Southern Natural Gas Company

Seventh Revised Volume No. 1

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Effective Date: 07/01/2003, Docket: RP03-381-000, Status: Effective

Ninth Revised Sheet No. 124 Ninth Revised Sheet No. 124 : Effective

Superseding: Eighth Revised Sheet No. 124

GENERAL TERMS AND CONDITIONS

(Continued)

Section 12.1(a) (continued)

SHIPPER shall also specify the first date that the nomination is to be effective

("begin date") and the last date that the nomination is to be effective

("end date"). Shippers may nominate for several days, months or years provided

the begin and end dates are within the term of SHIPPER's Service Agreement

with COMPANY. All nominations, excluding intraday nominations, shall have

roll-over options. Unless SHIPPER wishes to change its nomination, SHIPPER

shall not be required to resubmit its nomination during the begin and

end dates.

COMPANY shall not be obligated to accept quantities in excess of the MDRQ at

each Receipt Point or to deliver quantities in excess of the MDDQ at each Delivery

Point; provided, however, SHIPPER shall be entitled to nominate at each Receipt

Point a quantity sufficient to cover the fuel charge provided for in Section 3

of the applicable transportation Rate Schedules. When processing nominations,

COMPANY shall apply a standard fuel calculation of (1 - fuel%/100) multiplied

by receipt quantity = delivery quantity. This calculation shall be rounded to

the nearest Dth. COMPANY shall not reject a nomination for reasons of

rounding differences due to fuel calculation of less than 5 Dth.

With respect to the various deadlines set forth in this Section 12, the party

receiving the information has the right to waive the deadline at its option,

COMPANY shall waive any such deadlines in a nondiscriminatory manner for

similarly situated SHIPPERS.

(b) Method of Submitting Nominations: SHIPPER must submit its nomination through

SoNet Premier or via Electrionic Data Interchange (EDI) methods pursuant to

NAESB Standards, provided that SHIPPER has entered into a NAESB Model Trading

Partner Agreement with COMPANY for such EDI transaction. It is also pro-

. vided, however, that COMPANY will accept nominations by fax machine on days

when COMPANY'S business offices are open. SHIPPER'S nominations shall be

submitted to COMPANY'S Customer Services Department in the format set forth

in Appendix C of the General Terms and Conditions.