TF01014380093002PAIUTE PIPELINE COMPANY
TF02 1-A  2Second Revised Volume No. 1-A
TF03     61A0040005P126Fourth Revised Sheet No. 61A
TF04                Third Revised Sheet No. 61A
TF05Edward C. McMurtrie, Vice President/General Manager
TF06093002050102RM96-1-020          100102
TF079961146
                         GENERAL TERMS AND CONDITIONS
                                  (Continued)


4.  OPERATING PROCEDURES (Continued)

    4.2  Scheduling of Gas Receipts and Deliveries: (Continued)
    
         should be replaced to be changed. When a Nomination for a date
         range is received, each day within that range is considered an
         original Nomination. When a subsequent Nomination is received
         for one or more days within that range, the previous Nomination
         is superseded by the subsequent Nomination only to the extent
         of the days specified. The days of the previous Nomination
         outside the range of the subsequent Nomination are unaffected.
         Nominations have a prospective effect only. Overrun quantities
         must be requested on a separate transaction. Ranking should be
         included in the list of data elements. Transportation Service
         Providers should use service requester provided rankings when
         making reductions during the scheduling process when this does
         not conflict with tariff-based rules. Paiute will use Shipper-
         provided rankings when making reductions during the scheduling
         process when this does not conflict with tariff based rules.
         When used, Package ID should be: a) supported for nominating
         and scheduling; b) mutually agreed between the applicable
         parties for allocations and imbalance reporting; c) supported
         for invoicing (sales and purchase); and d) mutually agreed for
         transport invoicing. Use of the Package ID is at the discretion
         of the service requester and if sent, should be accepted and
         processed by the service provider.

         The following standard Nominations timeline shall apply for
         scheduling of receipts and deliveries on the Nomination Day,
         with gas flow commencing on the following Gas Day at 9:00
         a.m. (7:00 a.m. Pacific Clock Time). All Transportation Service
         Providers should support the following standard nomination
         cycles:

         (i)   The Timely Nomination Cycle: 11.30 a.m. (9:30 a.m.
               Pacific Clock Time) for Nominations leaving control of
               the nominating party; 11:45 a.m. (9:45 a.m. Pacific Clock
               Time) for receipt of Nominations by the transporter
               (including from Title Transfer Tracking Service Providers
               [TTTSPs]); noon (10:00 a.m. Pacific Clock Time) to send
               Quick Response; 3:30 p.m. (1:30 p.m. Pacific Clock Time)
               for receipt of completed confirmations by transporter
               from upstream and downstream connected parties; and 4:30
               p.m. (2:30 p.m. Pacific Clock Time) for receipt of
               scheduled quantities by shipper and point operator
               (Central Clock Time on the day prior to flow).