Southern Natural Gas Company

Seventh Revised Volume No. 1

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

Third Revised Sheet No. 394 Third Revised Sheet No. 394 : Effective

Superseding: Second Revised Sheet No. 394

PRO FORMA

LIQUEFIABLES TRANSPORTATION AGREEMENT

(Continued)

2.4 This Agreement shall be subject to all provisions of the General Terms and

Conditions, except for Sections 10.2, 10.3, 12.1, 12.2, 13.2, 16.3, 17, 20, 21, 22, 23,

32-35, 41.2, and 41.3 and Appendices B, C, D, and G-J, as such conditions may be revised from time

to time. Unless Shipper requests otherwise, Company shall provide to Shipper the filings

Company makes at the Commission of such provisions of the General Terms and Conditions

or other matters relating to this Agreement. In the event there is a conflict between the

provisions of this Agreement and the applicable transportation rate schedule or the General

Terms and Conditions, the provisions of this Agreement shall govern.

2.5 Company shall have the right to discontinue service under this Agreement in

accordance with Section 15.3 of the General Terms and Conditions contained in Company's

FERC Gas Tariff.

2.6 The parties hereto agree that neither party shall be liable to the other party

for any special, indirect, or consequential damages (including, without limitation, loss of

profits or business interruptions) arising out of or in any manner related to this Agreement.

2.7 This Agreement is subject to the provisions of Subpart G of Part 284 of the

Commissions' Regulations. Upon termination of this Agreement, Company and Shipper

shall be relieved of further obligation to the other party except to complete the

transportation activities underway on the day of termination, to comply with the provisions

of Section 14 of the General Terms and Conditions with respect to the resolution of any

imbalances accrued prior to termination of this Agreement, to render reports, and to make

payment for transportation services rendered.

ARTICLE III

NOMINATIONS AND BALANCING

3.1 For purposes of nominating service hereunder, Shipper agrees that on a day

when the gas stream associated with Shipper's liquefiables is scheduled by Company for

transportation, Company will provide as a nomination on Shipper's behalf the historical

quantity (in Dth) of liquefiables produced from the Receipt Point(s) attributable to the

interest from which Shipper has retained or acquired the