Panhandle Eastern Pipe Line Company

First Revised Volume No. 1

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Effective Date: 05/01/1993, Docket: RS92- 22-005, Status: Effective

Original Sheet No. 256 Original Sheet No. 256 : Superseded









Deliveries of Gas by Panhandle to, or for the account of, any

Shipper are absolutely dependent upon confirmed receipts of Gas,

scheduled for delivery or provided for under Rate Schedule GDS.

Panhandle shall, in no circumstances, be obligated to deliver any

Quantities of Gas for which the Thermal Equivalent, adjusted for Fuel

Reimbursement, has not been received by Panhandle for service under

any Service Agreement.


12.1 Panhandle and Shipper, by mutual agreement, shall

establish the date of commencement of receipt and delivery

of Gas hereunder.


12.2 Receipts and deliveries of Gas hereunder shall be at

uniform hourly rates of flow unless otherwise provided

pursuant to the Rate Schedule under which Shipper is

receiving service. If the Quantities of Gas received and

delivered are not in balance on any particular Day such

imbalance shall be corrected by Shipper as promptly as is

reasonably consistent with operating conditions.


12.3 Unless otherwise agreed to in writing by Panhandle and

Shipper, deliveries of Gas at a Point of Delivery shall be

at such pressure as may exist in Panhandle's pipeline at

such point from time to time.


12.4 Deliveries of Gas at the Point of Receipt shall be at a

pressure sufficient to enter Panhandle's pipeline system

at such point.


12.5 Shipper shall be responsible for upstream and downstream

Transportation and Storage arrangements. To the extent

Shipper's upstream or downstream transporters do not

deliver or receive Gas for any reason, Panhandle shall not

be obligated to receive or deliver Gas.


12.6 If a Shipper is unable to accept Quantities of Gas

tendered at the Point(s) of Delivery on any Day, then

Panhandle shall not be obligated to receive Gas at the

Point(s) of Receipt on such Day.