Document:

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                                                                   EXHIBIT 10.10
                                                                [EXECUTION COPY]

                                    FORM OF
                                    GUARANTY

         This Guaranty dated as of July 31, 2002 ("Guaranty") is by each of the
entities named on the signature pages hereto (each a "Guarantor" and
collectively, the "Guarantors"), in favor of Citibank, N.A., as surety
administrative agent ("Agent") for the Financial Institutions (as defined
below).

                                  INTRODUCTION

         A. The Williams Companies, Inc., a Delaware corporation (the
"Company"), has entered into a Credit Agreement dated as of July 31, 2002 (as
amended, modified, supplemented or restated from time to time, the "L/C Credit
Agreement," the defined terms of which are used in this Guaranty unless
otherwise defined herein), together with Citicorp USA, Inc., as agent and
collateral agent ("Collateral Agent"), Bank of America N. A., as syndication
agent ("Syndication Agent"), Citibank, N.A. and Bank of America N.A., as issuing
bank ("Issuing Bank") and the banks named therein (the "L/C Banks"), and Salomon
Smith Barney Inc., as "L/C Arranger" providing for the extension of credit and
the issuance of Letters of Credit. The Collateral Agent, Syndication Agent,
Issuing Bank, L/C Banks and L/C Arranger are collectively referred to herein as
the "L/C Financial Institutions."

         B. The Company; Northwest Pipeline Corporation, a Delaware corporation;
Transcontinental Gas Pipe Line Corporation, a Delaware corporation; and Texas
Gas Transmission Corporation, a Delaware corporation, as the borrowers (referred
to herein as the "MWCA Borrowers" and collectively with the L/C Borrower as the
"Borrowers"), have entered into a Credit Agreement dated July 25, 2000, (as
amended, modified, supplemented or restated from time to time, the "Multiyear
Williams Credit Agreement"), together with the banks named therein, (the "MWCA
Banks"), and The Chase Manhattan Bank and Commerzbank AG as co-syndication
agents (collectively, the "Co-Syndication Agents"), and Credit Lyonnais New York
Branch as documentation agent ("Documentation Agent") and Citibank, N.A., as
agent ("MWCA Agent"), and Salomon Smith Barney, as Arranger ("MWCA Arranger"),
providing for the making of advances by the MWCA Banks. The MWCA Banks,
Co-Syndication Agents, MWCA Agent, Documentation Agent and MWCA Arranger are
collectively referred to herein as the "MWCA Financial Institutions".

         C. The MWCA Financial Institutions and the L/C Financial Institutions
are referred to herein collectively as the "Financial Institutions." The L/C
Credit Agreement and the Multiyear Williams Credit Agreement together with all
documents, instruments, agreements, certificates, and notices at any time
executed and/or delivered in connection with either of the foregoing are
collectively, referred to herein, as the same may be amended and modified from
time to time, as the "Credit Documents".

         D. It is a condition to certain transactions under the Credit
Documents, that the Guarantors shall have executed and delivered this Guaranty.

         E. The Company is the principal financing entity for all capital
requirements of its Guarantors, and from time to time the Company has made
capital contributions and advances to each Guarantor. Each Guarantor is a wholly
owned Subsidiary of the Company and will derive

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substantial direct or indirect benefit from the transactions contemplated by the
Credit Documents.

         THEREFORE, in order to induce the Financial Institutions to enter into
and/or continue certain financing transactions described in the Credit
Documents, each of the Guarantors hereby agrees with Agent for its benefit and
the benefit of the Financial Institutions as follows:

Section 1. Guaranty. Each of the Guarantors, severally, hereby unconditionally
and irrevocably guarantees the punctual payment when due, whether at stated
maturity, by acceleration or otherwise, of the Guaranteed Obligations (defined
below) For purposes of this Guaranty, the "Guaranteed Obligations" shall mean
collectively (a) all obligations under this Guaranty and (b) the outstanding
principal amount of indebtedness, reimbursement obligations for draws on letters
of credit, and cash collateralization obligations for letters of credit under
the Credit Documents, all accrued but unpaid interest thereon under the Credit
Documents, all premium, if any, in connection therewith under the Credit
Documents, all fees in connection therewith under the Credit Documents, and all
other reimbursement, indemnification, and other payment obligations in
connection therewith under the Credit Documents. Without limiting the generality
of the foregoing, each Guarantor's liability shall extend to all amounts which
constitute part of the Guaranteed Obligations even if such Guaranteed
Obligations are declared unenforceable or not allowable in a bankruptcy,
reorganization, or similar proceeding involving any Borrowers, or any guarantor
of any portion of the foregoing Guaranteed Obligations (collectively such
guarantors together with the Guarantors and the Borrowers are referred to herein
as the "Obligors"). This Guaranty is a guarantee of payment, not of collection,
and each Guarantor is primarily liable for the payment of the Guaranteed
Obligations.

Section 2. Limit of Liability. The liabilities and obligations of the each
Guarantor hereunder shall be limited to an aggregate amount equal to the largest
amount that would not render such Guarantor's obligations hereunder subject to
avoidance under Section 548 of the United States Bankruptcy Code or any
comparable provisions of any applicable state law.

Section 3. Guaranty Absolute. Each of the Guarantors guarantees that the
Guaranteed Obligations will be paid strictly in accordance with the Credit
Documents, regardless of any law, regulation, or order now or hereafter in
effect in any jurisdiction affecting any of such terms or the rights of Agent or
any Financial Institution with respect thereto. The obligations of each
Guarantor under this Guaranty are independent of the Guaranteed Obligations in
each and every particular, and a separate action or actions may be brought and
prosecuted against any other Obligor, or any other Person regardless of whether
any other Obligor or any other Person is joined in any such action or actions.
The liability of each Guarantor under this Guaranty shall be absolute and
unconditional irrespective of:

         (a) The lack of validity or unenforceability of the Guaranteed
Obligations or any Credit Document (other than this Guaranty against such
Guarantor) for any reason whatsoever, including that the act of creating the
Guaranteed Obligations is ultra vires, that the officers or representatives
executing the documents creating the Guaranteed Obligations exceeded their
authority, that the Guaranteed Obligations violate usury or other laws, or that
any Obligor has defenses to the payment of the Guaranteed Obligations, including
breach of warranty, statute of frauds, bankruptcy, statute of limitations,
lender liability, or accord and satisfaction;

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         (b) Any change in the time, manner, or place of payment of, or in any
term of, any of the Guaranteed Obligations, any increase, reduction, extension,
or rearrangement of the Guaranteed Obligations, any amendment, supplement, or
other modification of the Credit Documents, or any waiver or consent granted
under the Credit Documents, including waivers of the payment and performance of
the Guaranteed Obligations;

         (c) Any release, exchange, subordination, waste, or other impairment
(including negligent, willful, unreasonable, or unjustifiable impairment) of any
collateral securing payment of the Guaranteed Obligations; the failure of Agent,
any Financial Institution or any other person to exercise diligence or
reasonable care in the preservation, protection, enforcement, sale, or other
handling of the collateral; the fact that any security interest, lien, or
assignment related to any collateral for the Guaranteed Obligations shall not be
properly perfected, or shall prove to be unenforceable or subordinate to any
other security interest, lien, or assignment;

         (d) Any full or partial release of any Obligor (other than the full or
partial release of such Guarantor);

         (e) The failure to apply or the manner of applying collateral or
payments of the proceeds of collateral against the Guaranteed Obligations;

         (f) Any change in the organization or structure of any Obligor; any
change in the shareholders, directors, or officers of any Obligor; or the
insolvency, bankruptcy, liquidation, or dissolution of any Obligor or any
defense that may arise in connection with or as a result of any such insolvency,
bankruptcy, liquidator or dissolution;

         (g) The failure to give notice of any extension of credit made by Agent
or any Financial Institution to any Obligor, notice of acceptance of this
Guaranty, notice of any amendment, supplement, or other modification of any
Credit Document, notice of the execution of any document or agreement creating
new Guaranteed Obligations, notice of any default or event of default, however
denominated, under the Credit Documents, notice of intent to demand, notice of
demand, notice of presentment for payment, notice of nonpayment, notice of
intent to protest, notice of protest, notice of grace, notice of dishonor,
notice of intent to accelerate, notice of acceleration, notice of bringing of
suit, notice of Agent or any Financial Institution's transfer of the Guaranteed
Obligations, notice of the financial condition of or other circumstances
regarding any Obligor, or any other notice of any kind relating to the
Guaranteed Obligations;

         (h) Any payment or grant of collateral by any Obligor to Agent or any
Financial Institution being held to constitute a preference under bankruptcy
laws, or for any reason Agent or any Financial Institution is required to refund
such payment or release such collateral;

         (i) Any other action taken or omitted which affects the Guaranteed
Obligations, whether or not such action or omission prejudices any Guarantor or
increases the likelihood that any Guarantor will be required to pay the
Guaranteed Obligations pursuant to the terms hereof;

         (j) The fact that all or any of the Guaranteed Obligations cease to
exist by operation of law, including, without limitation, by way of discharge,
limitation or tolling thereof under applicable bankruptcy laws; and

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         (k) Any other circumstances which might otherwise constitute a defense
available to, or a discharge of any Obligor (other than the discharge of such
Guarantor).

Section 4.  Agent's Rights and Certain Waivers.

         4.01. Notice and Other Remedies. Each of the Guarantors hereby waives
promptness, diligence, notice of acceptance, notice of acceleration, notice of
intent to accelerate, and any other notice with respect to any of the Guaranteed
Obligations and this Guaranty and any requirement that Agent or any Financial
Institution protect, secure, perfect or insure any security interest or other
Lien or any property subject thereto or exhaust any right to take any action
against any Obligor or any other Person or any collateral.

