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

Original Sheet No. 139

                   GENERAL TERMS AND CONDITIONS OF SERVICE
                                 (Continued)

13. PRIORITY OF SERVICE (Continued)

    13.2   Firm Scheduling Priorities Through Receipt Point Constraints
           (Continued) 

           Last, NBP shall then schedule service to those Shippers for whom 
           the constrained receipt point is a Secondary Receipt Point outside 
           that Shipper's Primary Path.  In the event full service cannot be 
           provided, service will be scheduled on a pro rata basis based on 
           each Shipper's MDQ.

    13.3   Firm Scheduling Priorities Through Delivery Points

           NBP shall first schedule service to those Shippers for whom the 
           constrained Delivery Point is a Primary Delivery Point, up to each 
           Shipper's MDQ at that point.  In the event full service cannot be 
           provided to Shippers holding Primary Delivery Point rights, 
           service will be scheduled on a pro rata basis based on each 
           Shipper's MDQ at that point.

           NBP shall then schedule service to those Shippers for whom the 
           constrained Delivery point is a Secondary Delivery Point within 
           that Shipper's Primary Path.  In the event full service cannot be 
           provided, service will be scheduled on a pro rata basis based on 
           each Shipper's MDQ. 

           Last, NBP shall then schedule service to those Shippers for whom 
           the constrained Delivery point is a Secondary Delivery Point 
           outside that Shipper's Primary Path.  In the event full service 
           cannot be provided, service will be scheduled on a pro rata basis 
           based on each Shipper's MDQ.  

    13.4  Scheduling Priority For Capacity Release

          The Scheduling Priorities set out in Paragraph 13.1 above also 
          apply for capacity released under NBP's Capacity Release Program, 
          and are subject to the terms and conditions as specified in an 
          executed firm service agreement between NBP and Shipper.  All 
          service under the capacity release program shall be considered 
          firm for purposes of priority of service.


                                                                  (Continued)

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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