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TF03      31  2004P126Second Revised Sheet No. 31
TF04      31       First Revised Sheet No. 31
TF05Edward C. McMurtrie, Vice President/General Manager
TF06012705                      080105
                            RATE SCHEDULE LGS-1
                FIRM LIQUEFIED NATURAL GAS STORAGE SERVICE
                                (Continued)


2.  APPLICABILITY AND CHARACTER OF SERVICE (Continued)

          (d) The gasification of such stored liquid on demand by Shipper
              pursuant to Section 4.7(d) of the General Terms and
              Conditions of this tariff in quantities not to exceed
              Shipper's Daily Delivery Capacity; and

          (e) The delivery of equivalent quantities of natural gas, less
              Gas Used by Paiute pursuant to Section 5 hereof, gasified
              from Shipper's LNG inventory pursuant to Section 4.7(d) of
              the General Terms and Conditions of this tariff for the
              account of Shipper into Paiute's pipeline system at the point
              of interconnection between Paiute(s LNG Plant and its main
              transmission line.

    2.2   The service rendered under this rate schedule shall be firm and
          shall not be subject to curtailment, except due to operating con-
          ditions or conditions of force majeure on Paiute's system as set
          forth in Section 4.6 and Section 6.1 of the General Terms and
          Conditions of this tariff. In the event of such curtailment,
          Paiute shall provide service as follows:

          (a) Paiute shall provide Shipper with as much advance notice as
              is practical of any curtailment of service;

          (b) Shipper's service under this rate schedule shall be curtailed
              on a pro rata basis in proportion to the ratio of its nomina-
              tion for the day of such curtailment for service under this
              rate schedule up to its Daily Delivery Capacity hereunder to
              the total of all nominations for such day for service under
              this rate schedule subject to Section 4.7(d)(3) of the
              General Terms and Conditions of this tariff; and

          (c) While Paiute shall not be responsible for any curtailment
              that is due to Shipper's failure to adequately maintain its
              LNG inventory or to schedule the use of such inventory,
              Paiute, in the event of such situations, will permit Shipper
              to arrange for the transfer of inventory balance among the
              other Shippers, in accordance with Section 4.7(c)(4) of the
              General Terms and Conditions of this tariff.

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