High Island Offshore System, L.L.C.

Third Revised Volume No. 1

Effective Date: 04/07/1999, Docket: GT99- 17-002, Status: Effective

Substitute Original Sheet No. 60 Substitute Original Sheet No. 60 : Effective

Superseding: Original Sheet No. 60

FORM OF TRANSPORTATION AGREEMENT

(For Use Under Transporter's Rate Schedule IT)

(Continued)

7.1 Waivers. No waiver by either Shipper or Transporter of any one

or more defaults in the performance of any provision hereunder

shall operate or be construed as a waiver of any future default

or defaults, whether of a like or a different character.

ARTICLE VIII

8.1 Regulations. This Agreement, and all terms and provisions

contained herein, and the respective obligations of the

parties hereunder are subject to valid laws, orders, rules,

and regulations of duly constituted authorities having

jurisdiction.

ARTICLE IX

9.1 Assignments. Any company which shall succeed by purchase, merger,

or consolidation to the properties, substantially as an entirety,

of Shipper, or of Transporter, as the case may be, shall be

entitled to the rights and shall be subject to the obligations of

its predecessor in title under this Agreement; and either of the

parties may assign or pledge this Agreement under the provisions

of any mortgage, deed of trust, indenture, or similar instrument

which it has executed or may execute hereafter covering

substantially all of its properties; otherwise neither of the

parties shall assign this Agreement or any of its rights hereunder

unless it first shall have obtained the consent thereto in writing

of the other party, provided further, however, that neither of the

parties shall be released from its obligations hereunder

without the consent of the other.

ARTICLE X

10.1 Limitation on Liability of Member. The parties hereto hereby

agree that any claim against the Transporter which may arise

hereunder shall be made only against the Transporter and all

rights to proceed against the Members