Texas Gas Transmission, LLC

Third Revised Volume No. 1

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Effective Date: 09/15/2008, Docket: RP08-392-000, Status: Effective

Original Sheet No. 2202 Original Sheet No. 2202 GENERAL TERMS AND CONDITIONS Section 10 (Cont'd) (a) Notification of Exercise of Right of First Refusal Under any firm transportation service agreement which provides for twelve (12) or more consecutive months of service or is a multiple year seasonal agreement, when either party provides notice of its intent to terminate the service agreement at the end of the primary term, or any succeeding extension of the primary term, within 30 days of the issuance of such notice, Customer must notify Pipeline that it wishes to exercise its right of first refusal, as contained in Section 284.221(d)(2) of the Commission's Regulations, with respect to the capacity which is the subject of such service agreement. If Customer does not notify Pipeline that it wishes to exercise its right of first refusal within the required time period, then pre-granted abandonment will be applicable at the expiration of the contract term of the subject service agreement. Customers may exercise a right of first refusal on a percentage of their total volume of capacity and release the remaining percentage which is subject to the service agreement pursuant to the right of pregranted abandonment. (b) Posting of Capacity Subject to Right of First Refusal If Customer properly exercises its right-of-first refusal, upon receipt of such notice by Pipeline, Pipeline will post on its Internet Website the following information regarding the capacity subject to the right-of-first refusal: (i) Point(s) of receipt; (ii) Point(s) of delivery; (iii) Supply lateral capacity; (iv) Total quantities subject to right-of-first refusal; (v) Date of termination of current contractual term; (vi) Maximum rate applicable to service currently being provided to Customer; (vii) Applicable rate schedule; and (viii) Date bids are due.