Contract Request Approval For Request: 41598 Route: 2

COMMENTS

Route: 1
- (Approved) NEW POWER PLANT CONTRACT. 20,000 WINTER, 24,000 SUMMER LOAD
AT $.20/MMBTU/D. TERM IS 3 YEARS WITH A 3-YR EXTENSION RIGHT. UPGRADED ANOTHER
$.03/MMBTU/D FOR GUARANTEED PRESSURE OF 700#. PRESSURE GUARANTEE APPROVED
BY S.JANUARY.
JBGreg Porter - (Disapproved)

Route: 2
- (Approved) NEW POWER PLANT LOAD OF 20,000 MMBTU/D WINTER AND 24,000 MMBTU/D
SUMMER. TOTAL RATE IS $0.23/MMBTU/D. ORIGINAL RATE WAS $0.20. ADDITIONAL
$0.03/MMBTU IS FOR GUARANTEED PRESSURE OF 700#. S. JANUARY APPROVED PRESSURE
GUARANTEE.

FOR THROUGHPUT Market Services
DATE: Oct 19, 2001
CR# 108189 RQST# 41598
CONTRACT APPROVAL FORM

NATURE OF CONTRACT: TFX

PARTIES: Northern Natural Gas Company
LINCOLN ELECTRIC SYSTEM

SUMMARY OF PRINCIPAL POINTS:

The contract contains Non-Standard Language.

Reason for Discount: capacity release competition and competitive pipe (NGPL)

Total Discount: $4,243,770.40
Discount Amendment Attached

Account Manager: JANET BOWERS, (402) 398-7141

Approval is required of the departments marked with an asterisk (*).
Contact the account manager for additional information. Please send approval
or comments to EB4135R, Phone:713-853-6182, Fax: 713-646-8260 ASAP.

*Marketing, Account Manager: _______________________________ DATE: _________

*Marketing, Regional V.P.: _______________________________ DATE: _________

*Law, General Counsel: _______________________________ DATE: _________

*Regulatory Affairs, V.P.: _______________________________ DATE: _________

*Marketing, V.P.: _______________________________ DATE: _________

*President: _______________________________ DATE: _________

________________________________________________________________________
* Required Signatures