Kern River Gas Transmission Company

Second Revised Volume No. 1

Effective Date: 02/03/2002, Docket: RP02-137-000, Status: Effective

First Revised Sheet No. 730 First Revised Sheet No. 730 : Effective

Superseding: Original Sheet No. 730

RATE SCHEDULE MO-1

Kern River Firm Transportation Services

(Continued)

ARTICLE VI - MEASUREMENT OF GAS (Continued)

6.1 Measuring Equipment (Continued)

be used, by estimating the quantity delivered by reference

to deliveries under similar conditions during a period when

the equipment was registering accurately. No correction

shall be made in the recorded volumes of Gas delivered

hereunder for inaccuracies in measuring equipment of one

percent (1%) or less.

6.1.5 New Measurement Techniques. If, at any time during the term of

the Transportation Service Agreement a new method or technique is

developed with respect to Gas measurement, such new method or

technique may be substituted for the Gas measurement set forth in

this Article VI upon mutual agreement thereto by the parties in

writing.

6.1.6 Correction of Stated Metered Volumes. GISB 2.3.14: "Measurement

data corrections will be processed within six (6) months of the

production month with a three (3) month rebuttal period. This

standard will not apply in the case of deliberate omission or

misrepresentation or mutual mistake of fact. Parties' other

statutory or contractual rights shall not otherwise be diminished

by this standard."

6.2 Measurement Procedures.

6.2.1 Metering. The Gas shall be metered by either orifice, turbine or

ultrasonic type meters, at the discretion of Transporter. When

orifice meters are used, they shall be installed and maintained,

and volumes shall be measured in accordance with the methods

prescribed in ANSI/API 2530, dated September 1985 or any