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Gulfstream Natural Gas System, L.L.C.
FERC Gas Tariff
Original Volume No. 1

First Revised Sheet No. 40
Superseding
Original Sheet No. 40


                              RATE SCHEDULE PALS
                          Parking and Lending Service


      1.    AVAILABILITY

            This Rate Schedule is available to any Shipper for the parking 
            and lending of Gas from Transporter, subject to the following 
            limitations:

            1.1   Transporter has determined that it is operationally able 
                  to render such service;

            1.2   Shipper and Transporter have executed an Agreement under 
                  this Rate Schedule.  Shipper shall be required to 
                  execute a separate Agreement for Parking Service and 
                  Lending Service, if Shipper desires both services.

      2.    APPLICABILITY AND CHARACTER OF SERVICE

            2.1   This Rate Schedule shall apply to service which is 
                  rendered by Transporter for Shipper pursuant to an 
                  executed Agreement under this Rate Schedule.

            2.2   Service under this Rate Schedule shall consist of either 
                  parking or lending of Gas during any Day, or part 
                  thereof.  Service rendered by Transporter under this 
                  Rate Schedule shall be interruptible and shall consist 
                  of:

                  (a)   Parking Service.  Parking Service is an 
                        interruptible service which provides for (1) the 
                        receipt by Transporter of Gas quantities delivered 
                        by Shipper to receipt point(s) nominated by 
                        Shipper for receipt of parked quantities; (2) 
                        Transporter holding the parked quantities on 
                        Transporter's pipeline system; and (3) return of 
                        the parked quantities to Shipper, provided, 
                        however, that Transporter is not obligated to 
                        return parked quantities on the same Day and at 
                        the same point(s) at which the Gas is parked.

Issued by: P. Martin Teague, Assistant General Counsel
Issued on: July 12, 2004                      Effective on: August 11, 2004
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