RATE SCHEDULE IS
                            INTERRUPTIBLE STORAGE
   
      1.    AVAILABILITY
   
            This Rate Schedule is available to any person, corporation,
            partnership or any other party (hereinafter referred to as
            "Customer") for the purchase of natural gas Storage Service
            from Blue Lake Gas Storage Company (hereinafter referred to as
            "Seller"), when Customer and Seller have executed a Service
            Agreement under this Rate Schedule.
   
      2.    APPLICABILITY AND CHARACTER OF SERVICE
   
            This Rate Schedule shall apply to all Storage Service which is
            rendered by Seller for Customer pursuant to an executed
            Agreement under this Rate Schedule.
   
            Storage Service rendered by Seller under this Rate Schedule
            shall consist of:
   
            (a)   The receipt of Gas on behalf of Customer at the Point of
                  Injection/Withdrawal up to the Maximum Storage Quantity
                  plus Sellers Injection Use at daily quantities up to the
                  Maximum Daily Injection Quantity plus Sellers Injection
                  Use;
   
            (b)   The Storage of Gas in quantities not to exceed the
                  Maximum Storage Quantity; and
   
            (c)   The Tender of Gas to or for the account of Customer at
                  the Point of Injection/Withdrawal at a quantity not to
                  exceed Customers Working Storage Gas reduced by Sellers
                  Withdrawal Use at daily quantities up to the Maximum
                  Daily Withdrawal Quantity reduced by Sellers Withdrawal
                  Use.
   
            Storage Service rendered under this Rate Schedule shall be
            interruptible, and shall be available only when capacity is not
            being used for injection, Storage and withdrawal of higher
            priority services. Such interruptible service shall be offered
            in accordance with the provisions established in the General
            Terms and Conditions of this Tariff.
   
            Seller may, if Storage capacity is required by Customers having
            a higher priority, require Customer to withdraw quantities held
            in Storage by Seller for or on behalf of Customer under Rate
            Schedule IS within forty-five (45) Days of the date notice is
            provided to Customer by Seller.