Southern Natural Gas Company

Original Volume No. 2

Effective Date: 02/03/1991, Docket: RP90-139-004, Status: Effective

First Sub. Sixteenth Rev. Sheet No. 450 First Sub. Sixteenth Rev. Sheet No. 450 : Effective

Superseding: Fifteenth Revised Sheet No. 450

RATE SCHEDULE X-48 (Continued)

2. It is recognized that because of dispatching and other variations,

certain imbalances may occur betweeen the volume of gas delivered hereunder by

Transco at the Delivery Point and the volumes of gas redelivered hereunder by

Southern at the Redelivery Point. Such imbalances shall be corrected, insofar

as practicable, during the following month. All gas delivered or redelivered

hereunder on each day shall be delivered at as constant rates as practicable.

ARTICLE IV

(Delivery Pressures)

1. All gas delivered hereunder by or for Transco shall be delivered at

pressures sufficient to enter Southern's system at the working pressures

maintained at the Delivery Point from time to time. Southern shall not be

obligated to receive gas hereunder at pressures exceeding the maximum allowable

operating pressures prescribed under any applicable governmental regulations.

2. All gas redelivered hereunder by Southern at the Redelivery Point

shall be redelivered at a pressure sufficient to enter Transco's line at such

point; provided, however, that Southern shall not be required to install

additional facilities to redeliver such gas at any point.

ARTICLE V

(Rates and Statements)

1. Transco agrees to pay Southern during each month service is performed

pursuant to this Agreement a transportation charge of 33› per Mcf (at 14.73

psia) of gas redelivered to Transco at the Redelivery Point. 1/

2. The transportation charge applicable hereunder shall be subject to

increase or decrease pursuant to any order issued by the Federal Energy

Regulatory Commission, or any other governmental agency having jurisdiction, in

any rate proceeding initiated by, or applicable to, Southern. Transco agrees

that Southern shall, at all times during the term hereof, have the right to

effect changes in the transportation charge applicable hereunder by seeking

authorization from duly constituted regulatory authorities for any such

adjustments as may be needed to assure that Southern will receive just and

reasonable compensation for the services performed hereunder for Transco.

Nothing herein contained shall prejudice the rights of Transco to contest in

good faith subsequent changes to the transportation charge set forth above with

regard to the services rendered hereunder by Southern.

1/ Revised Charge: Winter 27.7› Summer 16.7›

Plus the ACA unit charge and volumetric Take-or-Pay Surcharge which are

set forth in Sections 21 and 22, respectively, of Southern's FERC Gas

Tariff, Sixth Revised Volume Number 1.