I knew that you would still be in London.  Just thought that I would start to
copy you on some things so that you could begin to get a feel for what's
going on.  Yes, I will be in London next week.  Plan to fly over on Sunday
night and will be in the office around noon on Monday.  I will be there
through Thursday, and will plan to fly back to Houston on Friday.  Let's
definitely plan to get together.  I am in the throws of bonus reviews at this
moment (I am cooling my heels waiting for HR to get me info on people that
were left off of my sheet), so a little later today I will focus on my
schedule for next week.  I will send an e:mail later in the day to see when
we can get together.  Looking forward to it.  --Sally

Beth Apollo
01/09/2001 03:22 AM
To: Sally Beck/HOU/ECT@ECT
cc:
Subject: Re: January 11 - Managing Operational Risk

I guess you know I am here in London this week wrapping up -- wish I could be
there for this meeting.

Are you still coming next week?   It would be good to get together.

Let me know  -- I will try to call this afternoon

Beth

	Enron Capital & Trade Resources Corp.

	From:  Sally Beck                           05/01/2001 23:57

To: Bob M Hall/NA/Enron@Enron, Robert Superty/HOU/ECT, Diane H
Cook/HOU/ECT@ECT, Edward Terry/HOU/ECT@ECT, Victor Lamadrid/HOU/ECT@ECT,
George F Smith/HOU/ECT@ECT, Randall L Gay/HOU/ECT@ECT, Patti
Sullivan/HOU/ECT@ECT, Donna Greif/HOU/ECT@ECT, Katherine L Kelly/HOU/ECT@ECT,
Michael Eiben/HOU/ECT@ECT, Tricia Spence/HOU/ECT@ECT, Rita Wynne/HOU/ECT@ECT,
Daren J Farmer/HOU/ECT@ECT, Jeffrey C Gossett/HOU/ECT@ECT, Greg
Couch/HOU/ECT@ECT, Darron C Giron/HOU/ECT@ECT, Kimberly S
Olinger/HOU/ECT@ECT, David Baumbach/HOU/ECT@ECT, Kam Keiser/HOU/ECT@ECT,
William Kelly/HOU/ECT@ECT, Russ Severson/HOU/ECT@ECT, Leslie
Reeves/HOU/ECT@ECT, Kim S Theriot/HOU/ECT@ECT, Larry Joe Hunter/HOU/ECT@ECT,
Rebecca Ford/HOU/ECT@ECT, Bryce Baxter/HOU/ECT@ECT, Melissa K
Ratnala/HOU/ECT@ECT, Mary M Smith/HOU/ECT@ECT, Lisa Csikos/HOU/ECT@ECT,
Kristen J Hanson/HOU/ECT@ECT, Linda S Bryan/HOU/ECT@ECT, Thresa A
Allen/HOU/ECT@ECT, Stacey W White/HOU/ECT, Jenny Latham/HOU/ECT@ECT, Monica
Lande/PDX/ECT@ECT, Shona Wilson/NA/Enron@Enron, Eugenio Perez/HOU/ECT@ECT,
David Maxwell/HOU/ECT@ECT, Chris Abel/HOU/ECT@ECT, Sheri Thomas/HOU/ECT@ECT,
Jennifer deBoisblanc Denny/HOU/ECT@ECT, Torrey Moorer/HOU/ECT@ECT, Lisa
Lees/HOU/ECT@ECT, Robert B Cass/HOU/ECT@ECT, Dale Neuner/HOU/ECT@ECT, Frank L
Davis/HOU/ECT@ECT, James Scribner/Corp/Enron@Enron, Steve
Venturatos/HOU/ECT@ECT, Bill D Hare/HOU/ECT@ect, Mary G Gosnell/HOU/ECT@ECT,
Carolyn Gilley/HOU/ECT@ECT, Mary Solmonson/HOU/ECT@ECT, Joel
Henenberg/NA/Enron@Enron, Vanessa Schulte/Corp/Enron, Connie
Sutton/HOU/ECT@ECT, Richard C McKeel/HOU/ECT@ECT, Martha Stevens/HOU/ECT@ECT,
Sheila Glover/HOU/ECT@ECT, Scott Earnest/HOU/ECT@ECT, D Todd
Hall/HOU/ECT@ECT, Mike Perun/NA/Enron@Enron, Eric Groves/HOU/ECT@ECT, Noor
Kaissi/NA/Enron@Enron, Theresa T Brogan/HOU/ECT@ECT, Brent A
Price/HOU/ECT@ECT, Laurel Adams/HOU/ECT@ECT, Jorge A Garcia/NA/Enron@Enron,
Jefferson D Sorenson/HOU/ECT@ECT, Michelle Bruce/HOU/ECT@ECT, Mark J
Leskowitz/HOU/ECT@ECT, Mark Fondren/HOU/ECT@ECT, Karen Snow/HOU/ECT@ECT,
Michelle Thomason/NA/Enron@Enron, Bradley Samuelson/NA/Enron@Enron, Sony
Wilson/HOU/ECT@ECT, Brenda F Herod/HOU/ECT@ECT, Michael E
Moscoso/HOU/ECT@ECT, John Jacobsen/HOU/ECT@ECT, Roy Lipsett/HOU/ECT@ECT,
Nancy Hernandez/NA/Enron@ENRON, Christy Lobusch/NA/Enron@Enron, Peggy
Hedstrom/CAL/ECT@ECT
cc: Mike Jordan/LON/ECT@ECT (bcc: Beth Apollo/LON/ECT)

