Norteño Pipeline Company

First Revised Volume No. 1

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Effective Date: 04/01/1996, Docket: CP96- 81-007, Status: Effective

Original Sheet No. 111 Original Sheet No. 111 : Superseded

RATE SCHEDULE FT-S

FIRM TRANSPORTATION SERVICE - SOUTHERN DIVISION

(Continued)

2. APPLICABILITY AND CHARACTER OF SERVICE:

2.1 This Rate Schedule shall apply to the firm

transportation of natural gas by Norte¤o pursuant

to an FT-S Service Agreement executed by Norte¤o

and Shipper providing for transportation service

up to a Maximum Annual Transportation Quantity

("MATQ") and a Maximum Daily Transportation

Quantity ("MDTQ"), and subject to the terms of

this Rate Schedule, the FT-S Service Agreement and

the General Terms and Conditions of Norte¤o's FERC

Gas Tariff. Except for the adjustments to the

General Terms and Conditions under Article IX of

the Service Agreement, if there is any

inconsistency between this Rate Schedule, the

Service Agreement, and the General Terms and

Conditions, the General Terms and Conditions shall

prevail.

2.2 Service hereunder is provided pursuant to Part 284

of the Commission's Regulations.

2.3 Service hereunder shall consist of:

(a) delivery by Shipper and receipt by Norte¤o of

natural gas for Shipper's account at the

Receipt Point(s) set forth in the FT-S

Service Agreement;

(b) the transportation of said gas by Norte¤o;

and

(c) the redelivery by Norte¤o to Shipper or for

Shipper's account of quantities of natural

gas at the Delivery Point(s) set forth in the

FT-S Service Agreement.