Kern River Gas Transmission Company

Second Revised Volume No. 1

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Effective Date: 11/01/2004, Docket: RP04-274-003, Status: Effective

Sub First Revised Sheet No. 214 Sub First Revised Sheet No. 214 : Effective

Superseding: Original Sheet No. 214

GENERAL TERMS AND CONDITIONS

(Continued)

28. GAS SALES

28.1 APPLICABILITY. Transporter is not providing a sales service under

any Rate Schedule of this Tariff, but may sell de minimis

Quantities of Gas it acquires pursuant to Section 4.2 of Rate

Schedule PAL.

28.2 REVENUE SHARING. Sales revenues received by Transporter pursuant

to this Section 28 will be credited in accordance with the penalty

revenue crediting provisions set forth in Section 10.11 of the

General Terms and Conditions.