Subject: January 11 - Managing Operational Risk

Please join me on Thursday, January 11 from 1:00 to 4:00 pm for a special
information session for the Operations Management teams supporting Enron
Americas, Enron Global Markets and Enron Industrial Markets.   We will focus
on assessing, managing and mitigating operational risk.  Details on the
location for the meeting will be sent to you early next week.

I look forward to seeing everyone at this meeting on the 11th.  The things
that we will discuss will be important for each and every one of you as you
carry out your roles in 2001.  I hope that you will make every effort to
attend.  Please let me know as soon as possible if you have a conflict that
will keep you from attending the meeting.


Mark,

I received your voice mail and e-mail message re your summary for Jeff
Skkilling.  I'll take a look at it and get back to you via e-mail before
Monday.

I'm attaching a copy of (1) the working draft that examines the potential
worst-case Enron Corp. and affiliate exposures under the Greenfield Shipping
Company LNG ship finance documents (we expect to complete and release a final
version of this memo early next week); and (2) several Payment Security
Structure slides that were prepared by Bill Gathmann and Ranabir Dutt in
connection with putting the structure together and explaining it to the Phase
II lenders, ship lenders and major contract counterparties (including Oman
LNG, AdGas and Greenfield Shipping Company).  Hope this proves useful!

Kind regards,
Dan


Here is the presentation for Old Dominion.  Let me know if you have any
questions.
Ben


cros-

just wanted to shoot you an email.  let me know if you are going to get down
to new orleans.  also, lets keep in touch on some of these real estate
deals.  i am very interested in getting into some of these projects.  good to
talk to you again.

matt


I need some support on this:
For the last two weeks,  Ercot has been giving us OOMC orders.     They have told us to run the plant, without question.     We have asked them whether they mean OOME when we run.    To a man,   the Ercot dispatch guys have said that OOMC means to run, they want the power.
I have launched three e-mails (requesting clarification)  to Mark Patterson,  starting weeks ago on this issue.    Yesterday,   I caught Mark by phone at 5:30pm.

Mark consulted with his operations group and determined that we had been OOMC'd and we should run,  but they are not going to pay us the hr calc.
They said that OOMC means run and we are supposed to sell this power.     This confusion on our part will prove costly to Frontera as they will be paid the imbalance, instead of the heat rate calc.       We cannot sell in the offpeak hours for greater than $5.      It costs us $26 to generate power.

Mark said " dont worry, at worst case you can file for reimbursement."     Mark also said that we will get paid for the capacity. But what???

It is my opinion that it is no accident that Ercot was vague on this issue.     They want to penalize us if we dont run,  and if we do ,  we will lose money.
We then file to get a break-even rebate.  They are acquiring ancillary reserves for free and not even paying for the energy component.

I realize that these issues will be discussed in the Tuesday meeting and I will provide examples, as requested by Ercot.

I need some support from the protocols and I need some suggestions.   I  do not want to allow these guys to game us anymore.
We will be more vocal in this meeting.    If no resolution is reached,  I vote for ignoring their OOM instructions.
I need a ruling on whether they can force us to lose money.

