Mississippi Canyon Gas Pipeline, LLC

First Revised Volume No. 1

Effective Date: 05/10/2005, Docket: RP05-335-000, Status: Effective

First Revised Sheet No. 150 First Revised Sheet No. 150 : Effective

Superseding: Original Sheet No.150

GENERAL TERMS AND CONDITIONS (cont'd)

28. Discounting Policy (con't)

In addition, the discount agreement may include a

provision that if one rate component which was at

or below the applicable maximum rate at the time

the discount agreement was executed subsequently

exceeds the applicable maximum rate or is less

than the applicable minimum rate due to a change

in Transporter's maximum (minimum) rates so that

such rate component must be adjusted downward

(upward) to equal the new applicable maximum

(minimum) rate, the other rate components may be

adjusted upward (downward) to achieve the agreed

overall rate, so long as none of the resulting

rate components exceed the maximum rate or are

less than the minimum rate applicable to that

rate component. Such changes to rate components

shall be applied prospectively, commencing with

the date a Commission order accepts revised

tariff sheets. Nothing contained herein shall be

construed to alter a refund obligation under

applicable law for any period during which rates

which had been charged under a discount agreement

exceeded rates which ultimately are found to be

just and reasonable.

(b) The Discounting of Rates shall be done in the

following order:

Base Rate

ACA is not discountable.

29. Periodic Reports

Transporter does not currently have any periodic reports

that must be made pursuant to Commission order or to a

settlement proceeding initiated under Parts 154 or 284

of the Commission's Regulations.