Southern Natural Gas Company

Seventh Revised Volume No. 1

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Effective Date: 10/01/2004, Docket: RP04-523-000, Status: Effective

Ninth Revised Sheet No. 53 Ninth Revised Sheet No. 53 : Effective

Superseding: Eighth Revised Sheet No. 53

RATE SCHEDULE FT-NN

Firm Transportation Service - No Notice

(Continued)

Section 3(e) (continued)

(iii) SCRM surcharge: A Storage Cost Reconciliation Mechanism Surcharge as

prescribed by Section 14.2 of the General Terms and Conditions of COMPANY'S

FERC Gas Tariff, Seventh Revised Volume No. 1, as said charge may be

changed from time to time. The SCRM surcharge shall be applied as either a

credit or a debit to the Transportation Volumes as defined in Section 14.2.