National Fuel Gas Supply Corporation

Third Revised Volume No. 1

Effective Date: 04/01/1997, Docket: RP97-201-000, Status: Effective

First Revised Sheet No. 41 First Revised Sheet No. 41 : Superseded

Superseding: 3rd Sub. Original Sheet No. 41

RATE SCHEDULE EFT

Enhanced Firm Transportation Service

8. ADJUSTMENTS OF RESERVATION CHARGES (Cont'd)

8.3 If Transporter rejects Shipper's nomination, requires a revised

nomination, issues an operational flow order or takes other action

required under the circumstances set forth in subsections (a), (b)

and (c) of Section 2.10 of this EFT Rate Schedule, and as a result

of such action Transporter does not tender for delivery at one or

more primary delivery points a quantity of gas equal to or greater

than 95% of the lesser of (i) the quantity which Transporter is

obligated by the EFT Service Agreement to deliver to or for the

account of Shipper at such primary delivery point(s) or (ii)

Shipper's Contract Maximum Transportation Quantity ("Deficiency

Quantities"), the reservation charges applicable to Shipper under

this EFT Rate Schedule shall be proportionately reduced, as set

forth in Section 8.5, except as set forth in Section 8.4. This

Section 8.3 shall not authorize a reduction in reservation charges

where Transporter rejects a nomination from Shipper for an

arrangement of receipts and deliveries among receipt and delivery

points that would conflict with the Operating Protocol for EFT

Service set forth at Section 6 hereof.

8.4 With regard to the circumstances described in Sections 8.1, 8.2 and

8.3, reservation charges shall not be reduced with respect to any

Deficiency Quantities that Transporter is able to deliver to or for

the account of Shipper at other primary or secondary points, that

will permit such quantities to reach Shipper's intended market or

downstream transporter.

8.5 Where reservation charge reductions are authorized as described

above, Shipper's reservation charges shall be reduced by an amount

equal to the daily equivalent of the reservation charge, multiplied

by the quotient obtained by dividing any Deficiency Quantities by

Shipper's Contract Maximum Daily Quantity.