Kansas Pipeline Company

Original Volume No. 1

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Effective Date: 11/01/2000, Docket: RP01- 6-001, Status: Effective

First Revised Sheet No. 240 First Revised Sheet No. 240 : Effective

Superseding: Original Sheet No. 240

GENERAL TERMS AND CONDITIONS (Continued)

Reimbursement, exceed actual deliveries, the

excess shall be applied to any prior accumulated

imbalance due Kansas Pipeline first. If receipts

still exceed deliveries, then an imbalance due

Shipper shall be carried without charge, up to

The MAIQ. Any imbalance, including that portion in

excess of the MAIQ, may be resolved in accordance

with the provisions set forth in Section 12.17.

(i) Cash-out procedure: Any imbalance in excess

of the MAIQ remaining after application

of the imbalance resolution procedures set out

in Section 12.17, shall be sold by Shipper to

Kansas Pipeline according to the following

schedule:

Percentag

Imbalance Level Applicable Mid Continent

in Excess of MAIQ Spot Index

0% - 5% 1.0 x Lowest weekly Price

> 5% - 10% .9 x Lowest weekly Price

>10% - 15% .8 x Lowest weekly Price

>15% - 20% .7 x Lowest weekly Price

>20% .6 x Lowest weekly Price

The percentage imbalance level shall be calculated

by dividing the imbalance in excess of MAIQ by the

actual Quantity of Gas received during the Month

in which the excess occurred, unless the percentage

imbalance level would be lower if calculated using

operating data provided pursuant to Section 12.9 of

these General Terms and Conditions, in which case

the percentage imbalance level shall be calculated

using such operating data.