Thanks,

JForney


Comments, suggestions on suggestion below from other committee members?
---------------------- Forwarded by Lisa Connolly/NA/Enron on 02/26/2001
09:34 AM ---------------------------

Eldorlaw@aol.com on 02/25/2001 05:44:52 PM
To: Lisa.Connolly@enron.com
cc:

Subject: Questions re interviewees

Lisa:

    I thought your questions were righ on the mark.  Would you also add a
question regarding how they would handle union negotiations for higher pay
and benefits in light of fiscal pressures?

Look forward to seeing you

Roel


Status report shows as open.. sent on july 31st.

---------------------- Forwarded by Sheila Glover/HOU/ECT on 29/08/2000 13:56
---------------------------

	From:  Sheila Glover                           31/07/2000 12:48

To: Sara Shackleton/HOU/ECT@ECT, Samantha Boyd/NA/Enron@Enron
cc:
Subject: Futures Opening Documents Booklets 1 and 2, W-8 and W-9 Forms

---------------------- Forwarded by Sheila Glover/HOU/ECT on 07/31/2000 12:42
PM ---------------------------

"DiSpigno, Joanne" <joanne.dispigno@csfb.com> on 07/31/2000 12:41:58 PM
To: "'sheila.glover@enron.com'" <sheila.glover@enron.com>
cc: "Goss, Kathleen" <kathleen.goss@csfb.com>, "Chiodi, Maria"
<maria.chiodi@csfb.com>
Subject: Futures Opening Documents Booklets 1 and 2, W-8 and W-9 Forms

 <<carol.pdf>>
Per the request of Kate Goss, attached is the Futures Opening documents
Booklets 1 and 2, including W-8 and W-9 forms.

If you have any questions, please call Kate Goss at 212 325-2228.

[INFO] -- Content Manager:
This message is for the named person's use only.  It may contain
confidential, proprietary or legally privileged information.  No
confidentiality or privilege is waived or lost by any mistransmission.
If you receive this message in error, please immediately delete it and all
copies of it from your system, destroy any hard copies of it and notify the
sender.  You must not, directly or indirectly, use, disclose, distribute,
print, or copy any part of this message if you are not the intended
recipient. CREDIT SUISSE GROUP and each of its subsidiaries each reserve
the right to monitor all e-mail communications through its networks.  Any
views expressed in this message are those of the individual sender, except
where the message states otherwise and the sender is authorised to state
them to be the views of any such entity.
Unless otherwise stated, any pricing information given in this message is
indicative only, is subject to change and does not constitute an offer to
deal at any price quoted.
Any reference to the terms of executed transactions should be treated as
preliminary only and subject to our formal written confirmation.

 - carol.pdf


-----Original Message-----
From: 	Kerry Jones [mailto:kjone19@home.com]
Sent:	Thursday, August 23, 2001 11:02 AM
To:	Stokley, Chris
Subject:	email

What is you hotmail address? I want to add you to my MSN Messenger service.
Didn't you say you use it?

Kerry


Here are some quick and dirty ideas on the ISO report and FERC filing.  I'm
just reading it, so something more will come later.

Gov Davis is trying to divert attention from his bad public policy ideas.
A significant reason that prices are high and continue to be high is that the
ISO is expecting people to sell when they have no idea whether they will be
paid.
The Governor, the ISO and the EOB have all failed to acknowledge that simple
fact.  When there is a huge risk of receiving payment, a rational seller
would include some risk premium in the price. Like a bank offering credit
cards at higher interest rates to people with shakey credit.
The ISO is not paying its bills and has lost its creditworthy status.
THE ISO REPORTAND FERC FILING DO NOT HAVE ONE WORD IN THEM ABOUT THIS CREDIT
ISSUE.
The ISO's report evaluates components of sellers' "costs" and calculates
purported "unjust and unreasonable" prices, all without mentioning the
creditworthy status of the ISO or the risk of doing business with a
non-creditworthy party.
Of course, this whole problem could have been avoided or greatly reduced, if
Governor Davis had taken action when it was first identified as a problem in
August, 2000.
Governor Davis has still not addressed this very basic and pressing issue.
His idea to purchase the transmission system doesn't solve the problem and
takes time and resources.  Lots of them.
By the way, the ISO's statement that it is entitled to the data is really a
FERC issue and FERC will decide.  FERC did not order this and the ISO wants
FERC to order it.  We don't usually hold press conferences about FERC issues
of this nature.
This whole debate/disagreement does nothing to (1) increase supply, (2)
decrease demand or (3) solve the creditworthy status of the ISO or the
utilities. So, why are we spending time on it?

