Kern River Gas Transmission Company

Second Revised Volume No. 1

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Effective Date: 08/01/2009, Docket: RP09-723-000, Status: Effective

First Revised Sheet No. 703 First Revised Sheet No. 703

Superseding: Original Sheet No. 703

RATE SCHEDULE MO-1

Kern River Firm Transportation Services

(Continued)

ARTICLE I - DEFINITIONS

1.1 "Authorized Overrun Charge" shall mean a charge as provided for in

Section 3.2.3 herein and shall be equal to the Maximum Transportation

Rate as defined in Section 3.1.1 (g); provided, however, if Transporter

provides any other shipper a rate for Authorized Overrun Service for

Transportation of comparable or greater distance which rate is lower

than the Maximum Transportation Rate, Shipper shall be entitled to such

lower rate for the same period without having to agree to any other

terms associated with that rate.

1.2 "Authorized Overrun Service" shall mean a service in addition to Firm

Service as set forth in Section 2.2.2 herein.

1.3 "Billing Month" shall mean that Month of service hereunder which

immediately precedes the Month in which Transporter is obligated to

render a bill for such service.

1.4 "Btu": "Standardize the reporting basis for Btu as 14.73 psia and 60

degrees F (101.325 kPa and 15 degrees C, and dry). Standardize the

reporting basis for gigacalorie as 1.035646 Kg/cm2 and 15.6 degrees C

and dry. Standardize the reporting basis for gas volumes as cubic foot

at standard conditions of 14.73 psia, 60 degrees, F and dry. For gas

volumes reported in cubic meters, the standard conditions are 101.325

kPa, 15 degrees C, and dry." NAESB WGQ 2.3.9.

1.5 "Business Day": "Business Day is defined as Monday through Friday,

excluding Federal Banking Holidays for transactions in the U.S., and

similar holidays for transactions occurring in Canada and Mexico." NAESB

WGQ 3.2.1.

1.6 "Commencement Date" shall mean the first day of the seven consecutive

day period during which Transporter has (i) delivered to Shipper at the

Delivery Point(s) volumes of Gas Thermally Equivalent to the volume