NorAm Gas Transmission Company

Fourth Revised Volume No. 1

Effective Date: 02/01/1995, Docket: RP94-343-000, Status: Effective

Original Sheet No. 278 Original Sheet No. 278 : Superseded

GENERAL TERMS AND CONDITIONS

(continued)

(j) whether contingent bids that extend beyond the

bid period may be submitted, how to evaluate and

prioritize such bids against non-contingent

bids, and whether, the terms and conditions

under which, and/or for what time period, the

next highest bidder will be obligated to acquire

the capacity should the winning contingent

bidder withdraw its bid;

(k) any extensions of the minimum posting/bid

periods;

(l) whether releasing Shipper desires to utilize the

first-come, first-served option for short-term

releases described in Section 19.4 below and any

minimum terms applicable thereto; and

(m) other special terms and conditions Shipper

imposes on the release of its capacity,

including minimum rates, term, quantity, etc.

19.2 Pre-arranged Releases. Shipper may designate an

entity (a pre-arranged designated replacement

Shipper) to which it has agreed to release the

capacity upon specified terms and conditions.

Shipper's offer to release under such a pre-arranged

transaction shall be subject to the prior posting and

bidding procedures described in Sections 19.3 - 19.4

below, with the pre-arranged designated replacement

Shipper being given a right to match the best bid

submitted during the bid period; provided, however,

if a pre-arranged transaction with a designated

replacement Shipper is for a period of one month or

less, the releasing Shipper shall provide notice to

Transporter in accordance with this section and may

implement the release without complying with such

prior posting and bidding procedures. Further, if

the releasing Shipper provides notice of a pre-

arranged release in which the designated replacement

Shipper has agreed to meet all terms and conditions

and to pay the maximum rate for terms of more than

one month , such release also may be implemented

without being subject to such prior posting and

bidding procedures. Notice of such exempted releases