Transwestern Pipeline Company

Second Revised Volume No. 1

Effective Date: 04/11/1997, Docket: RP97-288-000, Status: Effective

Seventh Revised Sheet No. 22 Seventh Revised Sheet No. 22 : Effective

Superseding: Sixth Revised Sheet No. 22

FTS-2 RATE SCHEDULE

Firm Transportation, No Notice Service

(continued)

3. RATE

The applicable rates for computing charges under this rate schedule are

set forth in the currently effective Rate Sheets of this Tariff and are

incorporated herein. However, Transporter and Shipper may mutually agree

to rates for services that may be below the minimum rates or above the

maximum rates set forth on the currently effective Rate Sheets for rate

Schedule FTS-2. For service hereunder, Shipper shall pay Transporter

each month the Transport Charge and the Overrun Charge, if applicable.

The Transport Charge shall be calculated as: a) the Transport Charge set

forth on the currently effective Rate Sheets of this Tariff, multiplied

by b) the quantity of gas actually delivered during the month. In

addition, the Transport Charge shall include the Maximum Field Area

Services Charge, if applicable, and all applicable surcharges, if any, as

set forth on the currently effective Rate Sheets of this Tariff.

Further, Shipper shall deliver, at the point of receipt under the FTS-2

Service Agreement, Transport Fuel, as set forth in the currently

effective Rate Sheets of this Tariff. On any day that gas taken by

Shipper at the delivery point exceeds the MAXDTQ, then the Overrun Charge

applicable to such excess quantities shall be two times the applicable

Transport Charge.

4. CHANGES IN RATES

Transporter shall have the unilateral right to file with the appropriate

regulatory authority and make changes effective in (a) the rates and

charges applicable to this Rate Schedule, (b) this Rate Schedule,

pursuant to which service hereunder is rendered; provided, however, that

the firm character of service shall not be subject to change hereunder,

and/or (c) any provisions of the General Terms and Conditions applicable

to this Rate Schedule. Such changes may include, but shall not be

limited to, changes in the Transport Fuel percentages set forth on the

currently effective Rate Sheets. Such Transport Fuel percentages may be

changed from time to time by Transporter to reflect changes in fuel

requirements. Such changes may be implemented through a tariff filing.

Transporter agrees that Shipper may protest or contest the aforementioned

filings, or may seek authorization from duly constituted regulatory

authorities for such adjustment of Transporter's existing FERC Gas Tariff

as may be found necessary to assure that the provisions in (a), (b) or