Valero Interstate Transmission Company

First Revised Volume No. 1

Effective Date: 11/01/1991, Docket: GT91- 42-000, Status: Effective

Original Sheet No. 54 Original Sheet No. 54 : Superseded

GENERAL TERMS AND CONDITIONS

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(continued)

b. If any gas offered for receipt or delivery hereunder shall fail

at any time to conform to the standards set forth herein, except

heating value, then the receiving party may, at its option, refuse

to accept receipt pending correction by the delivery party. Gas

that does not conform to the stated specifications for heating

value will not be accepted.

c. Heating Value

(1) No gas received or delivered hereunder shall have a total

heating value at Point of Delivery below 960 British Thermal

Units (Btu) per cubic foot.

(2) The total heating value shall be determined by a recording

calorimeter or by other methods which Vitco may employ from

time to time mutually agreed upon by Shipper and Vitco.

3. STANDARDS FOR MEASUREMENT AND TESTS

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The measurement and tests of quality of gas received and delivered

hereunder shall be governed by the following:

a. The volumes shall be measured by orifice meters installed and

operated and computations made as prescribed in ANSI/API 2530

of the American National Standards Institute as now and from

time to time amended or supplemented

b. The unit of volume for purposes of measurement (other than heat

content) shall be one (1) cubic foot of gas at a temperature of

sixty degrees (60) Fahrenheit and at a pressure base of fourteen

and sixty-five hundredths (14.65) psia.

c. The unit of measurement for the purpose of transportation and

billing shall be one (1) MMBtu. The number of MMBtu's delivered

shall be determined by multiplying the number of Mcf of gas

delivered, measured on the basis hereinafter specified, by the

total heating value of such gas, in British Thermal Units per

cubic foot, adjusted for differences in pressure base, as defined

in Section 1 above, and by dividing the product by one thousand

(1,000).