When you set up a web reference in a .NET project, the URL to the service is hard coded in the proxy class code to the address you used during the initial "Add Web Reference..." setup. However, after you create an instance of the service proxy class you can set the URL to whatever is appropriate for your final deployment location. Usually you would place the URL in an application configuration file (app.config, web.config) and set it based on that value so you can change it as needed without recompiling code.
-Peter
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