Kern River Gas Transmission Company

Second Revised Volume No. 1

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

First Revised Sheet No. 811 First Revised Sheet No. 811 : Effective

Superseding: Original Sheet No. 811

RATE SCHEDULE SH-1

Kern River Firm Transportation Services

(Continued)

ARTICLE 2 - QUANTITY

2.1 Transportation Service. Subject to the provisions of this Rate Schedule

and the Firm Transportation Service Agreement, Transporter and Shipper

hereby agree that Transporter shall render to Shipper a Transportation

service that shall consist of:

(a) The receipt by Transporter for the account of Shipper of up to a

transportation maximum daily quantity (TMDQ) as calculated using

the methodology set out in Section 25 of the General Terms and

Conditions of this tariff, based on Entitlements at the Receipt

Point(s) plus the quantities for fuel use and lost and unaccounted

for Gas that Shipper is obligated to provide under Article 12

herein;

(b) The Transportation of Gas up to Shipper's TMDQ, on a firm basis,

subject to Article 10 of this Rate Schedule SH-1, through

Transporter's pipeline system for the account of Shipper; and

Transportation (less quantities of fuel use and lost and

unaccounted for Gas furnished in-kind by Shipper pursuant to

Article 12 herein) by Transporter to Shipper or for the account of

Shipper at the Delivery Point(s).