         4.02. Waiver of Subrogation and Contribution. (a) Until such time as
the Guaranteed Obligations are irrevocably paid in full, each of the Guarantors
hereby irrevocably waives any claim or other rights which it may acquire against
any Obligor that arise from such Guarantor's Guaranteed Obligations under this
Guaranty or any other Credit Document, including, without limitation, any right
of subrogation (including, without limitation, any statutory rights of
subrogation under Section 509 of the Bankruptcy Code, 11 U.S.C. Section 509),
reimbursement, exoneration, contribution, indemnification, or any right to
participate in any claim or remedy of Agent or any Financial Institution against
any Obligor, or any collateral which Agent or any Financial Institution now has
or acquires. If any amount shall be paid to any Guarantor in violation of the
preceding sentence and the Guaranteed Obligations shall not have been paid in
full, such amount shall be held in trust for the benefit of Agent and the
Financial Institutions, and shall promptly be paid to Agent for the benefit of
Agent and the Financial Institutions to be applied to the Guaranteed
Obligations, whether matured or unmatured, as Agent may elect. Each of the
Guarantors acknowledges that it will receive direct and indirect benefits from
the financing arrangements contemplated by the Credit Documents and that the
waiver set forth in this Section 4.02(a) is knowingly made in contemplation of
such benefits.

         (b) Each of the Guarantors agrees that, to the extent that any Borrower
makes payments to Agent or any Financial Institution, or Agent or any Financial
Institution receives any proceeds of collateral, and such payments or proceeds
or any part thereof are subsequently invalidated, declared to be fraudulent or
preferential, set aside, or otherwise required to be repaid, then to the extent
of such repayment the Guaranteed Obligations shall be reinstated and continued
in full force and effect as of the date such initial payment or collection of
proceeds occurred. EACH OF THE GUARANTORS SHALL INDEMNIFY THE AGENT AND ANY
FINANCIAL INSTITUTION AND EACH AFFILIATE THEREOF AND THEIR RESPECTIVE DIRECTORS,
OFFICERS, EMPLOYEES AND AGENTS FROM, AND DISCHARGE, RELEASE, AND HOLD EACH OF
THEM HARMLESS AGAINST, ANY AND ALL LOSSES, LIABILITIES, GUARANTEED OBLIGATIONS,
PENALTIES, ACTIONS, JUDGMENTS, SUITS, COSTS, DISBURSEMENTS, CLAIMS OR DAMAGES TO
WHICH ANY OF THEM MAY BECOME SUBJECT, INSOFAR AS SUCH LOSSES, LIABILITIES,
GUARANTEED OBLIGATIONS, PENALTIES, ACTIONS, JUDGMENTS, SUITS, COSTS,
DISBURSEMENTS, CLAIMS OR DAMAGES ARISE OUT OF OR RESULT FROM (I) ANY ACTUAL OR
PROPOSED USE BY ANY BORROWER, OR ANY AFFILIATE OF ANY BORROWER OF THE PROCEEDS
OF ANY ADVANCE, (II) ANY BREACH BY ANY GUARANTOR OF ANY PROVISION OF THIS
GUARANTY OR ANY OTHER CREDIT DOCUMENT, (III) ANY INVESTIGATION, LITIGATION OR
OTHER PROCEEDING (INCLUDING ANY THREATENED INVESTIGATION OR PROCEEDING) RELATING
TO THE FOREGOING, OR (IV) ANY ENVIRONMENTAL CLAIM OR REQUIREMENT OF
ENVIRONMENTAL LAWS CONCERNING OR RELATING TO THE PRESENT OR PREVIOUSLY-OWNED OR
OPERATED PROPERTIES, OR THE OPERATIONS OR BUSINESS, OF ANY OBLIGOR, AND EACH OF
THE GUARANTORS SHALL REIMBURSE THE AGENT AND EACH

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FINANCIAL INSTITUTION, AND EACH AFFILIATE THEREOF AND THEIR RESPECTIVE
DIRECTORS, OFFICERS, EMPLOYEES AND AGENTS, UPON DEMAND FOR ANY REASONABLE
OUT-OF-POCKET EXPENSES (INCLUDING LEGAL FEES) INCURRED IN CONNECTION WITH ANY
SUCH INVESTIGATION, LITIGATION OR OTHER PROCEEDING; AND EXPRESSLY INCLUDING ANY
SUCH LOSSES, LIABILITIES, GUARANTEED OBLIGATIONS, PENALTIES, ACTIONS, JUDGMENTS,
SUITS, COSTS, DISBURSEMENTS, CLAIMS, DAMAGES, OR EXPENSE INCURRED BY REASON OF
THE PERSON BEING INDEMNIFIED'S OWN NEGLIGENCE, BUT EXCLUDING ANY SUCH LOSSES,
LIABILITIES, GUARANTEED OBLIGATIONS, PENALTIES, ACTIONS, JUDGMENTS, SUITS,
COSTS, DISBURSEMENTS, CLAIMS, DAMAGES OR EXPENSES INCURRED BY REASON OF THE
GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF THE PERSON TO BE INDEMNIFIED.

         Agent shall have the absolute right to make demands for, file suits,
claims or engage in other proceedings and exercise any other rights or remedies
available to Agent to collect amounts owed to it pursuant to the terms of the
indemnities set forth in this Guaranty, and Agent shall not need the consent of
any other Financial Institution or Person whatsoever to do so.

         4.03. Modifications and Amendment to the Credit Documents. As provided
in Section 1 above, certain increases in the principal indebtedness outstanding
under the Credit Documents shall not constitute Guaranteed Obligations. Except
as to the foregoing, the parties to the Credit Documents shall have the right to
amend or modify such Credit Agreements without affecting the rights provided for
in this Guaranty.

Section 5. Representations and Warranties. Each of the Guarantors hereby
represents and warrants as follows:

         (a) Business Existence. Each of the Guarantors is duly organized,
validly existing, and in good standing under the laws of the jurisdiction of its
organization and in good standing and qualified to do business in each
jurisdiction where its ownership or lease of property or conduct of its business
requires such qualification and where a failure to be qualified could reasonably
be expected to cause a material adverse effect.

         (b) Power. The execution, delivery, and performance by each of the
Guarantors of this Guaranty and the other Credit Documents to which it is a
party and the consummation of the transactions contemplated hereby and thereby
(a) are within such Guarantor's powers, (b) have been duly authorized by all
necessary action, (c) do not contravene (i) such Guarantor's organizational and
constitutional documents or (ii) any law or any contractual restriction binding
on or affecting such Guarantor or its property, and (d) will not result in or
require the creation or imposition of any Lien prohibited by the Credit
Documents.

         (c) Authorization and Approvals. No authorization or approval or other
action by, and no notice to or filing with, any Governmental Authority is
required for the due execution, delivery and performance by the Guarantors of
this Guaranty or the other Credit Documents to which any Guarantor is a party or
the consummation of the transactions contemplated thereby.

         (d) Enforceable Obligations. This Guaranty and the other Credit
Documents to which such Guarantor is a party have been duly executed and
delivered by such Guarantor. Each Credit Document to which any Guarantor is a
party is the legal, valid, and binding obligation of each such Guarantor and is
enforceable against each such Guarantor in accordance with its terms, except as
such enforceability may be limited by any applicable bankruptcy, insolvency,
reorganization, moratorium, or similar law affecting creditors' rights
generally.

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         (e) Solvency. Each Guarantor is and shall be after giving effect to
this Guaranty, individually and together with its Subsidiaries, Solvent.

Section 6. Covenants.

         (a) Each Guarantor will comply with all provisions of the Credit
Documents that are applicable to such Guarantor including the provisions of
Article V of the L/C Credit Agreement.

         (b) In the event that Agent wishes to enforce the guarantee contained
in Section 1 hereof against any Guarantor, it shall make written demand for
payment from such Guarantor, provided that no such demand shall be required if
such Guarantor is in bankruptcy, liquidation, or other insolvency proceedings,
and provided that failure by Agent to make such demand shall not affect any
Guarantor's obligations under this Guaranty.

         (c) All indebtedness of any Guarantor to another Obligor or any
Borrower or any Subsidiary of a Borrower shall be subordinated to all
indebtedness of any Guarantor to Agent or any Financial Institution under any of
the Credit Documents (the "Senior Indebtedness"), as follows:

         (i) In the event of any insolvency or bankruptcy proceedings, or any
receivership liquidation, reorganization, or other similar proceedings in
connection therewith, relative to any Guarantor, or to its property, or in the
event of any proceedings for voluntary liquidation, dissolution, or other
winding up of any Guarantor, whether or not involving insolvency or bankruptcy,
then the holders of the Senior Indebtedness shall be entitled to receive payment
in full of all Senior Indebtedness before any Obligor or any Subsidiary of a
Borrower shall receive any payment on account of principal or interest due such
Person from any Guarantor;

         (ii) After the occurrence and during the continuance of any default or
event of default, however denominated, under any Credit Document (an "Event of
Default"), no Guarantor shall exercise or attempt to exercise any right of
offset or counterclaim in respect of any of its obligations to any other Obligor
or any Subsidiary of a Borrower if the effect thereof shall be to reduce the
amount of any payment to which the holders of Senior Indebtedness would be
entitled in the absence of such offset or counterclaim; and if and to the extent
that, notwithstanding the foregoing, any Guarantor is required by any mandatory
provisions of law to exercise any such right of offset or counterclaim, each
reduction of the amount owing on the account of the principal of or premium (if
any) or interest owed to any Obligor or any Subsidiary of a Borrower by reason
of such offset or counterclaim shall be deemed to be a payment by such Guarantor
in a like amount in respect of such amounts which clause (iv) below shall apply;

         (iii) Following the occurrence and during the continuance of any Event
of Default, (A) payment of the principal or interest upon any indebtedness owed
to any Obligor or any Subsidiary of a Borrower shall not be made thereunder
until payment in full of all Senior Indebtedness has been made and (B) the
holders of the Senior Indebtedness shall be entitled to receive payment in full
of all Senior Indebtedness prior to the entitlement of any Obligor or any
Subsidiary of a Borrower to receive any payment of the principal or interest
(except for payments which have been made prior to the occurrence of such event
of default);

         (iv) If, notwithstanding the provisions of the foregoing subparagraphs
(i) through (iii), any payment or distribution on any indebtedness shall be
received by any Guarantor or any

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Obligor or any Subsidiary of a Borrower while an Event of Default exists and
before the holders of the Senior Indebtedness shall have received payment in
full on all Senior Indebtedness, such payment or distribution shall be (and
shall be deemed to be) held in trust for the benefit of, and shall be paid over
or delivered or transferred to, the holders of the Senior Indebtedness for
application to the payment of all Senior Indebtedness held by such holder to the
extent necessary to satisfy such Senior Indebtedness; and

         (v) No present or future holder of Senior Indebtedness shall be
prejudiced in its right to enforce subordination of any Obligor or any
Subsidiary of a Borrower by any act or failure to act on the part of such
Guarantor whether or not such act or failure shall give rise to any right of
rescission or other claim or cause of action on the part of any other Guarantor
or any Borrower or any Subsidiary of a Borrower. The provisions of the foregoing
paragraphs with respect to subordination are solely for the purpose of defining
the relative rights of the holders of Senior Indebtedness on the one hand, and
any Obligor or any Subsidiary of a Borrower on the other hand, and none of such
provisions shall impair, as between such Guarantor and any Obligor or any
Subsidiary of a Borrower, the obligation of such Guarantor, which is
unconditional and absolute, to pay to any Obligor or any Subsidiary of a
Borrower the principal and interest of any indebtedness in accordance with its
terms, nor shall anything in such provisions prevent any other Obligor or any
Subsidiary of a Borrower from exercising all remedies otherwise permitted by
applicable law or hereunder upon default hereunder, subject to the rights of
holders of Senior Indebtedness under such provisions.