Sue Mara
Enron Corp.
Tel: (415) 782-7802
Fax:(415) 782-7854


Test reply.

	From:  Yvette G Connevey @ ENRON                           08/09/2000 09:08 AM

To: Tom Acton/Corp/Enron@ENRON, Mark McCoy/Corp/Enron@Enron, Carlos J
Rodriguez/HOU/ECT@ECT, Stella L Morris/HOU/ECT@ECT, Aimee Lannou/HOU/ECT@ECT,
Sabrae Zajac/HOU/ECT@ECT, Robert E Lloyd/HOU/ECT@ECT, Clem
Cernosek/HOU/ECT@ECT, Jackie Young/HOU/ECT@ECT, Eddie Janzen/NA/Enron@Enron,
Robert Cotten/HOU/ECT@ECT, Mary Poorman/NA/Enron@Enron, Susan
Hadix/NA/Enron@Enron, Ami Chokshi/Corp/Enron@ENRON, Julie Meyers/HOU/ECT@ECT,
Michael Walters/HOU/ECT@ECT, O'Neal D Winfree/HOU/ECT@ECT, David
Baumbach/HOU/ECT@ECT, Jody Crook/Corp/Enron@ENRON, Delma
Salazar/NA/Enron@Enron, Denver Plachy/NA/Enron@Enron, Patrick
Ryder/NA/Enron@Enron, Lisa Csikos/HOU/ECT@ECT, Daren J Farmer/HOU/ECT@ECT,
Mary M Smith/HOU/ECT@ECT, Rita Wynne/HOU/ECT@ECT, Steve
Venturatos/HOU/ECT@ECT, Pat Clynes/Corp/Enron@ENRON, Michael
Eiben/HOU/ECT@ECT, Kristen J Hanson/HOU/ECT@ECT
cc:
Subject: Test

Test e-mail.


USA: FERC judge says Calif power refunds are likely.
Reuters English News Service, 06/22/01

EOTT Butane Trader Indicted For Bilking Co.On Gas Trade
Dow Jones Energy Service, 06/22/01

INDIA: CMS says India LNG project now stalled.
Reuters English News Service, 06/22/01

LME Base Metals:End Mixed As Mkt Awaits Fed Rate Decision
Dow Jones Commodities Service, 06/22/01

Indian Foreign Invest Climate Good Despite Enron Dispute
Dow Jones International News, 06/22/01

USA: FERC judge says Calif power refunds are likely.

06/22/2001
Reuters English News Service
(C) Reuters Limited 2001.

WASHINGTON, June 22 (Reuters) - The Federal Energy Regulatory Commission
administrative law judge, who is overseeing refund settlement talks in
California's power market, said Friday that generators that sold electricity
in the state will probably have to pay back overcharges of "several billion
dollars."
In an interview with Reuters, Judge Curtis Wagner, the head FERC
administrative law judge who will preside over the 15-day conference starting
Monday, said California Gov. Gray Davis' claim the state is owed $9 billion
is too high. "I think that's high," Wagner said when asked to comment on
Davis' request for that amount in refunds.
"I'm hoping to come up with a settlement of the issue of a refund of
overcharges - if there are overcharges. My sense is that there probably are,"
Wagner said.
Enron Corp. , Mirant Corp. , Duke Energy Corp. , Williams Cos. , Reliant
Energy Inc. , and Dynegy Inc. are among the producers that FERC could compel
to make the refunds. The companies have said they did nothing wrong.
Davis, the California Public Utilities Commission and the state's
investor-owned utilities will join in the negotiations at FERC headquarters
in Washington. If no agreement is reached, Wagner will have seven days to
make a recommendation to the five FERC commissioners on the refund issue.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

EOTT Butane Trader Indicted For Bilking Co.On Gas Trade
By Roy R. Reynolds
Of DOW JONES NEWSWIRES

06/22/2001
Dow Jones Energy Service
(Copyright (c) 2001, Dow Jones & Company, Inc.)

