Pinnacle Pipeline Company

ORIGINAL VOLUME NO. 1

Effective Date: 10/08/2003, Docket: RP04-102-001, Status: Effective

Original Sheet No. 120 Original Sheet No. 120 : Effective

(b) Firm transportation of Natural Gas within

the contract path from a Shipper's

Secondary Receipt Point(s) and/or to its

Secondary Delivery Point(s), provided a

Shipper's scheduled quantity shall not

exceed its nomination;

the contract path from a Shipper's

Secondary Receipt Point(s) and/or to its

Secondary Delivery Point(s).

(d) Interruptible service by price from highest

to lowest, except scheduling will be pro

rata based on nominated quantities among

Shippers paying the same rate.

(e) Transporter shall use service requester

provided rankings when making reductions

during the scheduling and curtailment

process when this does not conflict with

tariff-based rules. Pursuant to NAESB

Standard 2.3.26 (version 1.6), the time

limitation for disputes of allocations

shall be six (6) months from the date of

the initial month-end allocation with a

three (3)-month rebuttal period. This

standard shall not apply in the case of

deliberate omission or misrepresentation or

mutual mistake of fact. Parties' other

statutory or contractual rights shall not

otherwise be diminished by this standard.

7. ALLOCATION OF DAILY QUANTITIES

Receipts and deliveries of Gas under more than one

contract and/or Rate Schedule shall be allocated in

accordance with any agreement as may exist between

Transporter and Northern Natural. Absent such

agreement, Shipper(s) shall be deemed to have taken

receipt or delivery of Shipper's scheduled quantities

sequentially and in the same priority order as

Transportation is scheduled under section 6 of the

GT&C. Any difference between the allocated and

scheduled Gas quantities at a location will result in

the allocation of an imbalance equal to that difference

to the Shipper. Such imbalances shall be resolved in