Cotton Valley Compression LLC

Original Volume No. 1

Effective Date: 07/01/2000, Docket: CP99-541-003, Status: Effective

Original Sheet No. 7 Original Sheet No. 7 : Effective

(ii) Base rates and the deferred account surcharge rates will reflect the

changed capacity of any new leased compressor(s), with the capacity

billing determinant equal to the higher of actual capacity of the

compressor or firm contract demand levels.

4. MONTHLY BILL

(a) The bill for deliveries during each billing period under this rate schedule

shall be calculated using the applicable Reservation Charge, the applicable

Commodity Charge, and the applicable surcharges.

(b) The bill shall include any scheduling and balancing charges or penalties

determined pursuant to Article 9 and 10 of the General Terms and Conditions.

5. RESERVATION CHARGE CREDITS

If, except for reasons of force majeure, CVC is unable to deliver during any one or

more days the quantity of natural gas which Shipper delivers to CVC and desires to

transport from primary receipt points to primary delivery points, up to the MDTQ,

then the Reservation Charge as otherwise determined shall be reduced by an amount

equal to the difference between the quantity of natural gas actually delivered on

the day(s) involved and the quantity of natural gas, up to the MDTQ, which Shipper

in good faith demanded to receive on such day(s) times the applicable Reservation

Rate and Reservation Surcharges stated on a daily basis.

6. GENERAL TERMS AND CONDITIONS

All of the General Terms and Conditions as effective from time to time, are

applicable to this rate schedule and hereby made a part hereof.

7. OPERATIONAL FLOW ORDERS

CVC shall not issue operational flow orders (OFOs) to firm shippers because of a

lack of installed compression capacity below firm contracted levels, as would occur

if and when CVC exercised its certificated authority to reduce compression

horsepower to respond to reduced service demand.