Kern River Gas Transmission Company

Second Revised Volume No. 1

Effective Date: 05/01/2002, Docket: RP01-190-004, Status: Effective

Second Revised Sheet No. 645 Second Revised Sheet No. 645 : Effective

Superseding: First Revised Sheet No. 645

RATE SCHEDULE UP-1

Kern River Firm Transportation Services

(Continued)

ARTICLE XV - RECEIPT AND DELIVERY POINTS AND PRESSURES

15.1 Receipt Point(s).

(a) The Primary Receipt Point(s) at which Transporter will receive Gas

from Shipper for Transportation are set forth in Exhibit "A" to

the Transportation Service Agreement. Exhibit "A" also states a

Receipt Point Entitlement for each Primary Receipt Point, which

shall be the maximum Quantity of Gas Transporter is obligated to

receive for Transportation at such Primary Receipt Point on any

Day. Shipper may add Primary Receipt Points to its Transportation

Service Agreement, or increase or decrease the amount of Shipper's

Receipt Point Entitlement at any particular Primary Receipt Point,

subject to the availability of capacity; provided, however, that

in the event of any such addition or increase, Shipper must

concurrently relinquish an equivalent amount of its Receipt Point

Entitlement at any one or more of the Primary Receipt Points

contained in its Transportation Service Agreement. Exhibit "A"

shall be amended as necessary to reflect any changes in Shipper's

utilization of its Primary Receipt Points. Shipper may request

Primary Receipt Points additional to those on Exhibit "A" to be

installed in accordance with Section 6.1.1 above and Transporter's

agreement to install such additional Primary Receipt Points shall

not be unreasonably withheld. In addition, Shipper may, subject

to Section 13 of the General Terms and conditions of this Tariff,

nominate and schedule Gas for Transportation from Secondary

Receipt Points.

(b) In the event Shipper temporarily releases any or all of its

Transportation rights to a Replacement Shipper under Section 15 of

the General Terms and Conditions of this Tariff, Shipper shall be

required to relinquish, for the entire term of the relevant

Release, some portion or all of its Receipt Point Entitlement at

any one or more of its Primary Receipt Points in an aggregate

amount no less than the amount of the DMDQ released. Following

expiration of the term of any Release which is not a permanent

Release, Shipper shall be entitled to utilize the Primary Receipt

Points which the Replacement Shipper was entitled to utilize at

the time of expiration of the Release Term, up to the amount of

the Replacement Shipper's respective Receipt Point Entitlement at

each such point.