Section 7. Agency and Intercreditor Arrangement.

         (a) Agent's Authorization and Action. By acceptance of this Guaranty
each of the Financial Institutions hereby appoints and authorizes Citibank, N.A.
as the agent, to take such action as agent on such Financial Institution's
behalf and to exercise such powers under the this Guaranty as are delegated to
the Agent by the terms hereof, together with such powers as are reasonably
incidental thereto; provided, however, Agent shall not bring an action on behalf
of the Financial Institutions to enforce their rights against an Obligor under
the terms of this Guaranty until Agent receives the approval of the Majority
Financial Institutions (as defined below) to do so. As to any matters not
expressly provided for by this Guaranty, the Agent shall not be required to
exercise any discretion or take any action, but shall be required to act or to
refrain from acting (and shall be fully protected in so acting or refraining
from acting) upon the instructions of the Majority Financial Institutions, and
such instructions shall be binding upon all Financial Institutions; provided,
however, that the Agent shall not be required to take any action which exposes
the Agent to personal liability or which is contrary to this Guaranty or
applicable law. The Agent agrees to give to each Financial Institution prompt
notice of each notice given to it by any Guarantor pursuant to the terms of this
Guaranty. For purposes of this Guaranty, "Majority Financial Institutions" shall
have consented when consent has been received from both (a) the Majority Banks
as such term is defined in the L/C Credit Agreement, and (b) the Majority Banks
as such term is defined in the MWCA Credit Agreement.

         (b) Agent's Reliance, Etc. Neither the Agent nor any of its directors,
officers, agents or employees shall be liable for any action taken or omitted to
be taken by it or them under or in connection with this Guaranty, except for its
or their own gross negligence or willful misconduct. Without limitation of the
generality of the foregoing, the Agent: (i) may continue to treat each of the
original Financial Institutions as a current Financial Institution until the
Agent receives

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documentation that is acceptable to Agent (in the Agent's sole discretion)
evidencing any transfer of such Financial Institutions rights and obligations to
another entity; (ii) may consult with legal counsel (including counsel for any
Borrower), independent public accountants and other experts selected by it and
shall not be liable for any action taken or omitted to be taken in good faith by
it in accordance with the advice of such counsel, accountants or experts; (iii)
makes no warranty or representation to any Financial Institution and shall not
be responsible to any Financial Institution for any statements, warranties or
representations (whether written or oral) made in or in connection with this
Guaranty; (iv) shall not have any duty to ascertain or to inquire as to the
performance or observance of any of the terms, covenants or conditions of this
Guaranty on the part of any Obligor or to inspect any property (including the
books and records) of any Obligor; (v) shall not be responsible to any Financial
Institution for the due execution, legality, validity, enforceability,
genuineness, sufficiency or value of this Guaranty or any other instrument or
document furnished pursuant hereto; and (vi) shall incur no liability under or
in respect of any Credit Document or this Guaranty by acting upon any notice,
consent, certificate or other instrument or writing (which may be by telecopier,
telegram, cable or telex) believed by it to be genuine and signed or sent by the
proper party or parties.

         (c) Rights. With respect to (a) its Letter of Credit Commitments, the
advances made by it, the Reimbursement Obligations owed to it, any Letter of
Credit Interest held by it, the notes, if any, issued to it and all other credit
extensions and documents related to the L/C Credit Agreement and (b) its
Commitments, Advances, Notes (as such terms are defined in the MWCA Credit
Agreement) issued to it and all other credit extensions and documents related to
the MWCA Credit Agreement, Citibank N.A., shall have the same rights and powers
under the above described credit extensions and documents and this Guaranty as
any other Financial Institution and may exercise the same as though it was not
the Agent. The terms Financial Institution and Financial Institutions shall,
unless otherwise expressly indicated, include Citibank N.A. in its individual
capacity. Citibank N.A., and its affiliates may accept deposits from, lend money
to, act as trustee under indentures of, and generally engage in any kind of
business with, any Borrower, any Subsidiary of any Borrower, any Person who may
do business with or own, directly or indirectly, securities of any Borrower or
any Subsidiary or Borrower and any other Person, all as if Citibank N.A. were
not the Agent, in each case without any duty to account therefor to any of the
Financial Institutions.

         (d) Financial Institution Credit Decision. Each Financial Institution
acknowledges that it has, independently and without reliance upon the Agent or
any other Financial Institution and based on the financial statements and such
other documents and information as it has deemed appropriate, made its own
credit analysis and decision to enter into the transactions set forth in the
Credit Documents it has executed. Each Financial Institution also acknowledges
that it will, independently and without reliance upon the Agent or any other
Financial Institution and based on such documents and information as it shall
deem appropriate at the time, continue to make its own credit decisions in
taking or not taking action under any of the Credit Documents or this Guaranty.

         (e) Successor Agent. The Agent may resign at any time as Agent under
this Guaranty by giving written notice thereof to the Financial Institutions and
the Borrowers and may be removed at any time with or without cause by the
Majority Financial Institutions. Upon any such resignation or removal, the
Majority Financial Institutions shall have the right to appoint a successor
Agent from among the Financial Institutions. If no successor Agent shall

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have been so appointed by the Majority Financial Institutions with such consent,
and shall have accepted such appointment, within 30 days after the retiring
Agent's giving of notice of resignation or the Majority Financial Institutions'
removal of the retiring Agent, then the retiring Agent may, on behalf of the
Financial Institutions, appoint a successor Agent, which shall be an entity
which is a commercial bank organized under the laws of the United States of
America or of any State thereof and having a combined capital and surplus of at
least $500,000,000. Upon the acceptance of any appointment as Agent under this
Guaranty by a successor Agent, such successor Agent shall thereupon succeed to
and become vested with all the rights, powers, privileges and duties of the
retiring Agent and shall function as the Agent under this Guaranty, and the
retiring Agent shall be discharged from its duties and obligations as Agent
under this Guaranty. After any retiring Agent's resignation or removal hereunder
as Agent, the provisions of this Article 7 shall inure to its benefit as to any
actions taken or omitted to be taken by it while it was Agent under this
Guaranty.

         (f) Application of Proceeds. The proceeds of any sale of, or other
realization upon, all or any funds or collateral pursuant to the terms of this
Guaranty shall be in the following order:

             First, to payment of the reasonable expenses of any such sale or
             other realization, including payment of fees, indemnities, expenses
             and other amounts (including, without limitation, attorneys' fees)
             payable to Agent in its capacity as such, and to the ratable
             payment of any other unreimbursed reasonable expenses for which
             Agent or any Financial Institution is to be reimbursed pursuant to
             this Guaranty; and

             Second, to the Financial Institutions ratably according to their
             Credit Exposure.

A Financial Institution's "Credit Exposure" shall be equal to (a) the amount of
its ratable portion of Obligations under the L/C Credit Agreement plus, (b) the
positive amount, if any, by which (i) its commitments, however denominated, to
issues additional Letters of Credit and/or extend any other type of additional
credit to Borrower under the L/C Credit Agreement exceed (ii) the amount of its
ratable portion of Obligations under the L/C Credit Agreement plus, (c) the
amount of its ratable portion of outstanding Advances under the MWCA Credit
Agreement plus (d) the positive amount, if any, by which (i) its Commitments
exceed (ii) its ratable portion of outstanding Advances under the MWCA Credit
Agreement. For purposes of (c) and (d) above Advances and Commitment shall have
the meaning set forth for such terms in the MWCA Credit Agreement. If all
Commitments under the L/C Credit Agreement and all Commitments (as such term is
defined in the MWCA Credit Agreement) under the MWCA Credit Agreement have
terminated, the Credit Exposure of each Financial Institution shall be deemed to
be (i) the amount of its commitments, however denominated, to issues additional
Letters of Credit and/or extend any other type of additional credit to Borrower
under the L/C Credit Agreement immediately prior to the time that such
"commitments" terminated plus (ii) the amount of its Commitments (as defined in
the MWCA Credit Agreement) immediately prior to the time that such commitments
terminated.

                                      -9-
<PAGE>

Section 8. Miscellaneous.

         8.01. Amendments, Etc. Any amendment or waiver to this Guaranty shall
be effective only if approved by Financial Institutions holding at least 51% of
the principal amount of the Guaranteed Obligations at the time thereof and only
in the specific instance and for the specific purpose for which given. Provided,
however, that any amendment or waiver releasing any Guarantor from any liability
hereunder shall require the unanimous consent of all Financial Institutions and
be effective only in the specific instance and for the specific purpose for
which given.

         8.02. Addresses for Notices. All notices and other communications to
Guarantor shall be delivered to the address set forth beneath its signature on
the signature page hereto, or to such other address as shall be designated by
the Guarantor by written notice to all of the Financial Institutions. All
notices and other communications provided for under this Guaranty shall be in
writing (including telecopy communication), shall be mailed, telecopied, or
delivered, and shall, when mailed or telecopied, be effective when received in
the mail or sent by telecopier.

         8.03. No Waiver; Remedies. No failure on the part of Agent or any
Financial Institution to exercise, and no delay in exercising, any right
hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise of any right hereunder preclude any other or further exercise thereof
or the exercise of any other right. The remedies herein provided are cumulative
and not exclusive of any remedies provided by law.

