El Paso Natural Gas Company

Second Revised Volume No. 1A

Effective Date: 04/01/2010, Docket: RP10-454-001, Status: Effective

Fifth Revised Sheet No. 120 Fifth Revised Sheet No. 120

Superseding: Fourth Revised Sheet No. 120

RATE SCHEDULE FTH-V

Small Shipper Firm Hourly Transportation Service - Virtual Area

(Continued)

2. APPLICABILITY AND CHARACTER OF SERVICE (Continued)

2.3 Daily and hourly transportation service hereunder shall consist of

the acceptance by Transporter of Natural Gas on behalf of Shipper for

transportation at the Receipt Points specified in the Executed FTV

TSA on a ratable basis, the transportation of that Natural Gas

through Transporter's pipeline system, and the delivery of that gas

to Shipper, or for Shipper's account, on an unequal hourly basis,

after appropriate reductions as provided for in this Rate Schedule,

to Shipper, or for Shipper's account, at the Delivery Points

specified in the Executed FTHV TSA.

2.4 Rate Schedule FTH-V service is a daily transportation service with

defined hourly delivery service parameters based on certain firm

rights to Hourly Contract Entitlements at PSVPs, pursuant to Section

2.6 of this Rate Schedule.

(a) Daily Transportation Service

(i) Shipper shall nominate a daily transportation quantity

and Transporter shall schedule in accordance with the

provisions of Section 6 of the GT&C.

(b) Hourly Delivery Service Entitlements

(i) Hourly gas quantities are not nominated or scheduled. A

Shipper's nominated and confirmed daily scheduled

quantities determine its Hourly Scheduled Entitlement.

(ii) If a Shipper's actual hourly takes are below its Hourly

Scheduled Entitlements in any hour, the unused Hourly

Scheduled Entitlements may be used in any hour of the Gas

Day, subject to the restrictions on peak hourly flows, to

minimize Hourly Scheduling Penalty Quantities.

(iii) Shipper agrees to provide Transporter with the most

current estimate of its hourly requirements over the

course of the Gas Day.