---------------------- Forwarded by Chris H Foster/HOU/ECT on 04/03/2001 08:16 AM ---------------------------
From:	Kim Ward on 04/03/2001 09:11 AM CDT
To:	Chris H Foster/HOU/ECT@ECT
cc:	 
Subject:	Re: Fwd: Citizens Gas Supply Offer - PPL counter proposal   

Chris,

this looks good to me.  Stephanie is checking with Transwestern to see what their parking/lending fees would be for weekends, just for an idea.  I am also talking to the desk.  I will keep you posted.

Kim


To:	Kim Ward/HOU/ECT@ECT
cc:	 
Subject:	Re: Fwd: Citizens Gas Supply Offer - PPL counter proposal   

Kim:

Please review and add anything you want and return.

C

John/Sean:

A few thoughts on the Griffith deal:

1.  Term:  PPL indicates they want to do the deal through 2003.  That is really 2003 - 2004 as it incldues Nov - Mar.  Extension until this time might require extension of our underlying deal.  This would be OK with us.
2.  Character of service:   The text indicates that PPL would have the right to request deliveries be made to an alternqate point on TW.  Why would they want this?  This could be a problem if we know the gas wouldn't flow as we would shut in puchases.  We would like to make this on a mutually acceptable basis.
3.  Pricing:  Does the reservation cahrge include variable transport?  I think that is what we proposed.  If not, then the Commodity rate flow needs to include the variable cost of  transport plus fuel.
4.  Conditions:  Noms must be in at 8:00 am.  This is very important and the a deal killer.  We need time to manage the position.  Also, the weekend issue needs to be addressed.  As we have discussed, weekends trade as the same quantity each day.  If they want to vary the daily amoount during the weekend and make Sunday higher than Sat or Monday, that is fairly ewaasy to deal with.  If they want to have lower takes on Sunday, this is more difficult ad increases costs.  We might be able to craft a solution to this however.

Chris


   
	Enron Capital & Trade Resources Corp.  From:  CoganJA@aol.com                           04/02/2001 12:35 PM	
		


To:	<cfoster@enron.com>
cc:	<sbreen@czn.com> 
Subject:	Fwd: Citizens Gas Supply Offer - PPL counter proposal


Chris,

Here is the counter.  I will talk to you before I get own the plane.

John

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Subject: Citizens Gas Supply Offer - PPL counter proposal
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Sean/John,
We'd like to thank you for puttting together this offer for bundled supply to
our Griffith facility.  We are very agreeable to the structure and general
framework that you have laid out.  We did make a few modifications however and
you can find them in the attached redlined version of your proposal.  We will
available to discuss this proposal with Citizens.

Thanks

Terry






 - PPL - Griffith Gas Sales Proposal-rev.doc 









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