we need to consider meth plant reserve
its going to be difficult to justify current valuation

-----Original Message-----
From: Meers, Thomas 
Sent: Monday, November 12, 2001 9:19 AM
To: Clayton, Paul
Cc: Saunders, James
Subject: Enron--Methanol Plant Outage



	Paul,

	The Methanol Plant was shutdown during August of this year due to poor economics.  The following is a list of steps 	taken to prepare the plant for this outage:


	Lines and vessels have been purged and are mostly open to the atmosphere.
	Lubricating oils have been drained from equipment, "large oil systems" (e.g. syn gas and recycle compressor lube 	systems) have been soap washed.
	Oily water sewer and separation vessels have been washed with soap.
	Chemical storage vessels have been cleaned out or removed from the plant.
	Cooling tower wooden structures have been demolished and removed from the site.
	Industrial gases (e.g. calibration, welding, etc.) have been removed from the plant.
	Natural gas and oxygen lines to the facility have been blinded at the battery limits.
	All catalyst and resins have been removed from the plant.
	All firefighting equipment (e.g. fire water, monitors, extinguishers, foam, foam truck, etc.) remain in the facility 	and are serviceable.
	LEL monitoring equipment and the Whalen alarm system remain in service and are serviceable.
	Provisions are being made for necessary periodic inspection of fire extinguishers. (Should LEL test, alarm test, 	monitor inspection, be included?)
	Electrical power will remain to all facilities and will be serviceable.
	All current utilities to the Tank Farm/Barge Loading Facilities will remain and will be serviceable.
	The process area will be secured by a six foot high chain link fence with 20' wide gates on each side at drive in 	points.  The gates will be locked.
 	The oxygen compressor located in Sunoco area will be secured by a six foot high chain link fence with one pedestrian 	gate (locked).
	Pipe racks on the north boundary of the plant will be within the security fence, pipe racks on the west boundary will 	be outside the security fence.
	Admin and analyzer buildings will be locked and HVAC systems turned off.
	The warehouse will continue to house a reduced level of inventory with HVAC system in service.
	
	Please let me know if you need any additional information regarding the latest outage of the Methanol plant.

	Thanks,
		Tom   713-993-5604


-----Original Message-----
From: Clayton, Paul 
Sent: Friday, November 09, 2001 8:57 AM
To: Meers, Thomas
Cc: 'dhuc@mcgriff.com'
Subject: RE: Enron--Methanol Plant Closure


Tom - any idea when you will have time to respond? Has this been shut-down or is it in process?
Please advise.

Thanks,


-----Original Message-----
From: Clayton, Paul 
Sent: Wednesday, October 31, 2001 12:34 PM
To: Meers, Thomas
Cc: 'dhuc@mcgriff.com'
Subject: RE: Enron--Methanol Plant Closure


Tom -  thanks for advising.

Paul


-----Original Message-----
From: Meers, Thomas 
Sent: Monday, October 29, 2001 8:13 AM
To: Clayton, Paul
Subject: RE: Enron--Methanol Plant Closure


	Paul,

	My apologies for not responding but I've been dealing with other issues and have been out of the office.  I'll try to 
	respond this week.

	Thanks,
		Tom

-----Original Message-----
From: Clayton, Paul 
Sent: Friday, October 26, 2001 9:14 AM
To: Meers, Thomas; Meers, Thomas
Subject: FW: Enron--Methanol Plant Closure


Tom:
Please provide accordingly so underwriters can be advised.
Thanks,


-----Original Message-----
From: Clayton, Paul 
Sent: Monday, October 15, 2001 2:59 PM
To: Meers, Thomas; Meers, Thomas
Subject: FW: Enron--Methanol Plant Closure


Tom:
Pursuant to our conference call with David Huckabay, you were going to provide additional information regarding above. David has summarized this as outlined below.

Please provide at your earliest convenience.

Thanks,


-----Original Message-----
From: David Huckabay [mailto:DHUC@McGriff.com]
Sent: Friday, October 12, 2001 9:42 AM
To: Clayton, Paul
Cc: Sheryl Winslett; Alastair Muir-Taylor; Peter Magyar
Subject: Enron--Methanol Plant Closure


Paul,

Further to our discussion on 10/03/01, we understand that Tom Meers is
looking at providing additional information regarding the above.
Specifically, he is to provide a report advising Enron's plans for this
facility including the details of the "shut down" process, maintenance of
the facility, security at the site, etc. This information will be provided
to Enron Corp Property Package underwriters when received. Our current
understanding is that the facility has not been operating for the past 30
days and is preparing for a longer term shut down phase. We further
understand from our conversation that Enron is clearing the product streams
from the system and that the plant is currently "hydrocarbon free" thus
eliminating a substantial portion of the facility fire hazards. Also, we
understand that the tank farm and control building will continue to operate.
Enron is maintaining front gate security and is considering a separate
fencing around the process area.

Paul, we look forward to receiving the report as requested. Please advise
status.

Thanks and regards,

David Huckabay