High Island Offshore System, L.L.C.

Third Revised Volume No. 1

Effective Date: 03/01/2007, Docket: RP06-540-002, Status: Effective

Substitute First Revised Sheet No. 17 Substitute First Revised Sheet No. 17 : Effective

Superseding: Original Sheet No. 17

RATE SCHEDULE FT-1

FIRM TRANSPORTATION SERVICE

(Continued)

4.6 Transportation of Associated Liquids. If Associated Liquids are

transported hereunder for Shipper and HIOS is required by any regulatory

agency, from time to time, to allocate a portion of its cost of service

to such transportation service or to charge, or impute, a fee for such

service, then Shipper shall reimburse HIOS for such allocated costs and

such fee.

4.7 Commission and Other Regulatory Fees. Shipper shall reimburse HIOS for

all filing, reporting and application fees required by the Commission or

any other regulatory body which are related to service provided under

this Rate Schedule.

4.8 Rate Changes. Subject to any rights or limitations imposed by additional

Transportation Agreement provisions agreed to by Shipper and Transporter,

Transporter may from time to time and at any time selectively adjust any

or all of the rates charged to any individual Shipper for which a Maximum

Rate and Minimum Rate are stated on Sheet No. 10 of this Tariff;

provided, however, that such adjusted rate(s) shall not exceed the

applicable Maximum Rate(s), nor shall they be less than the Minimum

Rate(s), set forth on such sheets. Transporter shall have the right to

charge the Maximum Rate at any time as a condition for new service or for

continuation of service under an existing agreement. Transporter shall

make all information filings required by the Commission's regulations

with respect to any charges at less than the Maximum Rate. Whenever

Transporter adjusts the rate to be charged to a Shipper pursuant to this

Section 4.8, notice thereof shall be given to Shipper not less than

seventy-two (72) hours prior to the effective date of such adjustment.