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North Baja Pipeline, LLC
FERC Gas Tariff
Original Volume No. 1

Original Sheet No. 122

                   GENERAL TERMS AND CONDITIONS OF SERVICE
                                 (Continued)

9.  OPEN SEASON PROCEDURES (Continued)

     9.2   Open Seasons for New Capacity 

          In the event NBP receives requests for firm transportation service 
          in excess of Available Firm Capacity, or market circumstances 
          otherwise indicate that additional capacity may be desired, NBP 
          may hold an open season to assess the viability of constructing 
          facilities necessary to meet additional market demand.

          An Open Season for New Capacity will comply with the requirements 
          of Paragraph 9.1 above, with the following modifications.

          (a)   NBP will publish its intent to hold an open season for new 
                capacity in relevant papers and trade press and on its 
                Internet website.

          (b)   Open Seasons for new capacity will have a minimum term of 
                five (5) business days.

          (c)   After receiving bids from prospective Shippers in an Open 
                Season, NBP will provide a rationalization period to allow 
                existing holders of firm capacity an opportunity to meet 
                market demand demonstrated in the Open Season.

          (d)   NBP will select bids on a nondiscriminatory basis, provided, 
                however, NBP reserves the right to select bids in a manner 
                designed to produce an economic expansion.

    9.3   Open Seasons Under Right of First Refusal

           Under NBP's Right of First Refusal procedures, open season bids 
           will be evaluated consistent with the procedures set forth in 
           Paragraph 9.1 above.  Right of First Refusal procedures are set 
           forth in Paragraph 10 of these General Terms and Conditions of 
           Service.

Issued by: John A Roscher, Director of Rates & Regulatory Affairs
Issued on: June 6, 2002                       Effective on: August 12, 2002
Filed to comply with order of the Federal Energy Regulatory Commission, Docket 
No. CP01-22-000, et al., issued May 18, 2001, 95 FERC ¶ 61,259
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