HOUSTON -(Dow Jones)- A Houston-based federal grand jury indicted Steven Gary
Todoroff, former trader for Enron Corp.'s (ENE) EOTT Energy Corp. (EOT), late
Wednesday on charges he funneled 100,000 barrels of butane gas meant for EOTT
into a company of his own for later sale to a third party at just under $1
million.
EOTT terminated Todoroff for the alleged malfeasance in 1999.
"There was apparently concealment of other natural gas trading activity,"
said EOTT spokeswoman Gina Taylor.
According to Assistant U.S. Attorney Cedric Joubert, Todoroff is accused of
bartering a deal in which Petrogas Inc. would have supplied EOTT with butane
for a repayment of butane a year later. Todoroff then allegedly steered the
Petrogas butane to Monarch Media Resources Corp., which he owned, and sold
the gas to the Oklahoma office of Gas Producers Liquids Inc. for $996,187.50.
EOTT took a $3 million charge to earnings in the fourth quarter of 1999 to
cover the cost of purchasing additional butane to deliver to Petrogas, Taylor
said.
Todoroff's attorney, Wendell A. Odom, Jr., doesn't deny his client made the
trade, but said it was a side trade that had nothing to do with EOTT
operations, and therefore shouldn't be a criminal offense.
"From the onset of this, we've always contended that this is a civil debt,"
Odom said. "This was a personal investment."
Odom said Todoroff was following a generally accepted practice of side
trading on the deal, and EOTT got involved by the confusion of other players
in the trade.
"Everybody just assumed it was an EOTT deal, even though it wasn't," he said.
"EOTT made the decision to belly up to the bar and pay off when it came time
to deliver."
Joubert said Todoroff will more than likely appear before a judge late next
week for an arraignment on the charges. The judge will then schedule a trial
date, to begin within 70 days of the arraignment.
The nature of the deal, which took 13 months, kept EOTT from discovering the
action until late in the process.
"The way he allegedly set up the contracts, we didn't know about it until it
was time to pay Petrogas," Taylor said. "When Petrogas calls us and said they
needed payment, that's when we started looking at the transaction."
Petrogas, which Joubert said is a Canadian company with an operating arm in
Texas, couldn't be contacted Friday.
Joubert said Natural Gas Liquids isn't suspected of any wrongdoing in the
case, though he noted Todoroff used to live in Oklahoma.
"I assume he still knew some people there," Joubert said.
Natural Gas Liquids owner Greg Stiman, based in Houston, wasn't in the office
Friday and unavailable for comment. News Article On EOTT Charge Aroused
Suspicions

EOTT took total charges of $9.8 million, or 35 cents a diluted unit in the
fourth quarter of 1999, explaining in a press release that the amount covered
"the cost to exit mid-continent natural gas liquids activities that are no
longer needed as a supply function for crude oil blending activities on the
West Coast; severance costs for work force reduction due to operating
efficiencies from recent acquisitions; implementation of a new marketing and
accounting system; and a theft of NGL product, concealment of NGL commercial
activities and other unauthorized NGL actions by a former employee."
The company reported losses that quarter of $7.48 million, or 27 cents a unit
after the charge. By contrast, EOTT reported earnings for 2000's fourth
quarter of $3.71 million, or 13 cents a unit.
According to Joubert, EOTT had to buy butane from Amoco Inc. - now BP Amoco
PLC (BP) - to replace the butane owed Petrogas.
"The real loss has to do with the replacement costs with the gas - a year
after (Todoroff) got his money," Joubert said.
Odom maintains that Todoroff was making a legal trade through Monarch Media,
but simply didn't have the funds to cover the cost of replacing the butane
when it came due.
"(Todoroff) did not have the financial resources, he just got caught short on
the deal," Odom said. "He did not tell (EOTT) they had to honor that deal."
Although Plains All American Pipeline LP (PAA) uncovered rogue trading by one
of its executives in 1999, fraud among the energy trading world is rare, said
both Joubert and Taylor.
"It's not a common problem," Taylor said. "We have controls in place to take
care of this kind of thing."
Joubert began sniffing around the case after a news article regarding the
company's fourth quarter charge aroused suspicions.
Odom said the close-knit and fast-paced world of energy trading helped lead
to a misunderstanding of his client's deal.
-By Roy R. Reynolds, Dow Jones Newswires; 713-547-9208;
roy.reynolds@dowjones.com

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

INDIA: CMS says India LNG project now stalled.
By Suresh Seshadri

06/22/2001
Reuters English News Service
(C) Reuters Limited 2001.

