Nominations and Scheduling Update CIG High Pressure Scheduling Changes John Driscoll Manager, Nominations and Scheduling

Agenda Overview from Operations Meeting Why is a change needed? What is changing? What will this impact? Planned implementation Q & A 2

From the April 2012 Operations Meeting Scheduling High Pressure Gas on CIG Evaluating a Flow Model Update – Better match High Pressure Gas scheduling to operational capability – Ensure all Firm commitments can be met – Maximize High Pressure Capabilities Plan full rollout to Customers – Planning/coordination – late summer – Estimated Implementation 4 th Quarter

Why is a change needed? Need to reorient locations to better represent physical layout of the pipeline – Recent maintenance revealed challenges for high pressure dispatch When the system is full, two locations in particular impact our ability to properly schedule Firm commitments – Dover (WIC – CIG) – Crazy Horse (REX – CIG) Maximize the use of high pressure assets – Accurately determine high pressure availability – Schedule based on tariff priorities – Prevent over-scheduling of operational capacity 4

What is changing ? Restricted Deliveries at Dover – Unchanged Dover Characteristics Receipt capacity is unchanged (308.4 MMcf/d) Deliveries to WIC are by displacement only – CIG offload gas is dedicated to support high pressure requirements at Dover Offload capacity is 171 MMcf/d (CIG contract on WIC) Capacity is included in HPC operating capacity (426 MMcf/d) Displacement deliveries decreasing high pressure availability are not supported – Deliveries to WIC Limited to scheduled non-offload Dover receipts CIG deliveries bouncing to transport on CIG are supported WIC deliveries bouncing to transport on WIC are supported 5

What is changing ? (cont.) Reorient Crazy Horse to high pressure (Segment 940) – Low pressure supplies to CZH or High Plains deliveries will flow through the High Pressure Constraint (HPC) – Receipts from CZH To low pressure locations will flow on High Pressure facilities (Segment 352) and through NHC (Segment 354) at Watkins To PON and TOM will flow through NHC and HPC to track physical flow path To high pressure locations (Segments 352 and 353) will stay on high pressure facilities To High Plains locations no change 6

7

8

Contract Paths Impact Contract Routes – HPC on Segment 350 to control all low-to-high pressure (replace CHC) – Physical deliveries to WIC must use BOW – Low pressure receipts to high pressure facilities must use HPC – New Bowie South Constraint (BSC) to manage HPC and Bowie receipts for High Pressure deliveries – New Jumper Facility Constraint (JFC) to manage deliveries to Ponderosa, and Tomahawk – Crazy Horse receipts on high pressure facilities Seamless deliveries to off-system locations – CIG to WIC (at Bowie) – Modified W21 constraint (Hudson North) controls system deliveries (including North Raton Lateral receipts) – Low pressure receipts will use HPC to reach high pressure facilities 9

Qualified HEEN Compressor Paths Dover Receipts to – High pressure points – HPC, W12 – Low pressure points – No change Bowie Receipts to – High pressure points – BSC, W21 – Low pressure points – BSC, W21 Wyoming mainline receipts to – High pressure points – CYC, HPC – Low pressure points – No Change 10

11

12

13

14

15

16

17

18

19

What is not changing? Colorado Interstate Gas Company – High Pressure Constraint (HPC) Capacity is 426 MMcf/d – Large Jumper (170 MMcf/d) – Small Jumper (85 MMcf/d) – CIG Off-load on WIC (171 MMcf/d) – HUB locations – Fuel Mainline and HUB-1 Fuel High Pressure Delivery Fuel (system fuel rate) High Plains – Nominations for CIGs west-to-east WIC capacity on WIC 20

What is not changing? Wyoming Interstate Gas Company – Minimal Changes – Existing location positions, flow paths, fuel requirements and capacities are unchanged – Cheyenne-area interconnects with CIG Dover – Physical deliveries to CIG (low pressure) – Displacement deliveries to WIC are limited to non- offload scheduled receipts Bowie – Bidirectional facility – Primary interconnect for CIG seamless capacity Flying Hawk – WIC deliveries to CIG High Plains system – Displacement receipts from CIG High Plains system 21

22

Implementation Implementation for November 1, 2012 – November 1 nominations by October 29 – Rest of October is unchanged 23

Appendix High Pressure Constraint Capacities Constraint Firm Commitments November 1, 2012 (as of August 11, 2012) 24

High Pressure Constraint Capacities Forwardhaul Backhaul Constraint Constraint Acronym Segment Existing Capacity Updated Capacity HEEN Qualified Existing Capacity Updated Capacity Forwardhaul DescriptionComments New - Jumper Facility JFC930NA326NNA0 High Pressure Segments and RCD delivering to PON, TOM and DOV Meter facility limit High Pressure PoolHPC YNA0Low to High Pressure Represents the CIG Offload and Jumper Compression New - Bowie SouthBSC360NA417YNA129 From BOW to Watkins North High Replaces existing Bowie North Constraint Revised - Bowie North W YNA0 From BOW to Seg 930 and HPC Revised position and function (limits BOW Receipts to TOM and PON) Hudson NorthW Y129 Seg 355 and 940 to Seg 352 south Control backhaul capacity to the north Remove - Cheyenne High CHC35050RemoveY0 Low to High PressureReplace with HPC CIG Mainline to High Plains CMH N00 Crazy Horse to High Plains No physical flow from High Plains to ML Cheyenne Compressor CYC Y294 Cheyenne to South Cheyenne SouthCYS Y231294North to South High Plains NorthHNOH Y00North to South No physical flow from High Plains to WIC Watkins NorthW Y284200North to South Watkins BackflowH Y358 West to East New - Fort Lupton South FTS352NA367NNA129 North to South High Pressure South to North High Pressure North HighNHC Y00 High Pressure to Low Pressure at Watkins Watkins SouthV Y00North to South Valley HighVHC Y129 North to South High Pressure

Constraint Firm Commitments November 1, 2012 (as of August 11, 2012) Constraint Constraint Acronym Segment Forward Haul Capacity [MMcf/d] Firm Commitments [MDth/d] Jumper Meter Constraint JFC High Pressure PoolHPC Bowie SouthBSC Bowie NorthW Hudson NorthW CIG Mainline to High Plains CMH Cheyenne CompressorCYC Cheyenne SouthCYS High Plains NorthHNOH Watkins NorthW Watkins BackflowH Fort Lupton SouthFTS North HighNHC Watkins SouthV Valley HighVHC

Questions?? 27