Southern Natural Gas Company

Seventh Revised Volume No. 1

Effective Date: 11/01/2007, Docket: RP08- 52-000, Status: Effective

First Revised Sheet No. 424 First Revised Sheet No. 424 : Effective

Superseding: Original Sheet No. 424

Service Agreement No.____________

FORM OF SERVICE AGREEMENT

Under Rate Schedule PAL

Park and Loan Service

THIS AGREEMENT entered into this ______ day of _________________, _____,

by and between SOUTHERN NATURAL GAS COMPANY, a Delaware general partnership,

hereinafter referred to as "Company," first party, and

________________________________, a __________________ corporation,

hereinafter referred to as "Shipper," second party,

W I T N E S S E T H

WHEREAS, Company is an interstate pipeline, as defined in Section 2(15)

of the Natural Gas Policy Act of 1978 (NGPA); and

WHEREAS, Company has agreed to provide Shipper with park and loan

service in accordance with the terms and conditions of this Agreement.

NOW THEREFORE, the parties hereto agree as follows:

ARTICLE I

PARK AND LOAN SERVICE

1.1 PARKS - Subject to the terms and provisions of this agreement

(including Exhibit A hereto) and of Company's Rate Schedule PAL,

Shipper agrees to deliver or cause gas to be delivered to Company

and Company agrees to (a) the receipt of a quantity of gas

(Parked Quantity), equal to the Daily Quantity specified in

Exhibit A, on behalf of Shipper at the applicable Point of

Transaction (PT) on Company's system; (b) hold the Parked

Quantity on Company's system; and (c) deliver, upon nomination by

Shipper, the Parked Quantity to Shipper at the same PT. SHIPPER

shall receive or deliver gas from or to Company at the PT by

delivering the scheduled volumes to or from a supply pool under a

Supply Pool Balancing Agreement or to or from a Service Agreement

under Rate Schedule FT, FT-NN or IT. Shipper shall make any

necessary arrangements with Company or third parties to receive

or deliver gas to Company at the PT; provided, however, that such

arrangements shall be compatible with the operating conditions of

Company's pipeline system and shall provide for coordinated

scheduling with Company. Any gas which has been parked at a PT

must be nominated to a supply pool or a transportation agreement

which has capacity in the same zone as the PT.