Kern River Gas Transmission Company

Second Revised Volume No. 1

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Effective Date: 05/01/2002, Docket: RP01-190-002, Status: Effective

Second Revised Sheet No. 646 Second Revised Sheet No. 646 : Effective

Superseding: Sub First Revised Sheet No. 646

RATE SCHEDULE UP-1

Kern River Firm Transportation Services

(Continued)

ARTICLE XV - RECEIPT AND DELIVERY POINTS AND PRESSURES (Continued)

15.1 Receipt Point(s). (Continued)

(c) In the event Shipper permanently releases only a portion of its

Transportation rights to a Replacement Shipper under Section 15 of

the General Terms and Conditions of this tariff, Shipper's

aggregate Receipt Point Entitlements must be released by the same

percentage as Shipper's DMDQ and aggregate Delivery Point

Entitlements are released.

15.2 Transporter's Receipt Pressure. Shipper shall deliver, or cause to be

delivered to Transporter the Gas at the Receipt Point(s) at sufficient

pressures to effect delivery thereof into Transporter's System against

the pressures at such point(s), but Shipper shall not be obligated to

deliver or cause to be delivered such Gas to Transporter in excess of

the maximum receipt pressures as stated on Exhibit "A" to the

Transportation Service Agreement.

15.3 Delivery Point(s).

(a) The Primary Delivery Point(s) at which Transporter will deliver

Gas for Shipper's account are set forth in Exhibit "B" to the

Transportation Service Agreement. Exhibit "B" also states a

Delivery Point Entitlement for each Primary Delivery Point which

is the maximum Quantity of Gas Transporter is obligated to deliver

at such Primary Delivery Point on any Day. Shipper may add

Primary Delivery Points to its Transportation Service Agreement,

or increase or decrease the amount of Shipper's Delivery Point

Entitlement at any particular Primary Delivery 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 Delivery Point Entitlement

at any one or more of the Primary Delivery Points contained in its

Transportation Service Agreement. Exhibit "B" shall be amended as

necessary to reflect any changes in Shipper's utilization of its

Primary Delivery Points which is mutually agreed to by the parties

in writing. Shipper may request Primary Delivery Point(s)

additional to those on Exhibit "B" which require the installation

of new facilities on Transporter's