Southern Natural Gas Company

Seventh Revised Volume No. 1

Effective Date: 11/01/1993, Docket: RS92- 10-003, Status: Effective

Original Sheet No. 312 Original Sheet No. 312 : Effective

FORM OF SERVICE AGREEMENT

UNDER RATE SCHEDULE FT-NN

(Continued)

and the General Terms and Conditions. Company shall notify Shipper as soon as

practicable of the date services will commence hereunder, and if said date is not the

first day of the month, the Reservation Charge for the first month of service

hereunder shall be adjusted to reflect only the actual number of days during said

month that transportation service is available. Company may agree from time to

time to discount the rates charged Shipper for services provided hereunder in

accordance with the provisions of Rate Schedule FT-NN. Said discounted charges

shall be set forth on Exhibit E hereto.

6.2 The rates and charges provided for under Rate Schedule FT-NN shall be subject to

increase or decrease pursuant to any order issued by the Commission in any

proceeding initiated by Company or applicable to the services performed hereunder.

Shipper agrees that Company shall, without any further agreement by Shipper, have

the right to change from time to time, all or any part of this Agreement, as well as

all or any part of Rate Schedule FT-NN, or the General Terms and Conditions

thereto, including without limitation the right to change the rates and charges in

effect hereunder, pursuant to Section 4(d) of the Natural Gas Act as may be deemed

necessary by Company, in its reasonable judgment, to assure just and reasonable

service and rates under the Natural Gas Act. Nothing contained herein shall

prejudice the rights of Shipper to contest at any time the changes made pursuant to

this Section 6.2, including the right to contest the transportation rates or charges for

the services provided under this Agreement, from time to time, in any subsequent

rate proceedings by Company under Section 4 of the Natural Gas Act or to file a

complaint under Section 5 of the Natural Gas Act with respect to such transportation

rates or charges.

ARTICLE VII

SPECIAL PROVISIONS

7.1 If Shipper is a seller of gas under more than one Service Agreement and requests

that Company allow it to aggregate nominations for certain Receipt Points for such

Agreements, Company will allow such an arrangement under

the terms and conditions set forth in this Article VII. To be eligible to aggregate gas,

Shipper must comply with the provisions of Section 2.2 of the General Terms and

Conditions and the terms and conditions of the Supply