Michigan Gas Storage Company

First Revised Volume No 1

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Effective Date: 01/01/1997, Docket: RP96-290-001, Status: Effective

Second Revised Sheet No. 34 Second Revised Sheet No. 34 : Superseded

Superseding: First Revised Sheet No. 34

RATE SCHEDULE IS

INTERRUPTIBLE STORAGE SERVICE

(continued)

3.3 General Terms and Conditions

The General Terms and Conditions of this Tariff are

applicable to this Rate Schedule.

4. RATES AND CHARGES

Subject to modifications that may be imposed and/or authorized by

the FERC, each month Buyer shall, where applicable, pay MGS the

following amounts:

4.1 Storage Charges

a. Inventory Charge

An Inventory Rate per dth as shown on effective

Tariff Sheet No. 5, multiplied by the amount

of Buyer's Gas in dth in Storage.

b. Injection Charge

An Injection Rate per dth as shown on effective

Tariff Sheet No. 5, multiplied by the quantity

of Gas injected into Storage by MGS on behalf of

Buyer.

c. Withdrawal Charge

A Withdrawal Rate per dth as shown on effective

Tariff Sheet No. 5, multiplied by the quantity

of Gas withdrawn from Storage by MGS on behalf

of Buyer.

4.2 Overrun Service Charge

To the extent Buyer exceeds the MSQ, specified in the

executed Service Agreement, Shipper shall be subject to

an appropriate overrun service charge as provided for on

Tariff Sheet No. 5. In the event that Buyer exceeds

the MDIQ or MDWQ, specified in the Service Agreement,

Buyer shall be subject to the applicable injection rate

per dth or withdrawal rate per dth as shown on effective

Tariff Sheet No. 5.

4.3 Surcharges

Shipper shall pay all surcharges specified in Section 25

of the General Terms and Conditions or which otherwise

may be applicable to service under this Rate Schedule

from time to time.

5. REIMBURSEMENT OF FUEL

Shipper shall reimburse MGS in-kind for fuel required in providing

service under this rate schedule in addition to the payments made

pursuant to Section 4 of this rate schedule. This currently

effective fuel reimbursement percentages are set forth on Tariff

Sheet No. 5.

6. CONDITIONS OF INJECTION AND WITHDRAWAL

6.1 Maximum Daily Injection Quantity

The MDIQ may not exceed the MSQ divided by 200.