Black Marlin Pipeline Company

First Revised Volume No. 1

Effective Date: 07/01/2003, Docket: RP03-472-000, Status: Effective

Third Revised Sheet No. 108A Third Revised Sheet No. 108A : Effective

Superseding: Second Revised Sheet No. 108A

RATE SCHEDULE FTS

Firm Transportation Service (continued)

which two parties may agree. If the two parties can not agree upon an

allocation methodology, pro rata based upon confirmed nominations should

be used as the default method. The party responsible for custody transfer

(the party performing the measurement function) should provide the

allocation. The PDA methods shall include ranked, pro rata, percentage,

swing, and operator provided value, as such terms are used in the NAESB

Standards. The same standard allocation methodologies should be available

for use at all points. A new allocation detail may be needed when a

nomination changes. Transporter shall be entitled to rely exclusively on

an effective PDA in allocating gas delivered to a point. No retroactive

changes to a PDA may be made unless Transporter and all affected parties

agree in writing. The allocating party should send back "confirmation" of

receipt of the pre-determined allocation within 15 minutes. A Party may

change the PDA during a calendar month provided (i) such change will have

prospective effect only, (ii) all Shippers on Transporter's system with

scheduled deliveries at such point have been notified of the change and

the effective date of the change, and (iii) the interconnecting party

identifies and holds Transporter and Shippers utilizing such points

harmless against actions taken and allocations made in reliance upon such

change in PDA.