Article 4 Exemption

ENMO shall be an exempted person as respects any activities within paragraph 12 or 13 of Schedule 1 in which it engages in its capacity as the operator of the balancing market for the purpose of enabling or facilitating BG plc and relevant gas shippers to buy or sell investments within paragraph 8 or 9 of Schedule 1, provided that such buying or selling is for the purpose of their participation in the balancing market.

The reference in sub-paragraph (1) above to enabling or facilitating the buying or selling of investments includes engaging in such activity pursuant to rules governing the operation of the balancing market in the event of one of the participants appearing to be unable, or likely to become unable, to meet his obligations in respect of one or more contracts entered into through the balancing market.