
Date: Thu, 19 Apr 2001 09:14:00 -0700 (PDT)
From: chris.germany@enron.com
To: scott.neal@enron.com
Subject: Re: Sale to NYPA
Cc: judy.townsend@enron.com, kimat.singla@enron.com, robin.barbe@enron.com,
susan.pereira@enron.com, maureen.smith@enron.com
Bcc: judy.townsend@enron.com, kimat.singla@enron.com, robin.barbe@enron.com,
susan.pereira@enron.com, maureen.smith@enron.com

According to Kimat, TP2 gets the NYPA sale at Mamou at the prices show
below.  We have 3 options on serving this deal:
1) buy Texas Gas capacity and ship the gas on a secondary basis from the Zone
SL Pool
2) use Transco Zone 3 wellhead
3) buy Trco capacity and ship the gas on a secondary basis from St 65

Most of the time we use option #1.  Texas Gas is cheaper than Trco even after
paying the transport cost.  However, this deal comes to the TP2 book at the
prices listed below.  For April, TP2 purchased the gas from GULF2 at the Zone
SL IF + $.005 and shipped it to Mamou.  The total transport cost  is $.02
(including demand - this changes each month).  We don't arb the supply with
Trco and Texas Gas because NYPA is extremely difficult to work with and this
is a term firm sale to NYPA.

Should we change the mid price for the NYPA to include both the Zone SL mid
price  and the transport expense?

