Southern Natural Gas Company

Seventh Revised Volume No. 1

Effective Date: 03/01/2005, Docket: RP04-523-000, Status: Effective

Seventh Revised Sheet No. 72 Seventh Revised Sheet No. 72 : Effective

Superseding: Sixth Revised Sheet No. 72

RATE SCHEDULE CSS

Contract Storage Service

(Continued)

Section 4(c) (continued)

Schedule and the range represented by the maximum and minimum rates

stated for such service. SHIPPER shall pay the maximum rate for service

under this Rate Schedule unless COMPANY, in its reasonable judgment,

offers to discount the maximum rates to SHIPPER under this Rate

Schedule, or unless the parties have agreed to a Negotiated Rate under Section 34 of

the General Terms and Conditions. Any discount or Negotiated Rate agreed to by

COMPANY and the effective period thereof shall be stated on an executed Exhibit C or

Exhibit D to the Service Agreement, respectively, and shall be made on a not unduly

discriminatory basis. In the case of a discount, it shall be granted consistent with

the applicable provisions of Section 42 of the General Terms and Conditions. The rate

for service under this Rate Schedule shall not be discounted below the applicable

minimum rate specified on the currently effective Sheet Nos. 20 or 31.

(d) The foregoing charges are to be paid to COMPANY in addition to all

charges incurred under the applicable rate schedule for the transportation

of gas to be injected into and/or withdrawn from Storage for SHIPPER'S

account.

5. INJECTION PROCEDURES

(a) SHIPPER, or its agent designated in an executed agency agreement, shall

nominate gas for injection under this Rate Schedule by notifying

COMPANY of the daily quantity of gas expressed in Dth it has

available for injection at the Storage Point pursuant to the nomination

procedures set forth in Section 12 of the General Terms and Conditions by

designating deliveries under SHIPPER'S interruptible or firm

transportation agreement or a third party's transportation agreement into its

storage capacity. In the event the nomination for injection into storage for

SHIPPER'S account is made by a third party shipper under its own transportation

agreement, then SHIPPER must actively confirm the transportation nomination to

deliver gas for injection into its Storage account.

(b) SHIPPER and COMPANY may establish uniform nominations of daily

quantities of gas to be injected for SHIPPER'S account under this Rate

Schedule, subject to adjustment to SHIPPER'S MDIQ as specified in its

Service Agreement or to changes in the accompanying transportation

nominations. If a uniform nomination is established, SHIPPER shall not

be required to nominate, or cause to be nominated, deliveries of gas for

injection on a daily basis until it desires to effect a change in the

nominations scheduled by COMPANY