North Baja Pipeline, LLC

Original Volume No. 1

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Effective Date: 07/27/2005, Docket: RP05-518-000, Status: Effective

Original Sheet No. 8B Original Sheet No. 8B : Effective






Explanatory Footnotes for Negotiated Rates

Under Rate Schedule FTS-1


6/ (Continued)


The Western Zone is defined as 115 degrees, 41 minutes, 21 seconds

west longitude, west to the interconnection with Transportadora de

Gas Natural de Baja California;


The Mexicali Zone is defined as 115 degrees, 41 minutes, 21 seconds,

east to 115 degrees, 11 minutes, 50 seconds west longitude;


A Third Party Shipper is defined as a shipper that is either the

owner, operator, or fuel supplier to electric generation facilities,

or affiliates of NBP or GB.


(2) The New Rate shall only apply for the duration of the term of

service provided to the Third Party Shipper, but in no event shall

apply beyond the term of this rate protection provision.

(3) This provision terminates December 31, 2017. If the capacity held

by Shipper is permanently assigned or released to a similarly-

situated replacement shipper, the rate protection provision shall be

extended to such replacement shipper.



7/ The transportation rate under this Agreement is a negotiated rate

consisting of a monthly reservation fee equal to $0.1147 times 30.4 days

for each month, times the then current Maximum Daily Quantity, plus a

volumetric rate of $0.0036 per Dth plus fuel, line loss and unaccounted

for gas as set forth in the Tariff and any and all applicable surcharges.

This rate shall be fixed for the term of this Agreement.


The Maximum Daily Quantities will vary over the term of this Agreement as


MDQ Dth/d

01/01/03 - 02/28/03 30,000

03/01/03 - 03/31/03 45,000

04/01/03 - 04/30/03 85,000

05/01/03 - 12/31/23 105,000