Paiute Pipeline Company

Second Revised Volume No. 1-A

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Effective Date: 11/05/2006, Docket: RP07- 12-000, Status: Effective

Third Revised Sheet No. 77 Third Revised Sheet No. 77 : Effective

Superseding: Second Revised Sheet No. 77

GENERAL TERMS AND CONDITIONS

(Continued)

4. OPERATING PROCEDURES (Continued)

4.7 Operating Procedures for Rate Schedule LGS-1

Service: (Continued)

b. The original owner

and the new owner will confirm such

transfer of ownership in writing within

three (3) days, and will provide Paiute

with a copy of such documentation.

c. Such transfer shall

be subject to the rules and regulations

of any governmental body of competent

jurisdiction.

(d) Gasification and Delivery: The actual

quantity of gas to be gasified and delivered

from the LNG Plant at any time is subject to

the conditions affecting the operation of

Paiute's entire system at such time, as

follows:

(1) The design gasification

capacity at the LNG Plant is 71,959 Dth per

day. (The design gasification capacity

quantity is stated in dekatherms, using an

assumption that one dekatherm is equal to

one Mcf of gas with a heating content of

1,028 Btu per cubic foot. It is recognized

that the design gasification capacity as

expressed in dekatherms may vary from time

to time depending upon the actual heating

content of the LNG.) Gasification at the

LNG Plant may require up to ten (10) hours

of warm-up time. The scheduling of LNG

gasification shall be subject to such

start-up period limitation.

(2) Paiute's LNG Plant was

designed as a peaking facility to be used

during the Winter Period, provided however,

that Shippers may schedule gasification of

LNG during other times when such

gasification would not adversely affect

Paiute's service obligations. The LNG Plant

is designed to be in a continuous

liquefaction mode for extended periods of

time. It is inefficient to switch back and

forth between liquefaction and

gasification, therefore,