Negotiated Rate Agreement Filing; El Paso Natural Gas Company, L.L.C.; Docket No. RP18-

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1 February 28, 2018 Federal Energy Regulatory Commission 888 First Street, N.E. Washington, D.C Attention: Ms. Kimberly D. Bose, Secretary Commissioners: Re: Negotiated Rate Agreement Filing; El Paso Natural Gas Company, L.L.C.; Docket No. RP18- El Paso Natural Gas Company, L.L.C. ("EPNG") hereby tenders for filing and acceptance by the Federal Energy Regulatory Commission ("Commission") the following tariff records to EPNG s, Third Revised Volume No. 1A ( Tariff ). Part II: Version Part II: Section 5.7 MRC Permian Company # FT1EPNG Version EPNG is proposing to update the in its Tariff to reflect the addition of a conforming, negotiated rate transportation service agreement ( TSA ) between EPNG and MRC Permian Company ( MRC ). As discussed below, EPNG respectfully requests a waiver of the 30-day notice requirement to permit the tariff records to become effective on the proposed date of March 1, 2018, consistent with the effective date of the TSA. Reason for Filing Recently, EPNG conducted an open season for capacity in which MRC submitted a successful bid based on a negotiated reservation rate of $2.585 per Dth per month. General Terms and Conditions ( GT&C ) Section 4.18 of EPNG s Tariff allows EPNG and a shipper to agree to a transportation rate that varies from the minimum-tomaximum range provided on the Tariff s Statement of Rates. Moreover, the Commission s policy requires pipelines, when implementing a negotiated rate TSA, to either include the TSA in its Tariff or submit a Statement of Rate tariff record identifying the transaction. 1 Accordingly, EPNG is submitting herein for the Commission s review and acceptance this negotiated rate TSA between EPNG and MRC. 1 See Natural Gas Pipeline Negotiated Rate Policies and Practices, 104 FERC 61,134 at PP 25-27, (2003).

2 Federal Energy Regulatory Commission 2 February 28, 2018 Description of the Agreement The aforementioned negotiated rate TSA between EPNG and MRC, designated as TSA No FT1EPNG, contains a two-month term commencing on March 1, 2018, and ending on April 30, The initial transportation contract demand ( TCD ) is 35,000 Dth per day increasing to 45,000 Dth per day on April 1, TSA No FT1EPNG contains primary receipt points of IBOUNDSR and IMSCARL and a primary delivery point of KEYTRAN. 2 The agreement also provides that the negotiated rate will apply to certain alternate receipt and delivery point combinations for the full term of the TSA. These alternate receipt points are all of the points located on Line Nos. 1100, 1103 and 1110 east of EPNG s Pecos River Station; Line No. 2000; and Line No Alternate delivery points include all points within the Permian Basin. 3 Tariff Provisions EPNG is submitting the following tariff records pursuant to Subpart C of the Commission's regulations: Part II, Stmt of Negotiated Rates is modified to add TSA No FT1EPNG to the. Part II, Section 5.7 describes a conforming negotiated rate TSA with MRC. The negotiated rate of $2.585 per Dth per month is applicable for the full term of the TSA and is not subject to the maximum or minimum reservation rate. 4 The proposed tariff record states the exact legal name of the shipper, the negotiated rates, the receipt and delivery points, the quantity of gas to be transported, the applicable Rate Schedule for the service, and the contract term. Procedural Matters Inasmuch as this filing is fully described herein, the statement of the nature, the reasons and the basis for the instant tariff filing required by Section 154.7(a)(6) of the Commission's regulations is omitted. In accordance with the applicable provisions of Part 154 of the Commission's regulations, EPNG is submitting an etariff XML filing package, which includes the following: a) a transmittal letter; and b) clean and marked versions of each tariff record in PDF format EPNG has agreed to modify its existing IBOUNDER receipt meter, which is the IBOUNDER Enhancement, to increase its receipt capability above 4,700 Dth per day. When the IBOUNDER Enhancement is complete all receipt quantities will shift to the IBOUNDER meter. See EPNG s Open Season No dated October 13, 2017 and supplemented on November 6, 2017 and November 8, In addition to the applicable reservation charges, MRC will pay all applicable commodity charges, fuel and lost and unaccounted for gas charges and all other applicable surcharges.

