TF03     117  1  05P126First Revised Sheet No. 117
TF04                Original Sheet No. 117
TF05Edward C. McMurtrie, Vice President/General Manager
TF06040197021897RP97-136-000        060197
                   GENERAL TERMS AND CONDITIONS
                           (Continued)

16.  PREGRANTED ABANDONMENT AND RIGHT-OF-FIRST-REFUSAL (Continued)

     16.4 Economic Value:

          For purposes of this Section 16, "Economic Value of a Bid" shall
          be as defined in Section 14.1(k) of the General Terms and
          Conditions of this tariff.

     16.5 Procedures:

          (a)  All times listed for posting of available capacity and for
               bidding under this Section shall be Central Clock Time
               (Central Standard Time or Central Daylight Time, whichever
               is applicable).

          (b)  All bid forms shall be fully disclosed.

          (c)  All Shippers bidding for available capacity must comply with
               Section 7.6 of the General Terms and Conditions of this
               tariff.

          (d)  Paiute may accept more than one bid, if necessary, to
               contract for all available capacity.

          (e)  Shippers should specify the minimum Daily Reserved Capacity
               they desire to secure through each bid in the event that
               bids for varying contract quantities are submitted and the
               available capacity is awarded to more than one Shipper.

          (f)  Bids submitted for capacity at receipt and delivery points
               along Paiute's system must match the receipt and delivery
               points specified in the expiring Service Agreement.

          (g)  A bid may be withdrawn prior to the end of the bidding
               period. A new bid may be submitted to replace the withdrawn
               bid only if the Economic Value of the new bid exceeds the
               Economic Value of the withdrawn bid.

          (h)  The available capacity, receipt points, delivery points, the
               date of expiration of the existing Service Agreement, and
               the terms and conditions of any extension sought by the
               existing Shipper shall be posted to Paiute's Electronic
               Bulletin Board by 7:00 p.m. (5:00 p.m. Pacific Clock Time)
               on the second Monday of the third calendar month preceding
               the calendar month during which the existing Service
               Agreement will expire. Bids for all or any portion of