Canyon Creek Compression Company

Third Revised Volume No. 1

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Effective Date: 05/01/1997, Docket: RP97- 66-005, Status: Effective

Original Sheet No. 132A Original Sheet No. 132A : Effective

GENERAL TERMS AND CONDITIONS

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13.6 DISCOUNTING POLICY FOR RATES AND CHARGES

Canyon reserves the right to provide, by contract with

any Shipper, for adjustment at any time of the rates for service to

a level below the maximum rates applicable to such service, as

stated in this Tariff, but no less than the minimum rates as

applicable to such service, as stated in this Tariff. To the extent

Canyon agrees to a discount of any reservation rates and reservation

transition-cost surcharges for firm transportation and compression

service, the discount will be apportioned first to the base

reservation rate, and second, if the discount is greater than such

base reservation rate, to any applicable reservation transition-cost

surcharge. To the extent Canyon agrees to discount any commodity

rates and commodity transition-cost surcharges for firm

transportation and compression service, the discount will be

apportioned first to the base commodity rate, and second, if the

discount is greater than such base commodity rate, to the commodity

transition-cost surcharge. To the extent Canyon agrees to a discount

of any commodity rates and commodity transition-cost surcharges for

interruptible transportation and compression service, the discount

will be apportioned first to the base commodity rate, and second, if

the discount is greater than such base commodity rate, to any

applicable commodity transition-cost surcharge. Nothing herein will

require Canyon to agree to any discount.