3 Federal Energy Regulatory Commission 3 February 28, 2018 EPNG respectfully requests the Commission accept the tendered tariff records for filing and permit them to become effective March 1, 2018, consistent with the effective date of TSA No FT1EPNG. As such, EPNG requests that for good cause shown the Commission grant a waiver of the notice requirements found in Section of the Commission s regulations and any other waivers necessary consistent with Commission policy. 5 With respect to any tariff provisions the Commission allows to go into effect without change, EPNG hereby moves to place the tendered tariff provisions into effect at the end of the suspension period. to: Correspondence and communications concerning this filing should be directed Mr. Francisco Tarin Mr. David K. Dewey Director, Regulatory Assistant General Counsel El Paso Natural Gas Company, L.L.C. El Paso Natural Gas Company, L.L.C. Post Office Box 1087 Post Office Box 1087 Colorado Springs, CO Colorado Springs, CO Telephone: (719) Telephone: (719) Facsimile: (719) Facsimile: (719) EPNGRegulatoryAffairs@kindermorgan.com EPNGLegalFERC@kindermorgan.com These persons have been designated for service in accordance with Rule 203 of the Commission's Rules of Practice and Procedure. The undersigned hereby certifies that he has read this filing and knows (i) the contents of such filing and the attachments; (ii) that the contents as stated in the filing and in the attachments are true to the best of his knowledge and belief; and (iii) that he possesses full power and authority to sign this filing. Respectfully submitted, EL PASO NATURAL GAS COMPANY, L.L.C. Enclosures By /s/ Francisco Tarin Director, Regulatory 5 See, e.g., Gulfstream Natural Gas System, L.L.C., 105 FERC 61,164, at P 11 (2003).

4 Certificate of Service I hereby certify that I have this day caused a copy of the foregoing document to be served upon all shippers on EPNG s pipeline system and interested state regulatory commissions, in accordance with the requirements of Sections and of the Commission's Rules of Practice and Procedures. Dated at Colorado Springs, Colorado as of this 28 th day of February Post Office Box 1087 Colorado Springs, CO (719) /s/ Francisco Tarin

5 Section 5 - Stmt of Negotiated Rates Third Revised Volume No. 1A Version Section 5.1 Section 5.2 Section 5.3 Section 5.4 Section 5.5 Section 5.6 Section 5.7 El Paso Marketing Company, L.L.C. #FT2K2000 WPX Energy Marketing, LLC #FT3HF000 Mexicana de Cobre, S.A. de C.V. #FT3HK000 ARM Energy Management, LLC #FT3HQ000 Southwestern Public Service Company # FH8EPNG Arizona Public Service Company # FH8EPNG MRC Permian Company # FT1EPNG

6 Rate Schedule FT-1 Term of TCD Reservation Usage Primary Point(s) Primary Point(s) Shipper Identification Agreement (Dth/d) Rate Rate of Receipt of Delivery MRC Permian Company 3/1/18-4/30/18 35,000 1a/ 1/ IBOUNDSR KEYTRAN IMLSCARL KEYTRAN 45,000 1a/ 1/ IBOUNDSR KEYTRAN IMLSCARL KEYTRAN IBOUNDSR KEYTRAN IMLSCARL DJMSLAKE IROCKDOV DMARTINB IGRAMARI DEMBARBS IMCHRNCH DSEMDRAW INGPLLEA DQUAILRN INUVISTA DFOXHILL ICRAWFRD DROCKDOV IROJOGRN DEMMADEL IPINCPD2 DPITBULL IWAREUNI DTEMPIGR IZORRO DGIDDING DBLAKEDR DCARLSBD DJALALLY DEAGLDEL

