High Island Offshore System, L.L.C.

Third Revised Volume No. 1

Effective Date: 11/27/2005, Docket: RP06- 53-000, Status: Effective

First Revised Sheet No. 37 First Revised Sheet No. 37 : Effective

Superseding: Original Sheet No. 37

FORM OF TRANSPORTATION AGREEMENT

(For Use Under Transporter's Rate Schedule FT-2)

THIS, AGREEMENT, made and entered into as of between HIGH ISLAND OFFSHORE

SYSTEM, L.L.C. (Transporter), a limited liability company under the laws of the State

of Delaware, and, __________________________________, (Shipper), a ________________

Corporation,

WITNESSETH:

WHEREAS, Shipper desires to have gas transported on a firm basis in the High

Island Offshore System, L.L.C. from offshore Texas and Louisiana on its behalf; and

WHEREAS, Shipper has executed a Reserve Commitment Agreement with Transporter to

dedicate gas produced from Committed Leases to Transporter's pipeline system; and

WHEREAS, Transporter has sufficient capacity available to provide firm

transportation of gas on behalf of Shipper.

NOW, THEREFORE, in consideration of the premises and the mutual covenants herein

contained, the parties do covenant and agree as follows:

ARTICLE I

1.1 Obligation to Transportation. Commencing with the date of Initial deliveries

hereunder, Transporter shall receive at the Points of Receipt hereunder for

the account of Shipper all Gas, together with Associated Liquids, which

Shipper may cause to be delivered to it up to Shipper's Maximum Daily Quantity

(MDQ), as set forth in Exhibits A and B hereof, and shall be obligated to

deliver for the account of Shipper on a firm basis at the Point(s) of Delivery

hereunder Equivalent Volumes in the manner and subject to the conditions

hereinafter set forth.

1.2 Term. This Agreement shall become effective on _____________, ___ and remain

in full force and effect until the earlier of (i) the effective date of the

surrender pursuant to the notice given by, or on behalf of Shipper, to the

federal governmental body having authority, of the surrender of the last of the

Committed Lease(s) listed in the Reserve Commitment Agreement, or (ii) until

the Committed Lease(s) are released from dedication pursuant to the provisions

of the Reserve Commitment Agreement.