         8.04. Right of Set-Off. Upon the occurrence and during the continuance
of any default or event of default however described under a Credit Document,
Agent and each Financial Institution party to such Credit Document is hereby
authorized at any time, to the fullest extent permitted by law, to set off and
apply any deposits (general or special, time or demand, provisional or final)
and other indebtedness owing by Agent or such Financial Institution to the
accounts of the Guarantors against any and all of the obligations of the
Guarantors under this Guaranty, irrespective of whether or not Agent or such
Financial Institution shall have made any demand under this Guaranty and
although such obligations may be contingent and unmatured. Agent and each
Financial Institution agree promptly to notify the Guarantors after any such
set-off and application made by Agent or such Financial Institution provided
that the failure to give such notice shall not affect the validity of such
set-off and application. The rights of Agent and the Financial Institutions
under this Section 8.04 are in addition to other rights and remedies (including,
without limitation, other rights of set-off) which Agent and the Financial
Institutions may have.

         8.05. Continuing Guaranty; Assignments under Credit Documents. This
Guaranty is a continuing guaranty and shall (a) remain in full force and effect
until the indefeasible payment in full of the Guaranteed Obligations and all
other amounts payable under this Guaranty, (b) be binding upon each Guarantor
and its respective successors and assigns, (c) inure to the benefit of, and be
enforceable by, Agent and each of the Financial Institutions and their
respective successors, transferees and assigns, and (d) not be terminated by any
Guarantor or any other Person. Without limiting the generality of the foregoing
clause (c), Agent and any Financial Institution may assign or otherwise transfer
all or any portion of its rights and Guaranteed Obligations and the assignee
shall thereupon become vested with all the benefits in respect thereof granted
to Agent or such Financial Institution herein or otherwise. Upon the
indefeasible

                                      -10-
<PAGE>

payment in full and termination of the Guaranteed Obligations, each guaranty
granted hereby shall terminate and all rights hereunder shall revert to the
Guarantor to the extent such rights have not been applied pursuant to the terms
hereof. Upon any such termination, Agent will, at such Guarantor's expense,
execute and deliver to such Guarantor such documents as such Guarantor shall
reasonably request and take any other actions reasonably requested to evidence
or effect such termination. This Guaranty is not assignable by any Guarantor
without the written consent of the Agent.

         8.06 Incorporated Definitions. All defined terms that are incorporated
from other agreements into this Guaranty by reference shall have the meanings
assigned to such terms as of the date hereof but shall not be modified by any
subsequent amendment or modification that takes place after the date hereof
unless consented to by the parties hereto.

         8.07. Governing Law; Submission to Jurisdiction; Suits and Claims.

         (a) This Guaranty shall be governed by, and construed and enforced in
accordance with, the laws of the State of New York, except to the extent
provided in Section 8.07(b) hereof and to the extent that the federal laws of
the United States of America may otherwise apply.

         (b) Notwithstanding anything in Section 8.07(a) hereof to the contrary,
nothing in this Guaranty shall be deemed to constitute a waiver of any rights
which Agent or any of the other Financial Institutions may have under the
National Bank Act or other federal law, including without limitation the right
to charge interest at the rate permitted by the laws of the state where Agent or
any other applicable Financial Institution is located.

         (c) ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN
CONNECTION WITH, ANY CREDIT DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE OF
DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE AGENT, THE
FINANCIAL INSTITUTIONS OR ANY GUARANTOR IN CONNECTION HEREWITH OR THEREWITH MAY
BE BROUGHT AND MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK OR IN THE
UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK; PROVIDED,
HOWEVER, THAT ANY SUIT SEEKING ENFORCEMENT AGAINST ANY COLLATERAL OR OTHER
PROPERTY MAY BE BROUGHT, AT AGENT'S OPTION, IN THE COURTS OF ANY JURISDICTION
WHERE SUCH COLLATERAL OR OTHER PROPERTY MAY BE FOUND. EACH GUARANTOR IRREVOCABLY
CONSENTS TO THE SERVICE OF PROCESS BY REGISTERED MAIL, POSTAGE PREPAID, OR BY
PERSONAL SERVICE WITHIN OR WITHOUT THE STATE OF NEW YORK AT THE ADDRESS FOR
NOTICES PROVIDED FOR HEREIN. EACH GUARANTOR HEREBY EXPRESSLY AND IRREVOCABLY
WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY HAVE
OR HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT IN
ANY SUCH COURT REFERRED TO ABOVE AND ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN
BROUGHT IN AN INCONVENIENT FORUM. TO THE EXTENT THAT ANY GUARANTOR HAS OR
HEREAFTER MAY ACQUIRE ANY IMMUNITY FROM JURISDICTION OF ANY COURT OR FROM ANY
LEGAL PROCESS (WHETHER THROUGH SERVICE OR NOTICE, ATTACHMENT PRIOR TO JUDGMENT,
ATTACHMENT IN AID OF EXECUTION OR OTHERWISE) WITH RESPECT TO ITSELF OR ITS
PROPERTY, EACH GUARANTOR HEREBY IRREVOCABLY WAIVES TO THE FULLEST EXTENT
PERMITTED BY LAW SUCH IMMUNITY IN RESPECT OF ITS OBLIGATIONS UNDER THIS GUARANTY
AND THE CREDIT DOCUMENTS.

                                      -11-
<PAGE>

         (d) EACH GUARANTOR, AGENT AND THE FINANCIAL INSTITUTIONS HEREBY
IRREVOCABLY WAIVE ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING
ARISING OUT OF OR RELATING TO THIS GUARANTY OR ANY OF THE TRANSACTIONS
CONTEMPLATED HEREBY.

         (e) The provisions set forth in this Guaranty shall only be enforceable
by Agent, the Financial Institutions and their respective successors and
assigns, and no other Person shall have the right to bring any claim or cause of
action based on this Guaranty.

                                      -12-
<PAGE>

         Each Guarantor has caused this Guaranty to be duly executed as of the
date first above written.

                        [See attached chart of Signatures to the Guaranty]

         ACKNOWLEDGED AND ACCEPTED by the following party as of the date first
written above:

                         CITIBANK, N.A., as Agent (as such term is defined in
                                                   this Guaranty)

                         By:
                            --------------------------------------------------
                         Name:
                              ------------------------------------------------
                         Title:
                               -----------------------------------------------

                                      -13-
<PAGE>

SIGNATORIES TO THE GUARANTY

Black Marlin Pipeline Company
------------------------------------------------------------
Gas Supply, L.L.C.
------------------------------------------------------------
Juarez Pipeline Company
------------------------------------------------------------
Mapco, Inc.
------------------------------------------------------------
MAPL Investments, Inc.
------------------------------------------------------------
Memphis Generation, L.L.C.
------------------------------------------------------------
North Padre Island Spindown, Inc.
------------------------------------------------------------
WFS Enterprises, Inc.
------------------------------------------------------------
WFS-Liquids Company
------------------------------------------------------------
WFS-NGL Pipeline Company Inc.
------------------------------------------------------------
WFS-Offshore Gathering Company
------------------------------------------------------------
Williams Alaska Air Cargo Properties, L.L.C.
------------------------------------------------------------
Williams Alaska Petroleum, Inc.
------------------------------------------------------------
Williams Alaska Pipeline Company, L.L.C.
------------------------------------------------------------
Williams Bio-Energy, L.L.C.
------------------------------------------------------------
Williams Energy Marketing & Trading Company
------------------------------------------------------------
Williams Energy Services, L.L.C.
------------------------------------------------------------
Williams Ethanol Services, Inc.
------------------------------------------------------------
Williams Express, Inc. [AK]
------------------------------------------------------------
Williams Express, Inc. [DE]
------------------------------------------------------------
Williams Field Services Company
------------------------------------------------------------
Williams Field Services Group, Inc.
------------------------------------------------------------
Williams Field Services-Gulf Coast Company, L.P.
------------------------------------------------------------
Williams Gas Processing-Wamsutter Company
------------------------------------------------------------
Williams Gas Processing Company
------------------------------------------------------------
Williams Generating Memphis, LLC
------------------------------------------------------------
Williams Generation Company - Hazelton
------------------------------------------------------------
Williams Memphis Terminal, Inc.
------------------------------------------------------------
Williams Merchant Services Company, Inc.
------------------------------------------------------------
Williams Mid-South Pipelines, LLC
------------------------------------------------------------
Williams Midstream Natural Gas Liquids, Inc.
------------------------------------------------------------
Williams Natural Gas Liquids, Inc.
------------------------------------------------------------
Williams Olefins Feedstock Pipelines, L.L.C.
------------------------------------------------------------
Williams Olefins, L.L.C.
------------------------------------------------------------
Williams Petroleum Pipeline Systems, Inc.
------------------------------------------------------------
Williams Refining & Marketing, L.L.C.
------------------------------------------------------------
Worthington Generation, L.L.C.
------------------------------------------------------------

                                      -14-<PAGE>
                                                                   EXHIBIT 10.11

                                    FORM OF
                              SUBORDINATED GUARANTY

         This Subordinated Guaranty dated as of July 31, 2002 ("Guaranty") is
by Williams Production Holdings LLC, a Delaware limited liability company
("Guarantor"), in favor of the Financial Institutions (as defined below).
Capitalized terms used in this Guaranty but not defined herein shall have the
meanings set forth for such terms in the Credit Agreement dated as of July 31,
2002 (the "New Credit Agreement"), executed by The Williams Companies, Inc., as
borrower (the "Company"), Citicorp USA, Inc., as agent and collateral agent,
Bank of America N.A. as syndication agent, Citibank, N.A. and Bank of America
N.A. as issuing bank, Salomon Smith Barney Inc., as arranger, and the banks
named therein.

                                  INTRODUCTION

   A. The Company and/or its Subsidiaries (i) have entered into certain
financing transactions with and (ii) prior to the date hereof, have caused
certain other existing letters of credit to be issued by, certain lenders and
financial institutions (such lenders and financial institutions collectively,
the "Financial Institutions;" provided, however, no such lender or financial
institution shall be deemed a "Financial Institution" hereunder until such
lender or financial institution executes this Guaranty). Such financing
transactions, including those entered into in connection with the New Credit
Agreement, and the existing letters of credit are documented by certain credit,
security, and letter of credit documents, all as more fully set forth on
Schedule I attached hereto (collectively, as the same may be amended and
modified from time to time, the "Credit Documents"). "Borrowers" as used herein
shall mean the borrowers under any one or more of the Credit Documents.