7 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DHOGGDEL DPECSTRL DGPMMRTN DRZRSHRP DENSODIS DENSOJAL DENSOMID DENSOSJX DENSOSUT DGPMHOBS DHARDFLT DJAL JAL DJALCPLX DMAYFLD DP-PFUEL DPNMTATU DSUG CRN DSUG KWX DWTG DIS DWTG JAL IARCOPUC ICABHOBS IGCNMLSK IGRAMARI IKEYSTOR ILONESTR

8 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate ILONEWA IMCHRNCH IMLWAHA INGPLUSK IOASISWA IOWNRNCH DWILSDEL IUTDOLHD IVALEROW IW IWESTARW WAHATRAN DGPMGOLD DAMSLAFL DSUNDOWN DAMOCDIS DSHELSJX INN30PLA ITXGROBE DREVSGNS DWANTZDP DKERMFUL WTGREEVS DWILSDL1 IMUSTANG DNUSUPCO

9 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DTERFUEL DAMERAN DCORNELL DHOBSON DGDNITBY DWHITDIS DRAM MID DWTG SJX DWTG GLD IODESAEC DLEVEMER DANGLYFM DPLTXDIS DWTG LLN DPLNSDIS DMORTDIS DDENVJAL DWSTRGLD DWTG KWX DWTGFUEL DJWMILLR DOXY DIS DGGSIKEY DHOBBSPP DMOUNTN DAVALON DBENRNCH

10 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DVILFARM DGOLDHMR DWSTRDIS DTEX JAL DGPMFULT DPHCRAFL IW IW IW IW IW W IW DENSOGLD I DPHILSUT DWARNJAL DPHILGLD DPHIL311 DPHILMID DARCODIS DGGCHAVS IARCOMID DPHBAYVU DWTGGARD DPHGAINS

11 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DGULFSJX DRDBLFBY DSODALKE DGAINESJ DSUMADM DSUMAYK DWTGBUCK DTYHLAKE DCTNHILS DWTG311L 1/ Unless otherwise agreed by the Parties in writing, the rates for service shall be Transporter s maximum rates, as may be changed from time to time, for service under Rate Schedule FT-1 or other superseding Rate Schedules. The reservation rate shall be payable regardless of quantities transported. 1a - As provided in Section 4.18 of the GT&C of Transporter s Tariff, the parties agree to the following negotiated rate: $2.585 per Dekatherm per month which shall not be subject to the maximum or minimum Rate Schedule FT-1 reservation rate for the corresponding rate zone as set forth in Transporter s Tariff. 2/ Fuel and L&U shall be as stated on Transporter s Statement of Rates in the Tariff as they may be changed from time to time, unless otherwise agreed between the parties.

12 3/ Surcharges, if applicable: All applicable surcharges, unless otherwise specified, shall be the maximum surcharge rate as stated on the Statement of Rates, as they may be changed from time to time, unless otherwise agreed to by the Parties. ACA: The ACA Surcharge shall be assessed pursuant to Section 17 of the GT&C of the Tariff. 4/ This contract does not deviate in any material aspect from the form of service agreement.

13 Section 5 - Stmt of Negotiated Rates Third Revised Volume No. 1A Version Section 5.1 Section 5.2 Section 5.3 Section 5.4 Section 5.5 Section 5.6 Section 5.7 El Paso Marketing Company, L.L.C. #FT2K2000 WPX Energy Marketing, LLC #FT3HF000 Mexicana de Cobre, S.A. de C.V. #FT3HK000 ARM Energy Management, LLC #FT3HQ000 Southwestern Public Service Company # FH8EPNG Arizona Public Service Company # FH8EPNG MRC Permian Company # FT1EPNG

