Norteño Pipeline Company

First Revised Volume No. 1

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

Original Sheet No. 269 Original Sheet No. 269 : Superseded

GENERAL TERMS AND CONDITIONS

(continued)

23. SERVICE AGREEMENT:

23.1 Form of Agreement - Buyer or Shipper shall enter

into a contract with Norte¤o for service in the

form contained in this tariff.

23.2 Term of Agreement - The period of time to be

covered by the executed Service Agreement shall be

determined by agreement between the parties but

shall not be longer than twenty years; provided,

however, that where the Service Agreement

supersedes or cancels an existing contract, the

term of the Service Agreement shall not be less

than the unexpired portion of the term contained

in the contract to be superseded or cancelled,

unless Buyer or Shipper and Norte¤o mutually agree

otherwise.

24. NOTICES:

Any communication, notice, request, demand statement,

or bill provided for in the Tariff or in a Service

Agreement or any notice which either Seller or Buyer

may desire to give to the other, shall be in writing

and shall be considered as duly presented, rendered, or

delivered when mailed by either postage-paid registered

or ordinary mail or when sent by telegram, cable,

telecopy (facsimile or Fax), telex, express mail

service, or such other method mutually agreed upon

between the parties. The material so sent shall be

addressed to the pertinent party at its last known

address, or at such other address as either party may

designate in the Service Agreement.

25. INDEMNIFICATION:

Each party shall bear responsibility for all its own

breaches, tortious acts, or tortious omissions

connected in any way with the Service Agreement causing

damages or injuries to the other party or to any third

party, unless otherwise expressly agreed in writing

between the parties. Therefore, the offending party as

a result of such offense shall hold harmless and

indemnify the non-offending party against any claim,