MADRAS, India, June 22 (Reuters) - U.S. firm CMS Energy Corp's LNG-based
power project at Ennore in southern India is now completely stalled for want
of a credit support mechanism from the Indian government, a top firm official
said on Friday.
Rodney E. Boulanger, CMS Generation Co's president, said in a statement
e-mailed to Reuters that the firm though "not threatening to withdraw" from
the project was "losing heart".
The firm's statement comes against a backdrop of a bitter payment row between
U.S. energy giant Enron Corp's $2.9-billion, 2,184-MW Indian unit, the Dabhol
Power Co, and the state-run utility in India's western Maharashtra state.
CMS, along with India's Grasim Industries , leads a consortium to build a
$1.6-billion LNG-terminal-cum-1,850 MW powerplant at Ennore port, just north
of Madras.
"The Ennore project is essentially stalled until the government can design
and implement a solution that will cause lenders to provide loans to the
project," the statement quoted Boulanger as saying.
"In the meantime, we must simply wait for these government actions to occur
without which the project cannot go forward."
In May, a CMS spokesman said the firm was disappointed with delays in getting
a promised bankable guarantee from the Indian government and said that it was
evaluating its options.
GET MONEY BACK
Boulanger said the credit support mechanism or lenders pledge, guaranteeing
that project lenders would be able to get their money back if the project
cannot collect payments for power produced, was absolutely vital for the
project's progress. In January, India's finance ministry indicated it may
scrap a plan to extend sovereign guarantees to three mega power projects,
including the Ennore LNG project.
The Ennore project has been promoted by the Dakshin Bharat Energy consortium
which also includes Germany's Siemens , Australia's Woodside and Unocal Corp
.
India opened up its generation sector almost 10 years ago but investment has
been scarce as most of the country's power distribution is done by
cash-strapped, state-owned utilities.
The CMS-led consortium won the LNG project from the Tamil Nadu state
government in 1998 and plans to build a 2.5-million tonnes a year LNG import,
storage and regasification terminal.
The LNG is to be imported from Qatar's RasGas and the electricity from the
power plant will be sold to the federal government-owned Power Trading Corp
of India.
CMS' other projects in India include ownership of a 49 percent equity stake
in a 200 MW diesel-fired G.M.R. Vasavi power plant at Basin Bridge in Madras
and construction of a lignite-fuelled 250 MW plant in the southern town of
Neyveli.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

LME Base Metals:End Mixed As Mkt Awaits Fed Rate Decision

06/22/2001
Dow Jones Commodities Service
(Copyright (c) 2001, Dow Jones & Company, Inc.)

LONDON -(Dow Jones)- London Metal Exchange three-month base metals ended the
late kerb mixed Friday compared with Thursday, in a day characterized by
cautious trading and book squaring as the market awaits the U.S. Federal
Reserve's interest rate decision, dealer and analysts said.
(LME three-month prices in dollars a metric ton at 1600 GMT, with the
previous late kerb close in parentheses. Comex copper at 1632 GMT in cents a
pound, with the previous close in parentheses.) Copper 1,599.50 (1,593.50)
Tin 4,705.00 (4,722.50)
Aluminum 1,477.75 (1,468.50) Zinc 909.50 (906.50)
Nickel 6,255.00 (6,305.00) Lead 452.50 (449.75)
Comex July Copper 72.00 (71.75)
The possibility that the Fed could cut rates next week has staunched any
further selling by funds, who are already holding large short positions, a
LME dealer said.
"It would be madness for them (funds) too extend their shorts at the moment
because if rates are cut there is no doubt that prices will be in line for a
rally," he said.
"But, once that's out of the way I still don't think there is anything to
(lift) the current sentiment and I wouldn't be surprised to see new lows
being set in the next few weeks," he added.
Aluminum was caught between $1,460/ton and $1,480/ton, with news of
production increases not causing a significant price reaction.
Mitsubishi Corp., the U.K.'s Billiton PLC and the Industrial Development
Corp. of South Africa Ltd. will expand Mozambique's Mozal aluminum smelter,
the companies said Friday.
The project will add a further 253,000 tons a year of smelting capacity, at a
construction cost of $860 million, bringing capacity up to 506,000 tons.
"This sort of thing has been expected and is already factored into prices," a
London-based analyst said.
Copper was also caught in a tight range but the market's main focus continues
to be the tightening technical supply situation which has pushed the nearby
spreads from contango to flat and occasionally to a backwardation.
The analyst said that the tightness is not set to last much longer,
suggesting that if the cash-for-a-week spread increases much more from the
current level of around $20/ton backwardation then heavy lending would
probably emerge and the spread would be reduced.
Although fund short positions have been highlighted as the likely cause of
the situation, there is talk that major trade house Enron is holding most of
the shorts, having anticipated the market's recent decline.
-By David Elliott, Dow Jones Newswires; 44-20-7842-9353;
david.elliott@dowjones.com

