Southern Natural Gas Company

Original Volume No. 2

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

First Sub. First Rev. Sheet No. 634 First Sub. First Rev. Sheet No. 634 : Effective

Superseding: Original Sheet No. 634

RATE SCHEDULE X-61 (Continued)

such loss therefrom; and, (iii) fuel, shrinkage, and other uses or losses of

gas resulting from the processing of gas transported for Michigan Wisconsin

hereunder. The aforementioned deductible percentage to be so deducted and

utilized by Southern in item (i) shall be one percent (1.0%) of the MMBTU

delivery quantity, unless and until changed by written notice from Southern due

to changes in the operation of Southern's pipeline facilities through which

Michigan Wisconsin's gas will be transported hereunder. 1/

3. The MMBTU delivery quantity and the MMBTU redelivery quantity shall be

delivered at uniform hourly and daily rates of flow as nearly as practicable.

Prior to the commencement of deliveries hereunder and thereafter prior to each

change in delivery rate, Michigan Wisconsin shall notify, or cause to be

notified, Southern's dispatcher of the MMBTU delivery quantity scheduled for

delivery hereunder. Southern's dispatcher shall likewise give prior notice to

Michigan Wisconsin's dispatcher of the anticipated MMBTU redelivery quantity

hereunder.

4. Any imbalance in accumulated delivery accounts hereunder shall be

remedied with immediate dispatch by necessary and prompt adjustments in the

MMBTU redelivery quantity of gas delivered or to be delivered to Michigan

Wisconsin at the Point of Redelivery hereunder.

5. Notwithstanding any provision herein to the contrary, it is

specifically agreed that if at any time and from time to time during the term

hereof, Southern is unable, for any reason, to receive for transportation

hereunder, all or any portion of the MMBTU delivery quantity of gas which

Michigan Wisconsin tenders or causes to be tendered in accordance with the

provisions hereof, Michigan Wisconsin shall have the right, during such periods

of Southern's said inability, to deliver such gas which Southern is so unable

to receive, to others for transportation and/or disposition other than

hereunder.

IV. CONTROL AND LIABILITY

1. As between the parties hereto, Michigan Wisconsin shall be deemed to

be in exclusive control and possession of the gas and responsible for any

damage or injury caused thereby until the same shall have been delivered to

Southern at the Point of Delivery, after which delivery Southern shall be

deemed to be in exclusive control and possession thereof and responsible for

any damage or injury caused thereby until such gas is redelivered to Michigan

Wisconsin at the Point of Redelivery. After redelivery of the gas at the Point

of Redelivery, Michigan Wisconsin as between the parties hereto, shall be in

exclusive control and possession thereof and responsible for any damage or

injury caused thereby.

V. PRESSURE

1. The gas to be delivered by or for the account of Michigan Wisconsin to

Southern hereunder shall be delivered into Southern's pipeline facilities at

the Point of Delivery against the pressure existing therein from time to time;

provided, however, that Michigan Wisconsin shall not be required to install,

maintain and operate

1/ Revised fuel used and unaccounted for charge: 1.5%.