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. 148E Fifth Revised Sheet No. 148E

Superseding: Fourth Revised Sheet No. 148E

RATE SCHEDULE PAL

Interruptible Parking and Lending Service

(Continued)

5. INTERRUPTION OR TERMINATION OF PAL SERVICE (Continued)

5.5 (Continued)

(a) In the event parked quantities remain in Transporter's system

and/or loaned quantities have not been returned to

Transporter's system after the expiration of any PALSA

executed by Shipper and Transporter, Transporter and Shipper

may mutually agree to an extended time frame and/or modified

terms, including the rate, of such PALSA, to permit Shipper

to payback and/or return such quantities.

5.6 Shipper or its suppliers shall be responsible for reporting and

payment of any royalty, tax, or other burdens on Natural Gas

quantities received by Transporter and Transporter shall not be

obligated to account for or pay such burdens.

6. CREDITWORTHINESS

PAL service is subject to the creditworthiness provisions of

Section 4.16 of the GT&C.

7. EXECUTION OF AGREEMENTS

Upon Shipper's request for PAL service, Transporter will provide

one Master PAL Agreement to be electronically executed to each Shipper

requesting PAL service, or at Shipper's request in paper form. The

Master PAL Agreement will evidence the intent of the parties that the

Master PAL Agreement, in combination with information provided on all

subsequent PALSAs executed by Shipper, will comprise the contractual

agreement of the parties. All provisions of the Master PAL Agreement

shall be incorporated into each PALSA unless specifically excepted.

8. GENERAL TERMS AND CONDITIONS

The GT&C contained in this Tariff, except as modified in the

PALSA, are made a part of this Rate Schedule. However, for purposes of

this Rate Schedule, the term "PALSA" shall be substituted for all

references to the term "Transportation Service Agreement" (or "TSA")

where such term appears in the GT&C. Any future modifications,

additions or deletions to said GT&C are applicable to PAL service

rendered under this Rate Schedule and, by this reference, are made a

part thereof.