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First Revised Sheet No. 131R.03 First Revised Sheet No. 131R.03 : Superseded

Superseding: Sub. Original Sheet No. 131R.03

IR-2 RATE SCHEDULE

Hub Service - Imbalance Resolution Schedule

2. APPLICABILITY AND CHARACTER OF SERVICE (Cont'd)

2.7 Shipper shall be required to arrange the transportation of the gas

to be advanced by Transporter hereunder. Service provided

hereunder shall not commence unless and until Shipper has demon-

strated to Transporter that Shipper has arranged the transportation

of the gas to be advanced hereunder.

3. RATE

3.1 The maximum and minimum rates per dth delivered to Shipper for this

Imbalance Resolution Service are set forth on the currently

effective Sheet No. 5A of this tariff. These rates shall be

applicable to service hereunder, unless Transporter and Shipper

have agreed upon a negotiated rate pursuant to Section 17.2 of the

General Terms and Conditions of this Tariff. These rates include

a First Day charge for the quantities of gas for the day of advance

and a charge for each subsequent day until the return of the gas on

a first-out first-in basis. The current Posted Rate (ranging

between the maximum and minimum rates) will be posted on Trans-

porter's Electronic Bulletin Board, which is subject to periodic

changes. Shipper shall pay the current Posted Rate on the date the

Shipper's Hub Nomination Form is received, as verified by telephone

approval, and Shipper's IR-2 service agreement will be deemed to be

so amended.

3.2 If during the term of a IR-2 Service Agreement, Transporter posts

a lower Posted Rate on the Electronic Bulletin Board, Shipper's IR-

2 service agreement will be deemed amended to reduce the rate to

the current Posted Rate for the remaining term of the Nomination;

provided however, if the current Posted Rate is subsequently in-

creased during the term of that Nomination, the IR-2 service agree-

ment will be deemed amended for the remaining term of the nomina-

tion to reflect the increased rate but no more than the then-

current Posted Rate at the commencement of such Nomination.