Southern Natural Gas Company

Seventh Revised Volume No. 1

Effective Date: 10/01/2002, Docket: RP02-462-000, Status: Effective

Second Revised Sheet No. 106 Second Revised Sheet No. 106 : Effective

Superseding: First Revised Sheet No. 106

GENERAL TERMS AND CONDITIONS

(Continued)

2.2 If SHIPPER wishes to (i) sell gas under more than one transportation Service

Agreement from an aggregate of Receipt Points ("Supply Pool"), or (ii)

purchase gas from a seller that is selling gas from a Supply Pool under Article

7 of a transportation Service Agreement with COMPANY, or (iii) provide or receive

title transfer tracking ("TTT") services on COMPANY's pipeline system, SHIPPER

shall enter into, or cause each of its aforementioned sellers or TTT service

providers to enter into, a Supply Pool Balancing Agreement in the format set

forth in Appendix D to the General Terms and Conditions. At least ten (10) days

prior to the date SHIPPER desires to nominate quantities of gas for purchase or

sale from a Supply Pool pursuant to Article 7 (or Article 6, as applicable) of

SHIPPER'S Service Agreement, or to provide title transfer tracking services,

SHIPPER shall provide, or cause its seller or TTT service providers to

provide, as appropriate, a request for a Supply Pool Balancing Agreement. The

request shall be submitted to COMPANY'S Customer Services Department, P. O. Box

2563, Birmingham, Alabama 35202, and shall include the following information to

be deemed a valid request:

(1) Full legal name of requesting party, Dun and Bradstreet number, identity

of the party (e.g. marketer, producer, etc.), complete addresses for

notices, dispatching and invoices, contact person and telephone number,

24-hour facsimile machine number, three (3) contact persons and

a 24-hour telephone or beeper number for emergencies, type of legal entity

and, if a corporation, the state of incorporation;

(2) Whether the Supply Pool Balancing Agreement will be used to:

(i) aggregate supplies from Receipt Points for delivery into

transportation Service Agreements and other Supply Pool

Balancing Agreements ("Tier I Supply Pool") or

(ii) aggregate supplies from Receipt Points and other Supply Pool

Balancing Agreements for delivery into transportation Service

Agreements ("Tier II Supply Pool"); or

(iii) provide TTT services on COMPANY's system; and