Dauphin Island Gathering Partners

First Revised Volume No. 1

Effective Date: 03/16/1999, Docket: CP98- 6-003, Status: Effective

Original Sheet No. 85 Original Sheet No. 85 : Effective

straight fixed variable and may include a minimum quantity. Such Negotiated Rate shall

be set forth on Exhibit "C" of the executed Transportation Service Agreement and on the

applicable currently effective sheets of Transporter's FERC Gas Tariff. The Maximum

FT-2 (DI) Rates shall be available to any Shipper that does not choose a Negotiated Rate.

Shippers paying a Negotiated Rate which exceeds the Maximum FT-2 (DI) Rates will be

considered to be paying the Maximum FT-2 (DI) Rates for purposes of scheduling,

curtailment and interruption and matching competing bids for the right of first refusal.

Acquiring Shippers may not bid or pay a rate greater than the Maximum FT-2 (DI) Rates

and are not eligible for Negotiated Rates.

In the event that capacity subject to a Negotiated Rate which is based on a rate design

other than straight fixed variable is released, Shipper and Transporter may agree on

billing adjustments to the Releasing Shipper that may vary from or are in addition to

those set forth in Section 19.7 of the General Terms and Conditions in order to establish

the basis of accounting for revenue from an Acquiring Shipper as a means of preserving

the economic basis of the Negotiated Rate. Such payment obligation and crediting

mechanism for capacity release shall be set forth on Exhibit "C" of the executed

Transportation Service Agreement. Nothing in this Section 4.5 shall authorize

Transporter or Shipper to negotiate terms and conditions of service.

5. MONTHLY BILL AND REVENUE BANK

5.1 Monthly Bill:

The Monthly Bill for deliveries under this Rate Schedule shall be equal to:

(a) Reservation Charge:

(i) If the summation of the quantity of gas allocated to Shipper's FT-2 (DI)

Transportation Service Agreement at the Delivery Point(s) in the month

equals or exceeds 75% of the total Maximum Daily Quantity for all

Paths specified in the FT-2 (DI) Transportation Service Agreement for

the month, and multiplied by the number of days in the month: a

reservation charge equal to the product of the applicable Reservation

Rate set forth on the applicable currently effective sheets of

Transporter's FERC Gas Tariff multiplied by the quantity of gas