14 Rate Schedule FT-1 Term of TCD Reservation Usage Primary Point(s) Primary Point(s) Shipper Identification Agreement (Dth/d) Rate Rate of Receipt of Delivery MRC Permian Company 3/1/18-4/30/18 35,000 1a/ 1/ IBOUNDSR KEYTRAN IMLSCARL KEYTRAN 45,000 1a/ 1/ IBOUNDSR KEYTRAN IMLSCARL KEYTRAN IBOUNDSR KEYTRAN IMLSCARL DJMSLAKE IROCKDOV DMARTINB IGRAMARI DEMBARBS IMCHRNCH DSEMDRAW INGPLLEA DQUAILRN INUVISTA DFOXHILL ICRAWFRD DROCKDOV IROJOGRN DEMMADEL IPINCPD2 DPITBULL IWAREUNI DTEMPIGR IZORRO DGIDDING DBLAKEDR DCARLSBD DJALALLY DEAGLDEL

15 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DHOGGDEL DPECSTRL DGPMMRTN DRZRSHRP DENSODIS DENSOJAL DENSOMID DENSOSJX DENSOSUT DGPMHOBS DHARDFLT DJAL JAL DJALCPLX DMAYFLD DP-PFUEL DPNMTATU DSUG CRN DSUG KWX DWTG DIS DWTG JAL IARCOPUC ICABHOBS IGCNMLSK IGRAMARI IKEYSTOR ILONESTR

16 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate ILONEWA IMCHRNCH IMLWAHA INGPLUSK IOASISWA IOWNRNCH DWILSDEL IUTDOLHD IVALEROW IW IWESTARW WAHATRAN DGPMGOLD DAMSLAFL DSUNDOWN DAMOCDIS DSHELSJX INN30PLA ITXGROBE DREVSGNS DWANTZDP DKERMFUL WTGREEVS DWILSDL1 IMUSTANG DNUSUPCO

17 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DTERFUEL DAMERAN DCORNELL DHOBSON DGDNITBY DWHITDIS DRAM MID DWTG SJX DWTG GLD IODESAEC DLEVEMER DANGLYFM DPLTXDIS DWTG LLN DPLNSDIS DMORTDIS DDENVJAL DWSTRGLD DWTG KWX DWTGFUEL DJWMILLR DOXY DIS DGGSIKEY DHOBBSPP DMOUNTN DAVALON DBENRNCH

18 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DVILFARM DGOLDHMR DWSTRDIS DTEX JAL DGPMFULT DPHCRAFL IW IW IW IW IW W IW DENSOGLD I DPHILSUT DWARNJAL DPHILGLD DPHIL311 DPHILMID DARCODIS DGGCHAVS IARCOMID DPHBAYVU DWTGGARD DPHGAINS

19 Rate Schedule FT-1 Term of TCD Reservation Usage Shipper Identification Agreement (Dth/d) Rate Rate DGULFSJX DRDBLFBY DSODALKE DGAINESJ DSUMADM DSUMAYK DWTGBUCK DTYHLAKE DCTNHILS DWTG311L 1/ Unless otherwise agreed by the Parties in writing, the rates for service shall be Transporter s maximum rates, as may be changed from time to time, for service under Rate Schedule FT-1 or other superseding Rate Schedules. The reservation rate shall be payable regardless of quantities transported. 1a - As provided in Section 4.18 of the GT&C of Transporter s Tariff, the parties agree to the following negotiated rate: $2.585 per Dekatherm per month which shall not be subject to the maximum or minimum Rate Schedule FT-1 reservation rate for the corresponding rate zone as set forth in Transporter s Tariff. 2/ Fuel and L&U shall be as stated on Transporter s Statement of Rates in the Tariff as they may be changed from time to time, unless otherwise agreed between the parties.

20 3/ Surcharges, if applicable: All applicable surcharges, unless otherwise specified, shall be the maximum surcharge rate as stated on the Statement of Rates, as they may be changed from time to time, unless otherwise agreed to by the Parties. ACA: The ACA Surcharge shall be assessed pursuant to Section 17 of the GT&C of the Tariff. 4/ This contract does not deviate in any material aspect from the form of service agreement.