North Baja Pipeline, LLC

Original Volume No. 1

Effective Date: 04/24/2010, Docket: RP10-510-000, Status: Effective

Fourth Revised Sheet No. 115 Fourth Revised Sheet No. 115

Superseding: Third Revised Sheet No. 115

GENERAL TERMS AND CONDITIONS OF SERVICE

(Continued)

7. PAYMENT

7.1 Payment under all Rate Schedules: On or before the tenth day

following the date NBP's bill is rendered in accordance with

Paragraph 6.1 of these General Terms and Conditions of Service,

each Shipper under all applicable Rate Schedules shall pay to or

upon the order of NBP in lawful money of the United States at

NBP's office in Houston, Texas, the amount of the bill rendered by

NBP. Payments in excess of $50,000 shall be made in the form of

Wire Transfer directed to a bank account designated by NBP. In

accordance with NAESB Standard 3.3.17, Version 1.8, party making

payment should submit supporting documentation; party receiving

payment should apply payment per supporting documentation provided

by the paying party; and if payment differs from invoiced amount,

remittance detail should be provided with the payment. In

accordance with NAESB Standard 3.3.18, Version 1.8, Shippers shall

identify invoice numbers on all payments. In accordance with

NAESB Standard 3.3.19, Version 1.8, in the event a Shipper

disputes any portion of the invoice, Shipper shall pay that

portion of the invoice not in dispute and provide supporting

documentation identifying the basis for the dispute.

7.2 Interest on Unpaid Amounts: Should Shipper fail to pay the amount

of any bill rendered by NBP when such amount is due, interest

thereon shall accrue from the due date until paid at the rate of

interest effective from time to time under 18 CFR Section

154.501(d).

7.3 Remedies for Failure to Pay: If a Shipper's failure to pay the

undisputed portion of an invoice continues for thirty (30) days

after payment is due, NBP, in addition to any other remedy it may

have, may suspend further delivery of gas until such amount is

paid.

If Shipper's failure to pay extends beyond the thirty (30) day

notice period, in addition to suspending service under Shipper's

Transportation Service Agreement(s), Transporter shall have the

right to provide notice to Shipper, the Commission, and any

Replacement Shipper(s) that has obtained temporary release

capacity from Shipper that if Shipper fails to make payment within

fifteen (15) days, Transporter may terminate Shipper's

Transportation Service Agreement(s) and may exercise any other

remedy available to Transporter hereunder, at law or in equity.

(Continued)