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

First Revised Sheet No. 160
Superseding
Original Sheet No. 160

                   GENERAL TERMS AND CONDITIONS OF SERVICE
                                 (Continued)

18. OPERATIONAL FLOW ORDERS ("OFO")  (Continued)

    18.3  (Continued)

           NBP will post information about the status of operational 
           variables that will determine when an OFO will begin and end.  NBP 
           will post a notice on its website informing Shipper(s) when any 
           OFO in effect will be canceled.  Following the issuance of an OFO, 
           NBP will post information on the factors that caused the OFO to be 
           issued and then lifted as soon as it is available.

    18.4  Except in cases where the curtailment of interruptible services 
          would not alleviate the causes or conditions necessitating the 
          issuance of an OFO, NBP will, where practicable, curtail 
          interruptible services prior to issuing an OFO.  NBP shall not be 
          required to curtail interruptible services to individual Shippers 
          when curtailment of service to those Shippers would not affect the 
          OFO.

    18.5  Upon the issuance of an OFO by NBP, it shall be incumbent upon 
          Shipper to adjust Gas supplies as directed within the time frame 
          specified in the OFO.  Failure to comply in a timely fashion with 
          an OFO may result in an immediate interruption of all or a portion 
          of Shipper's service and cause Shipper to incur a penalty of $25 
          per Dth plus the Spot Index Price (equal to the SoCal Gas large 
          packages price as reported in Gas Daily's Daily Price Survey) per 
          Dth for all quantities in excess of that allowed under the OFO.  
          The payment of unauthorized overrun penalties does not create the 
          right to exceed the levels established by an OFO.


                                                                  (Continued)

Issued by: John A Roscher, Director of Rates & Reguatory Affairs
Issued on: September 9, 2002                  Effective on: August 12, 2002
Filed to comply with order of the Federal Energy Regulatory Commission, Docket 
No. RP02-363-000, issued August 9, 2002
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