   B. It is a condition to certain transactions under the Credit Documents that
the Guarantor shall have executed and delivered this Guaranty.

   C. From time to time the Company has made capital contributions and advances
to the Guarantor. The Guarantor is a wholly owned Subsidiary of the Company and
will derive substantial direct or indirect benefit from the transactions
contemplated by the Credit Documents.

Therefore, in order to induce the Financial Institutions to enter into certain
financing transactions and letters of credit described in the Credit Documents,
the Guarantor hereby agrees for the ratable benefit of the Financial
Institutions as follows:

Section 1. Guaranty. Guarantor hereby unconditionally and irrevocably guarantees
the punctual payment when due, whether at stated maturity, by acceleration or
otherwise, of the obligations and indebtedness of the Company under the Credit
Documents (such obligations being referred to herein as the "Guaranteed
Obligations"). Without limiting the generality of the foregoing, Guarantor's
liability shall extend to all amounts which constitute part of the

                                      -1-
<PAGE>

Guaranteed Obligations even if such Guaranteed Obligations are declared
unenforceable or not allowable in a bankruptcy, reorganization, or similar
proceeding involving a Borrower, or any guarantor of any portion of the
foregoing Guaranteed Obligations (collectively such guarantors together with the
Guarantor and the Borrowers are referred to herein as the "Obligors"). This
Guaranty is a guarantee of payment, not of collection, and Guarantor is
primarily liable for the payment of the Guaranteed Obligations.

Section 2. Limit of Liability. The liabilities and obligations of the Guarantor
hereunder shall be limited to an aggregate amount equal to the largest amount
that would not render such Guarantor's obligations hereunder subject to
avoidance under Section 548 of the United States Bankruptcy Code or any
comparable provisions of any applicable state law.

Section 3. Guaranty Absolute. Guarantor guarantees that the Guaranteed
Obligations will be paid strictly in accordance with the Credit Documents,
regardless of any law, regulation, or order now or hereafter in effect in any
jurisdiction affecting any of such terms or the rights of any Financial
Institution with respect thereto. The obligations of Guarantor under this
Guaranty are independent of the Guaranteed Obligations in each and every
particular, and a separate action or actions may be brought and prosecuted
against any other Obligor, or any other Person regardless of whether any other
Obligor or any other Person is joined in any such action or actions. The
liability of Guarantor under this Guaranty shall be absolute and unconditional
irrespective of:

         (a) The lack of validity or unenforceability of the Guaranteed
Obligations or any Credit Document (other than this Guaranty against the
Guarantor) for any reason whatsoever, including that the act of creating the
Guaranteed Obligations is ultra vires, that the officers or representatives
executing the documents creating the Guaranteed Obligations exceeded their
authority, that the Guaranteed Obligations violate usury or other laws, or that
any Obligor has defenses to the payment of the Guaranteed Obligations, including
breach of warranty, statute of frauds, bankruptcy, statute of limitations,
lender liability, or accord and satisfaction;

         (b) Any change in the time, manner, or place of payment of, or in any
term of, any of the Guaranteed Obligations, any increase, reduction, extension,
or rearrangement of the Guaranteed Obligations, any amendment, supplement, or
other modification of the Credit Documents, or any waiver or consent granted
under the Credit Documents, including waivers of the payment and performance of
the Guaranteed Obligations;

         (c) Any release, exchange, subordination, waste, or other impairment
(including negligent impairment) of any collateral securing payment of the
Guaranteed Obligations; the failure of any Financial Institution or any other
person to exercise diligence or reasonable care in the preservation, protection,
enforcement, sale, or other handling of the collateral; the fact that any
security interest, lien, or assignment related to any collateral for the
Guaranteed Obligations shall not be properly perfected, or shall prove to be
unenforceable or subordinate to any other security interest, lien, or
assignment;

         (d) Any full or partial release of any Obligor (other than the full or
partial release of the Guarantor);

                                      -2-
<PAGE>

         (e) The failure to apply or the manner of applying collateral or
payments of the proceeds of collateral against the Guaranteed Obligations;

         (f) Any change in the organization or structure of any Obligor; any
change in the shareholders, directors, or officers of any Obligor; or the
insolvency, bankruptcy, liquidation, or dissolution of any Obligor or any
defense that may arise in connection with or as a result of any such insolvency,
bankruptcy, liquidator or dissolution;

         (g) The failure to give notice of any extension of credit made by any
Financial Institution to any Obligor, notice of acceptance of this Guaranty,
notice of any amendment, supplement, or other modification of any Credit
Document, notice of the execution of any document or agreement creating new
Guaranteed Obligations, notice of any default or event of default, however
denominated, under the Credit Documents, notice of intent to demand, notice of
demand, notice of presentment for payment, notice of nonpayment, notice of
intent to protest, notice of protest, notice of grace, notice of dishonor,
notice of intent to accelerate, notice of acceleration, notice of bringing of
suit, notice of any Financial Institution's transfer of the Guaranteed
Obligations, notice of the financial condition of or other circumstances
regarding any Obligor, or any other notice of any kind relating to the
Guaranteed Obligations;

         (h) Any payment or grant of collateral by any Obligor to any Financial
Institution being held to constitute a preference under bankruptcy laws, or for
any reason any Financial Institution is required to refund such payment or
release such collateral;

         (i) Any other action taken or omitted which affects the Guaranteed
Obligations, whether or not such action or omission prejudices the Guarantor or
increases the likelihood that the Guarantor will be required to pay the
Guaranteed Obligations pursuant to the terms hereof;

         (j) The fact that all or any of the Guaranteed Obligations cease to
exist by operation of law, including, without limitation, by way of discharge,
limitation or tolling thereof under applicable bankruptcy laws; and

         (k) Any other circumstances which might otherwise constitute a defense
available to, or a discharge of any Obligor (other than the discharge of the
Guarantor).

Section 4. Financial Institutions' Rights and Certain Waivers.

         4.01 Notice and Other Remedies. Guarantor hereby waives promptness,
diligence, notice of acceptance, notice of acceleration, notice of intent to
accelerate, and any other notice with respect to any of the Guaranteed
Obligations and this Guaranty and any requirement that any Financial Institution
protect, secure, perfect or insure any security interest or other Lien or any
property subject thereto or exhaust any right to take any action against any
Obligor or any other Person or any collateral.

         4.02. Waiver of Subrogation and Contribution. (a) Until such time as
the Guaranteed Obligations are irrevocably paid in full, Guarantor hereby
irrevocably waives any claim or other rights which it may acquire against any
Obligor that arise from the Guarantor's Guaranteed

                                      -3-
<PAGE>

Obligations under this Guaranty or any other Credit Document, including, without
limitation, any right of subrogation (including, without limitation, any
statutory rights of subrogation under Section 509 of the Bankruptcy Code, 11
U.S.C. Section 509), reimbursement, exoneration, contribution, indemnification,
or any right to participate in any claim or remedy of any Financial Institution
against any Obligor, or any collateral which any Financial Institution now has
or acquires. If any amount shall be paid to Guarantor in violation of the
preceding sentence and the Guaranteed Obligations shall not have been paid in
full, such amount shall be held in trust for the benefit of the Financial
Institutions, and shall promptly be paid to the Financial Institutions to be
applied to the Guaranteed Obligations, whether matured or unmatured. Guarantor
acknowledges that it will receive direct and indirect benefits from the
financing arrangements contemplated by the Credit Documents and that the waiver
set forth in this Section 4.02(a) is knowingly made in contemplation of such
benefits.

         (b) Guarantor agrees that, to the extent that any Borrower makes
payments to any Financial Institution, or any Financial Institution receives any
proceeds of collateral, and such payments or proceeds or any part thereof are
subsequently invalidated, declared to be fraudulent or preferential, set aside,
or otherwise required to be repaid, then to the extent of such repayment the
Guaranteed Obligations shall be reinstated and continued in full force and
effect as of the date such initial payment or collection of proceeds occurred.
GUARANTOR SHALL INDEMNIFY EACH FINANCIAL INSTITUTION AND EACH AFFILIATE THEREOF
AND THEIR RESPECTIVE DIRECTORS, OFFICERS AND EMPLOYEES FROM, AND DISCHARGE,
RELEASE, AND HOLD EACH OF THEM HARMLESS AGAINST, ANY AND ALL ACTUAL LOSSES,
LIABILITIES, GUARANTEED OBLIGATIONS, PENALTIES, ACTIONS, JUDGMENTS, SUITS,
COSTS, DISBURSEMENTS, CLAIMS OR DAMAGES TO WHICH ANY OF THEM MAY BECOME SUBJECT,
INSOFAR AS SUCH LOSSES, LIABILITIES, GUARANTEED OBLIGATIONS, PENALTIES, ACTIONS,
JUDGMENTS, SUITS, COSTS, DISBURSEMENTS, CLAIMS OR DAMAGES ARISE OUT OF OR RESULT
FROM (I) ANY ACTUAL OR PROPOSED USE BY ANY BORROWER, OR ANY AFFILIATE OF ANY
BORROWER OF THE PROCEEDS OF ANY ADVANCE, (II) ANY BREACH BY GUARANTOR OF ANY
PROVISION OF THIS GUARANTY OR ANY OTHER CREDIT DOCUMENT, (III) ANY
INVESTIGATION, LITIGATION OR OTHER PROCEEDING (INCLUDING ANY THREATENED
INVESTIGATION OR PROCEEDING) RELATING TO THE FOREGOING, OR (IV) ANY
ENVIRONMENTAL CLAIM OR REQUIREMENT OF ENVIRONMENTAL LAWS CONCERNING OR RELATING
TO THE PRESENT OR PREVIOUSLY-OWNED OR OPERATED PROPERTIES, OR THE OPERATIONS OR
BUSINESS, OF ANY OBLIGOR, AND GUARANTOR SHALL REIMBURSE EACH FINANCIAL
INSTITUTION, AND EACH AFFILIATE THEREOF AND THEIR RESPECTIVE DIRECTORS, OFFICERS
AND EMPLOYEES, UPON DEMAND FOR ANY REASONABLE OUT-OF-POCKET EXPENSES (INCLUDING
LEGAL FEES) INCURRED IN CONNECTION WITH ANY SUCH INVESTIGATION, LITIGATION OR
OTHER PROCEEDING; AND EXPRESSLY INCLUDING ANY SUCH LOSSES, LIABILITIES,
GUARANTEED OBLIGATIONS, PENALTIES, ACTIONS, JUDGMENTS, SUITS, COSTS,
DISBURSEMENTS, CLAIMS, DAMAGES, OR EXPENSE INCURRED BY REASON OF THE PERSON
BEING INDEMNIFIED'S OWN NEGLIGENCE, BUT EXCLUDING ANY SUCH LOSSES, LIABILITIES,
GUARANTEED OBLIGATIONS, PENALTIES, ACTIONS, JUDGMENTS, SUITS, COSTS,
DISBURSEMENTS, CLAIMS, DAMAGES OR EXPENSES INCURRED BY REASON OF THE GROSS
NEGLIGENCE OR WILLFUL MISCONDUCT OF THE PERSON TO BE INDEMNIFIED.
NOTWITHSTANDING ANYTHING HEREIN TO THE CONTRARY, ANY PAYMENTS DUE WITH RESPECT
TO THIS SECTION 4.02(b) SHALL BE SUBJECT TO THE PRIOR PAYMENT IN FULL OF THE
SENIOR OBLIGATIONS.

