Nautilus Pipeline Company, LLC

Original Volume No. 1

Effective Date: 12/01/1997, Docket: CP96-790-003, Status: Effective

Original Sheet No. 22 Original Sheet No. 22 : Effective

RATE SCHEDULE FT-2

FIRM TRANSPORTATION SERVICE

3. COMMITMENT con't

3.5 If Shipper submits its life of reserves production

profile and supporting technical data to Transporter in

accordance with Section 3.3(a) of this Rate Schedule

and Transporter determines that (1) the data supplied

are insufficient to permit Transporter to assess the

reasonableness of Shipper's production profile and

MDTQs; or (2) Shipper's production profile is not

reasonable or the requested MDTQs are not supported by

Shipper's production profile, then Transporter and

Shipper shall make a good faith attempt to agree on a

production profile and MDTQs which, when agreed upon,

shall be binding on Shipper and Transporter for

purposes of Shipper's request for service under Section

3 of this Rate Schedule. If Transporter and Shipper

cannot reach agreement on such production profile and

MDTQs, then Shipper shall submit all technical data

supporting Shipper's production profile and the

requested MDTQs, including data considered to be

confidential and, therefore, not provided to

Transporter under Section 3.3(a), to one of the

engineering firms listed on Appendix "A" to this Rate

Schedule which engineering firm, in consultation with

Shipper, shall issue a report establishing Shipper's

production profile and MDTQ(s). The production profile

and MDTQs established in the report shall be binding on

Shipper and Transporter for purposes of Shipper's

request for service under Section 3 of this Rate

Schedule. All costs and fees due to the engineering

firm with respect to the development of the production

profile and MDTQs under this Section 3.5 shall be

shared equally between Shipper and Transporter unless

Shipper determines not to contract for service under

this Rate Schedule or Rate Schedule FT-3, in which

event Shipper shall bear all such costs and fees.