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Indian Foreign Invest Climate Good Despite Enron Dispute

06/22/2001
Dow Jones International News
(Copyright (c) 2001, Dow Jones & Company, Inc.)

NEW DELHI -(Dow Jones)- Foreign investment in India won't be damped by the
current dispute between Enron Corp.'s (ENE) Indian unit Dabhol Power Co. and
its sole buyer the Maharashtra State Electricity Board, the external affairs
ministry spokeswoman told Dow Jones Newswires Friday.
Reacting to U.S. Undersecretary of State for Economic, Business and
Agricultural Affairs Alan Larson's recent statement in Washington that the
payment dispute between Dabhol and Maharashtra state was clouding India's
investment climate, Nirupama Rao said: "The evidence of our good investment
climate is the fact that several global companies are here and are
implementing key projects all over the country."
"A single instance (Dabhol) cannot turn the clock back. Foreign investments
into India are coming in, and they will continue to come. As far as Enron is
concerned, the government would like to see the dispute between Dabhol and
MSEB resolved quickly," she added.
Foreign direct investment flows into India were worth $4.5 billion in 2000,
compared with inflows of $4.02 billion in 1999. During the first four months
of 2001, foreign direct investment inflows amounted to $1.24 billion,
according to the figures from the commerce ministry.
The U.S. energy company Enron holds a controlling 65% stake in the $2.9
billion Dabhol project, to date the single largest foreign investment in
India.
MSEB stopped drawing power from the Dabhol plant May 29, saying the cost of
electricity supplied by Dabhol was "unaffordable." Since Sunday, Dabhol Power
Co. has stopped all construction work on the second phase of the project
because of "continuing (payment) defaults by MSEB." The Dabhol project has
the federal government's counter-guarantee.
Separately, Indian Power Secretary A.K. Basu said the government was
inundated with fresh foreign direct investment proposals in the power sector.
"We have 20 international projects on hand which will collectively add 5,000
megawatt to the country's generation capacity," Basu said.
-By Himendra Kumar; Dow Jones Newswires; +91-11-461-9426;
himendra.kumar@dowjones.com

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.


ENA entered into a purchase and sale agreement today to sell 80% of our Monterrey Project to Tractebel.  It is anticipated that it will take 60-90 days to get IDB and CFC approval, and have targeted a mid-August closing.  Some of you may be aware that Tractebel attempted to add a new CP at the last minute (last Monday).  We did not accept the CP but rather crafted another solution (thanks Maria Elena) of no real value to Enron but with optical value to Tractebel.

I will keep you all up to date as this transaction progresses.

Thanks,

Don


Greetings,

Karol, kids, and I will be traveling over the 4th and beyond.  Here is my
schedule and contact numbers (starting with 7/1 for Julie's attendance
records):

Work days in Tehachapi: 7/1 - 7/2

Vacation days:  7/3, 7/5, 7/8, 7/9, 7/10, 7/11, 7/12

Company holiday:  7/4

Contact numbers are as follows:
7/3 - 7/8:    219-767-2594
7/8 - 7/9:    763-497-5080
7/9 - 7/14:  712-477-2984

Have a wonderful 4th!

Matt Meyers