GENERAL TERMS AND CONDITIONS
                                 (Continued)
   
   
                  If no bids are received, Customer may continue to receive
                  service under a new Agreement at the applicable Maximum
                  Rate, or at a rate agreed to by Customer and Seller.
   
            (c)   Priority Of Firm Storage Under Agreements:  All firm
                  Storage Agreements shall have equal priority as to
                  service, and shall have priority over interruptible
                  Storage Services under Rate Schedule IS.  Service under
                  both FS and IS shall have priority over Overrun Service.
   
      10.2  INTERRUPTIBLE STORAGE
   
            (a)   Priority Of Nominations For Interruptible Service:
                  Seller, in determining the allocation of interruptible
                  service capacity on any Day among Customers under Rate
                  Schedule IS, which have nominated quantities of service
                  desired on such Day, shall be assigned the order of
                  priority of such service on the basis that the highest
                  rate offered for such service shall be accorded the
                  highest priority.  If more than one nomination or request
                  for interruptible Storage on a Day includes an offer of
                  the same rate, then the order of priority as among such
                  nominations or requests shall be the same, and if the
                  available capacity is insufficient to provide the full
                  level of service proposed in such nominations or
                  requests, the service provided shall be allocated among
                  such Customers pro rata based on the quantities nominated
                  or requested.
   
            (b)   A Customer desiring service under Rate Schedule IS in a
                  Month shall submit to Seller, at least five (5)
                  Business Days prior to the start of such Month, the
                  rate that such Customer is willing to pay for such
                  service in such Month.  The rate submitted by Customer
                  pursuant to the above provision shall be used to
                  determine priority among nominations on each Day of
                  such Month.  Once Customers nomination is accepted,
                  and priority is assigned thereto pursuant to this
                  section for such Month, such priority shall not be
                  changed by the execution of new IS Agreements during
                  the Month for service under Rate Schedule IS.
   
            (c)   Notwithstanding the provisions of this Section 10.2,
                  if a Customer under Rate Schedule IS fails to submit a