         4.03. Modifications and Amendment to the Credit Documents. As provided
in Section 1 above, certain increases in the principal indebtedness outstanding
under the Credit Documents

                                      -4-
<PAGE>

shall not constitute Guaranteed Obligations. Except as to the foregoing, the
parties to the Credit Documents shall have the right to amend or modify such
Credit Agreements without affecting the rights provided for in this Guaranty.

         4.04 Limitation on Enforcement. By acceptance of the benefits provided
hereunder, each Financial Institution acknowledges and agrees that it will not
file, or join in or support the filing of, an involuntary proceeding or petition
in bankruptcy against Guarantor; provided such restriction shall not limit any
Financial Institution from making claims in or taking any other actions in
connection with any such proceeding which takes place.

Section 5. Representations and Warranties. Guarantor hereby represents and
warrants as follows:

         (a) Business Existence. Guarantor is duly organized, validly existing,
and in good standing under the laws of Delaware and is in good standing and
qualified to do business in each jurisdiction where its ownership or lease of
property or conduct of its business requires such qualification and where a
failure to be qualified could reasonably be expected to cause a material adverse
effect.

         (b) Power. The execution, delivery, and performance by Guarantor of
this Guaranty and the consummation of the transactions contemplated hereby (a)
are within Guarantor's limited liability company powers, (b) have been duly
authorized by all necessary limited liability company action, and (c) do not
contravene (i) Guarantor's certificate of formation or limited liability company
agreement or (ii) any law or any contractual restriction binding on or affecting
Guarantor or its property.

         (c) Authorization and Approvals. No authorization or approval or other
action by, and no notice to or filing with, any Governmental Authority is
required for the due execution, delivery and performance by the Guarantor of
this Guaranty or the consummation of the transactions contemplated hereby.

         (d) Enforceable Obligations. This Guaranty has been duly executed and
delivered by Guarantor. This Guaranty is the legal, valid, and binding
obligation of Guarantor and is enforceable against Guarantor in accordance with
its terms, except as such enforceability may be limited by any applicable
bankruptcy, insolvency, reorganization, moratorium, or similar law affecting
creditors' rights generally.

         (e) Solvency. After giving effect to this Guaranty and the concurrent
amendments to various financing arrangements and agreements of the Company and
its Subsidiaries and the concurrent asset sales by the Company and/or its
Subsidiaries, Guarantor, individually and together with its Subsidiaries, is
Solvent.

Section 6. Covenants.

         (a) In the event that a Financial Institution wishes to enforce the
guarantee contained in Section 1 hereof against Guarantor, then subject in all
cases to Section 7 below, it shall make

                                      -5-
<PAGE>

written demand for payment from Guarantor, provided that no such demand shall be
required if Guarantor is in bankruptcy, liquidation, or other insolvency
proceedings, and provided that failure by a Financial Institution to make such
demand shall not affect Guarantor's obligations under this Guaranty.

         (b) From and after the repayment in full of the Senior Obligations, the
following shall apply: All indebtedness of Guarantor to another Obligor or any
Borrower or any Subsidiary of a Borrower shall be subordinated to all
indebtedness of Guarantor to any Financial Institution under any of the Credit
Documents (the "Designated Indebtedness"), as follows:

                  (i) In the event of any insolvency or bankruptcy proceedings,
         or any receivership liquidation, reorganization, or other similar
         proceedings in connection therewith, relative to Guarantor, or to its
         property, or in the event of any proceedings for voluntary liquidation,
         dissolution, or other winding up of Guarantor, whether or not involving
         insolvency or bankruptcy, then the holders of the Designated
         Indebtedness shall be entitled to receive payment in full of all
         Designated Indebtedness before any Obligor or any Subsidiary of a
         Borrower shall receive any payment on account of principal or interest
         due such Person from Guarantor;

                  (ii) After the occurrence and during the continuance of any
         default or event of default, however denominated, under any Credit
         Document (an "Event of Default"), Guarantor shall not exercise or
         attempt to exercise any right of offset or counterclaim in respect of
         any of its obligations to any other Obligor or any Subsidiary of a
         Borrower if the effect thereof shall be to reduce the amount of any
         payment to which the holders of Designated Indebtedness would be
         entitled in the absence of such offset or counterclaim; and if and to
         the extent that, notwithstanding the foregoing, Guarantor is required
         by any mandatory provisions of law to exercise any such right of offset
         or counterclaim, each reduction of the amount owing on the account of
         the principal of or premium (if any) or interest owed to any Obligor or
         any Subsidiary of a Borrower by reason of such offset or counterclaim
         shall be deemed to be a payment by Guarantor in a like amount in
         respect of such amounts which clause (iv) below shall apply;

                  (iii) Following the occurrence and during the continuance of
         any Event of Default, (A) payment of the principal or interest upon any
         indebtedness owed to any Obligor or any Subsidiary of a Borrower shall
         not be made thereunder until payment in full of all Designated
         Indebtedness has been made and (B) the holders of the Designated
         Indebtedness shall be entitled to receive payment in full of all
         Designated Indebtedness prior to the entitlement of any Obligor or any
         Subsidiary of a Borrower to receive any payment of the principal or
         interest (except for payments which have been made prior to the
         occurrence of such event of default);

                  (iv) If, notwithstanding the provisions of the foregoing
         subparagraphs (i) through (iii), any payment or distribution on any
         indebtedness shall be received by Guarantor or any Obligor or any
         Subsidiary of a Borrower while a Event of Default exists and before the
         holders of the Designated Indebtedness shall have received payment in
         full on all Designated Indebtedness, such payment or distribution shall
         be (and shall be

                                      -6-
<PAGE>

         deemed to be) held in trust for the benefit of, and shall be paid over
         or delivered or transferred to, the holders of the Designated
         Indebtedness for application to the payment of all Designated
         Indebtedness held by such holder to the extent necessary to satisfy
         such Designated Indebtedness; and

                  (v) No present or future holder of Designated Indebtedness
         shall be prejudiced in its right to enforce subordination of any
         Obligor or any Subsidiary of a Borrower by any act or failure to act on
         the part of Guarantor whether or not such act or failure shall give
         rise to any right of rescission or other claim or cause of action on
         the part of Guarantor or any Borrower or any Subsidiary of a Borrower.
         The provisions of the foregoing paragraphs with respect to
         subordination are solely for the purpose of defining the relative
         rights of the holders of Designated Indebtedness on the one hand, and
         any Obligor or any Subsidiary of a Borrower on the other hand, and none
         of such provisions shall impair, as between Guarantor and any Obligor
         or any Subsidiary of a Borrower, the obligation of Guarantor, which is
         unconditional and absolute, to pay to any Obligor or any Subsidiary of
         a Borrower the principal and interest of any indebtedness in accordance
         with its terms, nor shall anything in such provisions prevent any other
         Obligor or any Subsidiary of a Borrower from exercising all remedies
         otherwise permitted by applicable law or hereunder upon default
         hereunder, subject to the rights of holders of Designated Indebtedness
         under such provisions.

         The terms of Section 6(b) shall not be applicable during the period
         that the Senior Obligations remain outstanding.

         (c) The Guarantor will not create, assume, incur or suffer to exist any
Lien on or in respect of any of its property, whether now owned or hereafter
acquired, or assign or otherwise convey any right to receive income except
pursuant to documents entered into in connection with the Senior Credit
Documents or as otherwise permitted therein on the date hereof.

         (d) The Guarantor will not create, incur, assume or suffer to exist any
Debt other than Debt that (i) constitutes Senior Obligations or (ii) is
permitted pursuant to the Senior Credit Documents on the date hereof.

         (e) The Guarantor will not create, incur, assume or suffer to exist any
obligation or liability other than (i) this Guaranty, (ii) any obligation or
liability that constitutes Senior Obligations, (iii) any obligation or liability
that is permitted pursuant to the Senior Credit Documents on the date hereof.
and (iv) other obligations not exceeding $100,000 in the aggregate.

Section 7. Subordination.

