Southern Natural Gas Company

Seventh Revised Volume No. 1

Effective Date: 09/22/2004, Docket: RP04-494-000, Status: Effective

Eighth Revised Sheet No. 98 Eighth Revised Sheet No. 98 : Effective

Superseding: Seventh Revised Sheet No. 98

GENERAL TERMS AND CONDITIONS

(Continued)

Section 1(n) (continued)

(n) Maximum Daily Delivery Quantity (MDDQ) - For each Delivery Point, the

maximum quantity of gas which COMPANY is obligated to deliver for

SHIPPER'S account. The MDDQ shall be specified on Exhibit B to the

Service Agreement between COMPANY and SHIPPER. For all interruptible

and alternate firm services, the MDDQ is the lesser of (i) the maximum

quantity of gas COMPANY is capable of delivering at said point based on

design capacity or historical operations, as may change from time to time,

or (ii) the Transportation Demand or scheduled quantity, as applicable.

(o) SoNet Premier - COMPANY'S electronic computer system as more

specifically described in Section 27 hereof. SoNet Premier is also

referred to herein, from time to time, as SoNet or Premier.

(p) Dekatherm (Dth) - The standard quantity for purposes of nominations,

confirmation, scheduling, invoicing, balancing and rates in the United

States. One Dth is equivalent to one MMBtu.

(q) Central Clock Time (CCT) - The time in the Central Time Zone, as adjusted

for Daylight Savings Time and Standard Time. Unless otherwise

specified herein, all times stated in this tariff are Central

Clock Time. "Birmingham, Alabama, time" shall mean Central

Clock Time.

(r) Business day - Monday through Friday, excluding Federal Banking

holidays for transactions in the United States and similar holidays

for transactions occurring in Canada and Mexico.

(s) Critical notices - Those notices issued by COMPANY which contain

information about conditions that affect scheduling of service by

COMPANY or adversely affect scheduled gas flow.

(t) NAESB- North American Energy Standards Board.

(u) NAESB Standard - The standards issued by NAESB and adopted by the

Federal Energy Regulatory Commission in its regulations governing

interstate natural gas companies.

(v) Operational Flow Orders (OFO) - An order issued to alleviate conditions,

inter alia, which threaten the safe operations or system integrity of

COMPANY'S system or to maintain operations required to provide efficient

and reliable firm service. Whenever COMPANY experiences these conditions,

any pertinent order shall be referred to as an OFO. A list of