Southern Natural Gas Company

Seventh Revised Volume No. 1

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

First Revised Sheet No. 386 First Revised Sheet No. 386 : Effective

Superseding: Original Sheet No. 386

FORM OF SERVICE AGREEMENT

UNDER RATE SCHEDULE ISS

(Continued)

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 Rate

Schedule ISS or the General Terms and Conditions applicable 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 terms of

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 5.2, including the right to contest the rates or charges for the

services provided under this Agreement, from time to time, in any 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 rates or

charges.

ARTICLE VI

MISCELLANEOUS

6.1 This Agreement constitutes the entire Agreement between the parties and no

waiver by Company or Shipper of any default of either party under this

Agreement shall operate as a waiver of any subsequent default whether of a like

or different character.

6.2 The laws of the State of __________ shall govern the validity, construction,

interpretation, and effect of this Agreement, without giving effect to any conflict

of laws doctrine that would apply the laws of another jurisdiction.

6.3 No modification of or supplement to the terms and provisions hereof shall be or

become effective except by execution of a supplementary written agreement

between the parties.

6.4 This Agreement shall bind and benefit the successors and assigns of the respective

parties hereto. Neither party may assign this Agreement without the prior written

consent of the other party, which consent shall not be unreasonably withheld;

provided, however, that either party may assign or pledge this Agreement under

the provisions of any mortgage, deed of trust, indenture or similar instrument.