Southern Natural Gas Company

Seventh Revised Volume No. 1

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Effective Date: 01/09/2009, Docket: RP09-147-000, Status: Effective

Second Revised Sheet No. 135A Second Revised Sheet No. 135A

Superseding: First Revised Sheet No. 135A

GENERAL TERMS AND CONDITIONS

(Continued)

Section 13.2(b)(iii) (continued)

If the downstream operator agrees to such application of the remaining available

no-notice injection capacity, the Operator-Provided Injection Quantity for each

SHIPPER at a Delivery Point must be submitted to COMPANY by 5:00 p.m. CCT two (2)

business days following the gas day. If the total Operator-Provided Injection

Quantities are greater than the sum of the downstream operator's remaining

available no-notice injection capacity and SHIPPER(S)'S available no-notice

injection capacity, then COMPANY shall pro rate the available no-notice injection

capacity based on the ratio that each applicable SHIPPER'S unresolved Deficient

Difference, not to exceed the Operator-Provided Injection Quantity, bears to the

total. The injection quantity allocated to SHIPPER hereunder will be deemed to

have been delivered to the downstream operator's CSS account under SHIPPER'S

transportation Service Agreement. Unless COMPANY is limiting ISS injections for

the applicable gas day, downstream operator may agree to apply ISS injections

toward SHIPPER(S)'S remaining unresolved Deficient Difference(s) at the Delivery

Point. If the downstream operator agrees to applying such ISS injections, the ISS

election for the Delivery Point must be submitted to COMPANY by 5:00 p.m. CCT two

(2) business days following the gas day. The ISS election will be applied to all

SHIPPERS having an Operator-Provided Injection Quantity greater than zero. Upon

such application, the injection quantity allocated to SHIPPER hereunder will be

deemed to have been delivered to downstream operator's ISS account under

SHIPPER'S transportation Service Agreement.

(c) Systemwide Allocations: If downstream operator has multiple Delivery Points in

the same rate zone on COMPANY'S system, COMPANY shall apply the provisions of

this Section 13.2 to the aggregate daily gas flow at such Delivery Points. It

is provided, however, that the downstream operator may elect not to have the gas

allocated at its Delivery Points on an aggregate basis, but have the gas flow

allocated at each Delivery Point separately. Such non-systemwide election

should be provided in writing by the downstream operator to COMPANY'S Customer

Services Department no later than the last business day of the month prior to

the month for which the election is to be effective. The election shall remain

in effect on a month-to-month basis until the downstream operator cancels its

election by the same manner and deadline as required for exercising its

election.

(d) PDA Deadlines: Each PDA must be submitted to COMPANY, by facsimile machine or

through SoNet Premier, during the confirmation of that day's nominations or

prior to 5:00 p.m. CCT two (2) business days following the gas day. COMPANY

shall extend the PDA deadline to no later than four (4) business days following

the end of the month in which the gas was transported in the event all of the

affected parties, including the Point Operator and all shippers, send notice to

COMPANY in writing that they are in agreement on the PDA to be used and have no

objection to a change in the PDA. If there are no additions in nominations by a

SHIPPER at a Delivery Point or other changes, the current PDA will stay in

effect as submitted until it is changed pursuant to the foregoing procedures.

In the event SHIPPER adds a nomination at a Delivery Point, then SHIPPER must

provide, or cause to be provided, as set forth above a PDA at the Delivery Point

which recognizes SHIPPER'S nomination.