Stingray Pipeline Company

Third Revised Volume No. 1

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Effective Date: 08/01/2002, Docket: RP03-532-000, Status: Effective

First Revised Sheet No. 40 First Revised Sheet No. 40 : Effective

Superseding: Original Sheet No. 40

RATE SCHEDULE FTS

FIRM TRANSPORTATION SERVICE

1. AVAILABILITY

This Rate Schedule FTS is available to any entity

(hereinafter called Shipper) which: (a) submits to

Stingray Pipeline Company, L.L.C. (hereinafter

called Stingray) a valid request as defined in

Section 3 hereof which Stingray has firm capacity

available on all affected portions of its System and

the firm operational capability to satisfy; and (b)

executes a Firm Transportation Service Agreement FTS

Agreement) with Stingray applicable to service under

this Rate Schedule FTS. The form of FTS Agreement

is contained in this Tariff. There is no limitation

on the number of FTS Agreements any one Shipper may

have.

2. APPLICABILITY AND CHARACTER OF SERVICE

2.1 The transportation service provided under this

Rate Schedule FTS shall be performed under Part

284 of the Commission's Regulations. This Rate

Schedule FTS shall apply to all gas transported

by Stingray for Shipper pursuant to an FTS

Agreement.

2.2 Service hereunder shall be provided on a firm

basis. However, service may be interrupted for

any of the reasons set out in this Tariff.

Stingray shall have the right to waive any one

or more specific defaults by any Shipper if

such default will not affect the integrity of

Stingray's System or the quality of service and

on a basis which is not unduly discriminatory,

provided that such waiver is not inconsistent

with any applicable Commission Regulations or

orders, and provided also that any waiver given

to a Shipper by Stingray shall be made

available to all Shippers during the time

period when it is in effect. No such waiver

shall operate or be construed as a waiver of

any other existing or future default or

defaults, whether of a like or different

character.

2.3 Service hereunder shall consist of the

acceptance by Stingray of natural gas tendered

by Shipper for transportation at Receipt Points

specified in the FTS Agreement, the

transportation of that natural gas through

Stingray's pipeline System, and the delivery of

that natural gas by Stingray to Shipper or for

Shipper's account at the Delivery Points

specified in the FTS Agreement. Stingray shall

not be required to accept any gas tendered in

excess of the Maximum Daily Quantity (MDQ)

specified in the FTS Agreement