Pinnacle Pipeline Company

ORIGINAL VOLUME NO. 1

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

Original Sheet No. 156 Original Sheet No. 156 : Effective

25. NORTH AMERICAN ENERGY STANDARDS BOARD (NAESB) STANDARDS

Transporter hereby incorporates into this Tariff by

reference the following NAESB business standards of

Version 1.6 that are required by the Commission in 18

CFR Part 284.12(a), in accordance with Order Nos. 587,

et seq.:

0.3.1, 1.2.1 through 1.2.5, 1.2.8 through 1.2.11,

1.2.13 through 1.2.19, 1.3.2(vi), 1.3.3 through 1.3.9,

1.3.11, 1.3.13 through 1.3.78, 1.3.79, 1.4.1 through

1.4.7, 2.2.1 through 2.2.3, 2.3.1 through 2.3.6, 2.3.8

through 2.3.13, 2.3.15, 2.3.17 through 2.3.25, 2.3.27,

2.3.28 through 2.3.39, 2.3.42 through 2.3.44, 2.3.48,

2.3.50, 2.4.1 through 2.4.16, 3.3.1 through 3.3.14,

3.3.16 through 3.3.26, 3.4.1 through 3.4.4, 4.2.1

through 4.2.20, 4.3.1 through 4.3.76, 4.3.78 through

4.3.88, 5.2.1, 5.2.2, 5.3.3, 5.3.7 through 5.3.10,

5.3.12, 5.3.17, 5.3.18, 5.3.20 through 5.3.43, 5.4.1

through 5.4.22 and standards contained in

Recommendations R02002 (Standards 5.3.44 through

5.3.54) and R02002-2 (Standards 5.2.3 and 5.3.55

through 5.3.58).

In addition, Transporter hereby incorporates into this

Tariff by reference the model Operational Balancing

Agreement approved by NAESB as Standards 6.5.2.

26. DEFAULTS AND REMEDIES

26.1 Events of Default - An "Event of Default" shall

mean, with respect to Shipper or Transporter, the

occurrence of any of the following:

(a) any representation or warranty made in the

Agreement by Shipper or Transporter that

proves to be false or misleading in any

material respect;

(b) the failure of Shipper or Transporter to

perform any covenant set forth in a

Transportation Agreement, where such

failure is not excused by Force Majeure and

is not cured within thirty (30) Business

Days after written notice thereof to the

other party; or