Midcoast Interstate Transmission, Inc.

Second Revised Volume No. 1

Effective Date: 10/01/1997, Docket: GT97- 71-000, Status: Effective

First Revised Sheet No. 36 First Revised Sheet No. 36 : Effective

Superseding: ORIGINAL SHEET NO. 36

RATE SCHEDULE FT-SG (continued)

enter Transporter's facilities at the Receipt Point(s).

Transporter shall deliver gas to Shipper or Shipper's

designee at Transporter's line pressure existing at the

Delivery Point(s).

4.6 Uniform Quantities: Shipper shall deliver and receive gas

in uniform daily quantities during any month and in uniform

hourly quantities during any day with no significant

fluctuation, provided, however that Transporter will

permit greater hourly deliveries whenever the making of

such greater hourly deliveries will not in Transporter's

sole judgement, deprive any other firm shipper of gas to

which it is entitled, or impair in any way Transporter's

pipeline operations, or cause Transporter to incur

penalties.

5. RATES AND CHARGES

5.1 Applicable Rates: The applicable rate for service under

the FT-SG Rate Schedule as shown on the effective Tariff

Sheet No. 4.

5.2 New Facilities Charge: In addition to the charges pursuant

to Section 5.1 of this Rate Schedule, Transporter shall or

may, at its option, subject to Shipper's prior agreement,

charge Shipper an amount to recoup the cost of facilities

constructed at the Shipper's request in order to provide

transportation service under this Rate Schedule.

Transporter shall not use the amounts so collected in

establishing its general system rates. The applicable New

Facilities Charge shall be stated in the FT-SG Contract.

Transporter will construct only those facilities to render

transportation services hereunder which interconnect with

facilities that either cross or are immediately adjacent

to Transporter's existing facilities; provided, however,

Transporter shall not construct facilities hereunder which

will result in the expansion or diminishment of

Transporter's pipeline system. Transporter will own and

operate all facilities constructed hereunder.

5.3 Incidental Charges: In addition to the charges pursuant to

Section 5.1 and 5.2 of this Rate Schedule, Transporter