Northern Natural Gas Company

Fifth Revised Volume No. 1

Effective Date: 03/01/1996, Docket: RP96-137-000, Status: Effective

Original Sheet No. 237B Original Sheet No. 237B : Superseded

GENERAL TERMS AND CONDITIONS

e. Total Annual Throughput: The Total Annual Throughput includes the

Order No. 636 Settlement Volumes, less Firm Sales and Gathering, as

set forth on Appendix E of the Global Settlement, Docket No. RP92-1,

et al.

f. Monthly Entitlement Quantity: The monthly entitlement quantity is

that quantity of entitlement in effect during a specific month.

g. Amortization Period: The amortization period for the Order No. 528

Volumetric and Reservation Surcharges shall be a period of one (1)

year.

3. Order No. 528 VOLUMETRIC SURCHARGE PROVISIONS:

a. The Order No. 528 Volumetric Surcharge shall be calculated by dividing

fifty percent (50%) of the Order No. 528 Costs by the Total Annual

Throughput.

b. All Shippers of gas under Northern's Transportation Rates Schedules

(collectively referred to as Shippers for purposes of this section of the

General Terms and Conditions of this Tariff) shall be charged the

applicable Order No. 528 Volumetric Surcharge as set forth on

Sheet Nos. 50 through 53 of Volume No. 1 of Northern's FERC Gas

Tariff, as may be revised from time to time, multiplied by the quantity

of gas actually delivered during the billing month.

4. Order No. 528 RESERVATION SURCHARGE PROVISIONS:

a. The Order No. 528 Reservation Surcharge shall be calculated by dividing

twenty-five percent (25%) of the Order No. 528 Costs by the Total

Annual Billing Units.

b. The Order No. 528 Reservation Surcharge is a surcharge applied to the

monthly Market Area and Field-to-Field Area firm entitlement

quantities of Northern's firm shippers where Northern has the

contractual right to collect the surcharge. The total monthly amount

to be surcharged is determined by multiplying the monthly entitlement

quantity times the surcharge rate as set forth on Tariff Sheet Nos. 50

through 53 of Volume No. 1 of Northern's FERC Gas Tariff. For GS-T

shippers the Order No. 528 surcharge will be derived using the

Order No. 528 Volumetric and Reservation Surcharges at a 43% load

factor and applied to the actual monthly GS-T volumes transported.