Sheet No. 92B

GENERAL TERMS AND CONDITIONS

(continued)

Seller will dispose of the unauthorized gas volumes as follows:

1) With Seller's consent, proven owners of unauthorized gas may sell such

unauthorized gas volumes to any Buyer as long as said Buyer has an effective

transportation service agreement in place on Seller's system. Such unauthorized

gas volumes shall become an imbalance on a Buyer's existing FTS-1, LFT, FTS-3,

EFBH or ITS-1 Service Agreement. Unless waived by Seller on a not unduly

discriminatory basis, Buyer agrees to pay Seller the unauthorized gas penalty of

thirty cents per dekatherm (30c/dth) for the respective unauthorized gas volumes

being purchased, plus any applicable Transport Charge including Transport Fuel for

redelivery. Such sale will not change any penalties previously assessed under

Seller's tariff.

2) If said unauthorized gas volumes are not resolved within the Make-up Period, Seller

may retain such unauthorized gas volumes at no cost to Seller, free and clear of

any adverse claims relating thereto, and such party shall be presumed to have

relinquished title to Seller for such gas.

Seller shall not assess more than one unauthorized gas penalty for the same infraction.

To claim unauthorized gas volumes, the party shall submit written notification to Seller

within the Make-up Period along with verification of ownership.

For any revenue received in excess of related costs from penalties assessed on the Seller

or on an affiliate of the Seller, Seller shall refund such revenue within 90 days of the

payment date to other Buyers on Seller's System which purchased transportation services

during the month in which any such penalty was assessed.