         (a) By acceptance of this Guaranty, each Financial Institution hereby
acknowledges that payments made by the Guarantor under this Guaranty with
respect to the Guaranteed Obligations shall be subordinated to all of the Senior
Obligations (as defined below), and that the Guarantor shall not make payments
to the Financial Institutions under this Guaranty with respect to the Guaranteed
Obligations in whole or in part until the Senior Obligations have been paid in

                                      -7-
<PAGE>

full. No Financial Institution shall accept any payment from the Guarantor of or
on account of any Guaranteed Obligations at any time in contravention of the
foregoing. Upon the occurrence and during the continuance of any default or
event of default, however denominated, under any Credit Document or the Senior
Credit Agreement (as defined below) (an "Event of Default"), each Financial
Institution shall pay to the Senior Agent (as defined below) any payment made by
Guarantor pursuant to this Guaranty of all or any part of the Guaranteed
Obligations and any amount so paid to the Senior Agent shall be applied to
payment of the Senior Obligations. Each payment made by Guarantor pursuant to
this Guaranty on the Guaranteed Obligations received in violation of any of the
provisions hereof shall be deemed to have been received by the Financial
Institutions as trustee for the Senior Agent and shall be paid over to the
Senior Agent immediately on account of the Senior Obligations. The Financial
Institutions agree not to ask, demand, sue for, take or receive from Guarantor,
directly or indirectly, in cash or other property or by set-off or in any other
manner (including, without limitation, from or by way of collateral), any
payment by the Guarantor under this Guaranty unless and until the Senior
Obligations are paid in full. Senior Agent is hereby authorized to demand
specific performance by the Financial Institutions of its agreements set forth
in this Section at any time the Financial Institutions shall have failed to
comply with any of the provisions of this Section. The Financial Institutions
hereby irrevocably waive any defense based on the adequacy of remedies at law,
which might be asserted as a bar to such remedy of specific performance.

         (b) The Financial Institutions shall only be entitled to take any
remedial or enforcement actions against the Guarantor under this Guaranty upon
or after the earliest to occur of (i) the payment in full of all Senior
Obligations or (ii) the taking of any remedial or enforcement remedy by the
Senior Agent.

         (c) As used in this Guaranty, the following terms shall have the
following meanings:

         "Senior Agent" means the administrative agent under the Senior Credit
Agreement.

         "Senior Credit Agreement" means that certain Credit Agreement, dated as
of July 31, 2002, among The Williams Companies, Inc., a Delaware corporation,
Williams Production Holdings LLC, a Delaware limited liability company, Williams
Production RMT Company, a Delaware corporation, the Lenders party thereto from
time to time, Lehman Brothers Inc., as Arranger, and Lehman Commercial Paper
Inc., as Syndication Agent and as Administrative Agent.

         "Senior Credit Documents" means the Senior Credit Agreement, the Senior
Guaranty, all other Loan Documents (as defined in the Senior Credit Agreement)
and all other documents evidencing or creating any Senior Obligations, and all
documents and instruments delivered in connection with or pursuant thereto or
under which rights or remedies with respect to any of the foregoing are
governed, as any such document or instrument may from time to time be amended,
renewed, restated, supplemented or otherwise modified.

         "Senior Guaranty" means the guaranty of the Guarantor under that
certain Guarantee and Collateral Agreement, dated as of July 31, 2002, by
Williams Production RMT Company, the

                                      -8-
<PAGE>

Guarantor and each of the other signatories thereto in favor of the Senior
Agent.

         "Senior Obligations" means all obligations of the Guarantor under the
Senior Credit Documents, and all other amounts, obligations, covenants and
duties owing by the Guarantor to any lender under the Senior Credit Documents.

Section 8. Miscellaneous.

         8.01. Amendments, Etc. No amendment or waiver of any provision of this
Guaranty nor consent to any departure by any of the Guarantors therefrom shall
be effective unless the same shall be in writing and signed by the Financial
Institutions holding at least 51% of the principal amount of the Guaranteed
Obligations at the time thereof and shall be effective only in the specific
instance and for the specific purpose for which given. Provided, however, that
any amendment or waiver releasing any Guarantor from any liability hereunder
shall require the unanimous consent of all Financial Institutions and be
effective only in the specific instance and for the specific purpose for which
given.

         8.02. Addresses for Notices. All notices and other communications to
Guarantor shall be delivered to the address set forth beneath its signature on
the signature page hereto, or to such other address as shall be designated by
the Guarantor by written notice to all of the Financial Institutions. All
notices and other communications provided for under this Guaranty shall be in
writing (including telecopy communication), shall be mailed, telecopied, or
delivered, and shall, when mailed or telecopied, be effective when received in
the mail or sent by telecopier.

         8.03. No Waiver; Remedies. No failure on the part of any Financial
Institution to exercise, and no delay in exercising, any right hereunder shall
operate as a waiver thereof, nor shall any single or partial exercise of any
right hereunder preclude any other or further exercise thereof or the exercise
of any other right. The remedies herein provided are cumulative and not
exclusive of any remedies provided by law.

         8.04. Right of Set-Off. From and after the repayment in full of the
Senior Obligations, the following shall apply: Upon the occurrence and during
the continuance of any default or event of default however described under a
Credit Document, each Financial Institution party to such Credit Document is
hereby authorized at any time, to the fullest extent permitted by law, to set
off and apply any deposits (general or special, time or demand, provisional or
final) and other indebtedness owing by such Financial Institution to the
accounts of the Guarantor against any and all of the obligations of the
Guarantor under this Guaranty, irrespective of whether or not such Financial
Institution shall have made any demand under this Guaranty and although such
obligations may be contingent and unmatured. Each Financial Institution agrees
promptly to notify the Guarantor after any such set-off and application made by
such Financial Institution provided that the failure to give such notice shall
not affect the validity of such set-off and application. The rights of the
Financial Institutions under this Section 8.04 are in addition to other rights
and remedies (including, without limitation, other rights of set-off) which the
Financial Institutions may have.

         8.05. Continuing Guaranty; Assignments under Credit Documents. This
Guaranty is a

                                      -9-
<PAGE>

continuing guaranty and shall (a) remain in full force and effect until the
indefeasible payment in full of the Guaranteed Obligations and all other amounts
payable under this Guaranty, (b) be binding upon Guarantor and its respective
successors and assigns, (c) inure to the benefit of, and be enforceable by, each
of the Financial Institutions and their respective successors, transferees and
assigns, and (d) not be terminated by Guarantor or any other Person. Without
limiting the generality of the foregoing clause (c), any Financial Institution
may assign or otherwise transfer all or any portion of its rights and Guaranteed
Obligations and the assignee shall thereupon become vested with all the benefits
in respect thereof granted to such Financial Institution herein or otherwise.
Upon the indefeasible payment in full and termination of the Guaranteed
Obligations, each guaranty granted hereby shall terminate and all rights
hereunder shall revert to the Guarantor to the extent such rights have not been
applied pursuant to the terms hereof. Upon any such termination, each Financial
Institution will, at Guarantor's expense, execute and deliver to Guarantor such
documents as Guarantor shall reasonably request and take any other actions
reasonably requested to evidence or effect such termination. This Guaranty is
not assignable by Guarantor without the written consent of each Financial
Institution.

         8.06 Incorporated Definitions. All defined terms that are incorporated
from other agreements into this Guaranty by reference shall have the meanings
assigned to such terms as of the date hereof but shall not be modified by any
subsequent amendment or modification that takes place after the date hereof
unless consented to by the parties hereto.

         8.07. Governing Law; Submission to Jurisdiction; Suits and Claims.

         (a) This Guaranty shall be governed by, and construed and enforced in
accordance with, the laws of the State of New York, except to the extent
provided in Section 8.07(b) hereof and to the extent that the federal laws of
the United States of America may otherwise apply.

         (b) Notwithstanding anything in Section 8.07(a) hereof to the contrary,
nothing in this Guaranty shall be deemed to constitute a waiver of any rights
which any of the Financial Institutions may have under the National Bank Act or
other federal law, including without limitation the right to charge interest at
the rate permitted by the laws of the State where the applicable Financial
Institution is located.

         (c) ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER, OR IN
CONNECTION WITH, ANY CREDIT DOCUMENT, OR ANY COURSE OF CONDUCT, COURSE OF
DEALING, STATEMENTS (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE FINANCIAL
INSTITUTIONS OR GUARANTOR IN CONNECTION HEREWITH OR THEREWITH MAY BE BROUGHT AND
MAINTAINED IN THE COURTS OF THE STATE OF NEW YORK OR IN THE UNITED STATES
DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK; PROVIDED, HOWEVER, THAT
ANY SUIT SEEKING ENFORCEMENT AGAINST ANY COLLATERAL OR OTHER PROPERTY MAY BE
BROUGHT IN THE COURTS OF ANY JURISDICTION WHERE SUCH COLLATERAL OR OTHER
PROPERTY MAY BE FOUND. GUARANTOR IRREVOCABLY CONSENTS TO THE SERVICE OF PROCESS
BY REGISTERED MAIL, POSTAGE PREPAID, OR BY PERSONAL SERVICE WITHIN OR WITHOUT
THE STATE OF NEW YORK AT THE ADDRESS SET FORTH BENEATH ITS SIGNATURE ON THE
SIGNATURE PAGE HERETO. GUARANTOR HEREBY EXPRESSLY AND IRREVOCABLY WAIVES, TO THE
FULLEST EXTENT PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY HAVE OR HEREAFTER
MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION BROUGHT IN ANY SUCH COURT
REFERRED TO ABOVE AND

                                      -10-
<PAGE>

ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. TO
THE EXTENT THAT GUARANTOR HAS OR HEREAFTER MAY ACQUIRE ANY IMMUNITY FROM
JURISDICTION OF ANY COURT OR FROM ANY LEGAL PROCESS (WHETHER THROUGH SERVICE OR
NOTICE, ATTACHMENT PRIOR TO JUDGMENT, ATTACHMENT IN AID OF EXECUTION OR
OTHERWISE) WITH RESPECT TO ITSELF OR ITS PROPERTY, GUARANTOR HEREBY IRREVOCABLY
WAIVES TO THE FULLEST EXTENT PERMITTED BY LAW SUCH IMMUNITY IN RESPECT OF ITS
OBLIGATIONS UNDER THIS GUARANTY AND THE CREDIT DOCUMENTS.

         (d) GUARANTOR AND THE FINANCIAL INSTITUTIONS HEREBY IRREVOCABLY WAIVE
ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR
RELATING TO THIS GUARANTY OR ANY OF THE TRANSACTIONS CONTEMPLATED HEREBY.

         (e) The provisions set forth in this Guaranty shall only be enforceable
by the Financial Institutions and their respective successors and assigns, and
no other Person shall have the right to bring any claim or cause of action based
on this Guaranty.

                                      -11-
<PAGE>

         Guarantor has caused this Guaranty to be duly executed as of the date
first above written.

                                    WILLIAMS PRODUCTION HOLDINGS L.L.C.

