North Baja Pipeline, LLC

Original Volume No. 1

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Effective Date: 08/12/2002, Docket: RP02-363-000, Status: Effective

Original Sheet No. 103 Original Sheet No. 103 : Effective

GENERAL TERMS AND CONDITIONS OF SERVICE

(Continued)

1. DEFINITIONS (Continued)

1.17 Parcel: The term utilized to describe an amount of capacity,

expressed in Dth/d, from a specific receipt point to a specific

delivery point for a specific period of time which is released and

bid on pursuant to the capacity release provisions contained in

Paragraph 19 of these General Terms and Conditions of Service.

1.18 Primary Release: The term used to describe the initial release of

capacity by a Shipper to a Replacement Shipper.

1.19 Secondary Release: The term used to describe the release of

capacity by a Replacement Shipper to a different Replacement

Shipper.

1.20 Bid Reconciliation Period: The period of time subsequent to the

Bid Period during which bids are evaluated by NBP.

1.21 Match Period: The period of time subsequent to the Bid

Reconciliation Period and before the notification deadline for

awarding capacity for Prearranged Deals that require bidding.

During this period the Prearranged Shipper may match any higher

bids for the Parcel.

1.22 Nomination: The provision of information to NBP necessary to

effectuate a transportation transaction. Specific Nomination

procedures are set forth in Paragraph 14 of these General Terms

and Conditions of Service.

1.23 Intraday Nomination: A Nomination submitted after the Nomination

deadline whose effective time is no earlier than the beginning of

the Gas Day and runs through the end of the Gas Day.

1.24 North American Energy Standards Board Standards: The term "North

American Energy Standards Boards Standards" or "NAESB Standards"

shall mean the standardized business practices and electronic

communication practices promulgated by the North American Energy

Standards Board from time to time and incorporated in the Code of

Federal Regulations by the Federal Energy Regulatory Commission.

(Continued)