Panther Interstate Pipeline Energy, L.L.C.

Original Volume No. 1

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Effective Date: 02/01/2004, Docket: CP03-338-001, Status: Effective

Original Sheet No. 12 Original Sheet No. 12 : Effective


reimbursement) to be incurred by Transporter for appurtenant

facilities and equipment, including but not limited to

electronic custody transfer equipment, metering facilities,

gravitometers, calorimeters, flow controllers or other

measurement or metering facilities. Such estimated advance

payments shall be subject to true-up to actual costs

incurred by Transporter for the construction of

transportation and appurtenant facilities within 30 days

following completion of construction of such facilities.


(b) Alternatively, if Transporter and Shipper mutually agree,

the cost of such facilities as determined under Section

5.2(a) of this Rate Schedule may be recovered through an

additional monthly charge over an agreed period.


5.3 Incidental Charges: In addition to the charges pursuant to

Section 5.1 and 5.2 of this Rate Schedule, Transporter shall

charge Shipper an amount to reimburse Transporter 100% for any

filing or similar fees and, if applicable, sales or use tax that

have not been previously paid by Shipper, that Transporter incurs

in establishing or rending service. Shipper shall also pay any

penalties or other applicable charges set out in the General Terms

and Conditions of this Tariff.


5.4 Retainage: For all forward hauls, Transporter shall deduct from

the volume tendered to Transporter by Shipper for redelivery to

Natural an amount of gas sufficient to compensate Transporter for

fuel gas, line loss and other utility purposes, plus other

unaccounted for gas used in the operation of Transporter's

pipeline system in connection with such transportation. No fuel

charge shall apply to transactions that do not involve a forward

haul movement of gas.


5.5 Right to File Rate Changes: Transporter shall have the unilateral

right to file with the appropriate regulatory agency and make

changes effective in the rates and charges or the terms and

conditions of this Rate Schedule or the applicable General Terms

and Conditions. Shipper may protest or contest any such filing.


5.6 Liquids Transportation: Transporter may, but is not obligated to,

transport liquids for Shipper. Any transportation of liquids on

behalf of Shipper shall be pursuant to a separate agreement, which

agreement shall set out the negotiated rate for such