                                    By:   /s/ Phillip D. Wright
                                         --------------------------------------
                                    Name:   Phillip D. Wright
                                           ------------------------------------
                                    Title:  President
                                            -----------------------------------

                                            Address for Notices:

                                            One Williams Center
                                            Attn: Treasurer
                                            Tulsa, OK 74172

                                      -12-
<PAGE>

ACKNOWLEDGED AND AGREED by the following parties as of the date first written
above:

LEHMAN COMMERCIAL PAPER INC.,
as Administrative Agent

By:
   -----------------------------------------
Name:
Title:

                                      -13-
<PAGE>

CITICORP USA, INC., as Agent and Collateral Agent under the New Credit Agreement

By:
   -----------------------------------------
Name:
Title:

                                      -14-
<PAGE>

CITIBANK, N.A., as Bank and Issuing Bank under the New Credit Agreement

By:
   -----------------------------------------
Name:
Title:

                                      -15-
<PAGE>

[ADD SIGNATURE BLOCKS FOR EACH FINANCIAL INSTITUTION]

                                      -16-
<PAGE>

                                   SCHEDULE I
                                CREDIT DOCUMENTS

NEW CREDIT FACILITY:

Credit Agreement dated as of July 31, 2002 executed by The Williams Companies,
Inc., as borrower, Citicorp USA, Inc., as agent and collateral agent, Bank of
America N.A. as syndication agent, Citibank, N.A. and Bank of America N.A. as
issuing bank, Salomon Smith Barney Inc., as arranger, and the banks named
therein.

All documents, instruments, agreements, certificates and notices at any time
executed and/or delivered in connection with the foregoing.

PROGENY AGREEMENTS

$200,000,000 Parent Support Agreement dated as of December 23, 1998, made by The
Williams Companies, Inc. in favor of Castle Associates L. P. and Colchester LLC
and the other Indemnified Persons listed therein, as amended.

Amended and Restated Guarantee dated as of July 25, 2000, issued by The Williams
Companies, Inc. for the benefit of The Commonwealth Plan, Inc. and CBL Capital
Corporation, as amended. WFS-Pipeline Company, as lessee and Commonwealth, as
lessor entered into a Lease Agreement dated as of December 29, 1995.
WFS-Offshore Gathering Company, as lessee, and CBL, as lessor, entered into a
Lease Agreement dated December 29, 1995, as amended and restated.

$400,000,000 Term Loan Agreement dated as of April 7, 2000, among The Williams
Companies, Inc., as Borrower, and Credit Lyonnais New York Branch, as
Administrative Agent, and the Lenders named therein, as amended.

$192,570,931 aggregate Second Amended and Restated Participation Agreements (2
separate leases) dated as of January 28, 2002, among Williams Oil Gathering,
L.L.C. and Williams Field Services - Gulf Coast Company, L.P., as Lessees,
Williams Field Services Company, as Construction Agent, The Williams Companies,
Inc., as Guarantor, First Security Bank, N.A. as

Certificate Trustee, Wells Fargo Bank Nevada, N.A., as Collateral Agent, Bank of
America, N.A., as Administrative Agent and Administrator, and financial
institutions named therein as Certificate Holders, as amended.

$200,000,000 Term Loan Agreement dated as of January 29, 1999, among The
Williams Companies, Inc., as Borrower, and The Fuji Bank, Limited, as
Administrative Agent, and the Banks named therein, as amended.

$611,788,868 Joint Venture Sponsor Agreement dated as of December 28, 2000,
among The Williams Companies, Inc., as Sponsor and Williams Field Services
Company, in favor of Prairie Wolf Investors, Arctic Fox Assets, L.L.C., Williams
Energy (Canada), Inc. and the other Indemnified Persons listed therein, as
amended.

                                      -17-
<PAGE>

Letter of Credit and Reimbursement Agreement dated as of May 15, 1994, among
Tulsa Parking Authority, The Williams Companies, Inc., Bank of Oklahoma,
National Association, and Bank of America, N.A. (formerly Nationsbank of Texas,
N.A.), relative to Tulsa Parking Authority First Mortgage Revenue Bonds, as
amended.

$127,000,000 Master Agreement dated as of March 6, 2000, among The Williams
Companies, Inc., as Guarantor, Williams TravelCenters, Inc., as Lessee, Atlantic
Financial Group, Ltd., as Lessor, SunTrust Bank, as Agent, and the Lenders named
therein, as amended.

$100,000.000 PPH Sponsor Agreement dated as of December 31, 2001, by The
Williams Companies, Inc., as Sponsor, in favor of Piceance Production Holdings
LLC, Plowshare Investors LLC, and other Indemnified Persons listed in the
agreement, as amended.

All documents, instruments, agreements, certificates and notices at any time
executed and/or delivered in connection with any of the foregoing.

LEGACY L/CS

See Attachment 1 attached hereto,

All documents, instruments, agreements, certificates and notices at any time
executed and/or delivered in connection with the letters of credit described on
Attachment I.

                                      -18-
<PAGE>

                                  ATTACHMENT 1

                          OUTSTANDING LETTERS OF CREDIT

WILLIAMS ENERGY MARKETING & TRADING EUROPE LIMITED
AS OF 7-31-02

<Table>
<Caption>
-----------------------------------------------------------------------------------------------------------------------------
LETTER OF                          ACCOUNT
CREDIT #                            PARTY                              NOTE                   BENEFICIARY
---------                          -------                             ----                   -----------
<S>                                <C>                                 <C>       <C>
KBC - CASH COLLATERALISED BY E. 1 MILLION CASH ON JULY 31ST
                Williams Energy Marketing & Trading Europe Limited               The Belgian State
                Williams Energy Marketing & Trading Europe Limited               The Belgian State

RBS - RCF
G259106         Williams Energy Marketing & Trading Europe Limited               RWE NET AG
G260899         Williams Energy Marketing & Trading Europe Limited               LPX LEIPZIG POWER EXCHANGE GMBH
G261340         Williams Energy Marketing & Trading Europe Limited               RESEAU DE TRANSPORT D'ELECTRICITE
G261666         Williams Energy Marketing & Trading Europe Limited               RESEAU DE TRANSPORT D'ELECTRICITE
G262939         Williams Energy Marketing & Trading Europe Limited               ELIA NV
G263006         Williams Energy Marketing & Trading Europe Limited               ELTRA
G263181         Williams Energy Marketing & Trading Europe Limited               TENNE T BV
G263374         Williams Energy Marketing & Trading Europe Limited               EDF SERVICE NATIONAL
G264373         Williams Energy Marketing & Trading Europe Limited               ELEXON CLEAR LIMITED
G264757         Williams Energy Marketing & Trading Europe Limited               SHELL INTERNATIONAL
G264860         Williams Energy Marketing & Trading Europe Limited               NATIONAL GRID COMPANY PLC
G265433         Williams Energy Marketing & Trading Europe Limited               ARTHUR ANDERSEN
G265560         Williams Energy Marketing & Trading Europe Limited               APCS Power Clearing and Settlement AG
G265977         Williams Energy Marketing & Trading Europe Limited               ENMO LTD
G266468         Williams Petroleos Espana SLU                                    Vitol Espana SA
G266531         Williams Energy Marketing & Trading Europe Limited               Texaco Limited
G266528         Williams Energy Marketing & Trading Europe Limited               Federal Tax Administration Dept for VAT
G266763         Williams Energy Marketing & Trading Europe Limited               Texaco Limited

RBS - BONDING LINE
G265142         Williams Petroleos Espana SLU                                    TERMINALES PORTUARIAS
G265147         Williams Petroleos Espana SLU                                    DECAL ESPANA S.A.
G265151         Williams Petroleos Espana SLU                                    EUROENERGO ESPANA S.L.
G266709         Williams Energy Marketing & Trading Europe Limited               Sibneft Oil Trade Company Ltd

                TOTAL LC'S OUTSTANDING EM&T EUROPE LIMITED

<Caption>

---------------------------------------------------------------------------------------------
LETTER OF                                                                           EXPIRY
CREDIT #              AMOUNT                  CONVERSION     DOLLARS      DATED      DATE
---------             ------                  ----------    ----------    -----    ----------
<S>                   <C>                     <C>           <C>           <C>      <C>
KBC - CASH COLLATERALISED BY E. MILLION CASH ON JULY 31ST
                      E.2,144,000                  1.02    $2,099,902             No Fxd Exp
                      E.4,037,000                  1.02    $3,953,967             No Fxd Exp

RBS - RCF
G259106                  E.400,000                  1.02      $391,773             No Fxd Exp
G260899                E.1,100,000                  1.02    $1,077,375             No Fxd Exp
G261340                  E.170,000                  1.02      $166,503             11/8/2002
G261666                  E.170,000                  1.02      $166,503             3/31/2003
G262939                  E.300,000                  1.02      $293,830             2/28/2003
G263006                kr2,000,000                  7.62      $262,330             3/31/2003
G263181                  E.250,000                  1.02      $244,858             No Fxd Exp
G263374                  E.550,000                  1.02      $538,688             7/21/2002
G264373                  L.100,000                  0.64      $155,743             3/25/2007
G264757                   $250,000                  1.00      $250,000             10/15/2002
G264860                   L.20,000                  0.64       $31,149             1/31/2003
G265433                   E.39,580                  1.02       $38,766             No Fxd Exp
G265560                  E.600,000                  1.02      $587,659             No Fxd Exp
G265977                  L.500,000                  0.64      $778,715             6/11/2003
G266468                 $1,000,000                  1.00    $1,000,000             8/12/2002
G266531                 $3,360,000                  1.00    $3,360,000             8/9/2002
G266528                 CHF250,000                  1.50      $167,133             Open Ended
G266763                 $3,520,000                  1.00    $3,520,000             8/12/2002

RBS - BONDING LINE
G265142             E.9,992,442.00                  1.02    $9,786,917              10/31/2002
G265147             E.5,538,378.00                  1.02    $5,424,464              10/31/2002
G265151             E.3,029,742.00                  1.02    $2,967,426              10/31/2002
G266709              $6,000,000.00                  1.00    $6,000,000               8/12/2002

                     -----------------                     -----------
                           N/A                             $43,263,700
                     =================                     ===========
</Table>

                                      -19-

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