High Island Offshore System, L.L.C.

Third Revised Volume No. 1

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Effective Date: 04/01/2000, Docket: RP99-227-004, Status: Effective

Original Sheet No. 40 Original Sheet No. 40 : Effective



(For Use Under Transporter's Rate Schedule FT-2)



8.1 Regulations. This Agreement, and all terms and provisions

contained herein, and the respective obligations of the parties

hereunder are subject to valid laws, orders, rules, and

regulations of duly constituted authorities having jurisdiction.




9.1 Assignments. Any company which shall succeed by purchase,

merger, or consolidation to the properties, substantially as an

entirety, of Shipper, or of Transporter, as the case may be,

shall be entitled to the rights and shall be subject to the

obligations of its predecessor in title under this Agreement; and

either of the parties may assign or pledge this Agreement under

the provisions of any mortgage, deed of trust, indenture, or

similar instrument which it has executed or may execute hereafter

covering substantially all of its properties; otherwise neither

of the parties shall assign this Agreement or any of its rights

hereunder unless it first shall have obtained the consent thereto

in writing of the other party, provided further, however, that

neither of the parties shall be released from its obligations

hereunder without the consent of the other.




10.1 Limitation on Liability of Member. The parties hereto

agree that any claim against the Transporter which may arise

hereunder shall be made only against the Transporter and all

rights to proceed against the Members therein, individually,

or against their assets as a result of such claim or any

obligation arising therefrom, is hereby waived.


10.2 Indemnification of Operator. Except where Operator's own negligence

or wilful misconduct is the cause, Shipper shall indemnify and save

harmless any Operator of the System, designated by Transporter to

operate the System for Transporter as an independent contractor, and

such Operator's officers,