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---------------------- Forwarded by Jeffrey A Shankman/HOU/ECT on 10/02/2000 
12:09 PM ---------------------------
   
	Enron Capital & Trade Resources Corp. - Europe
	
	From:  Chris Connelly                           09/30/2000 10:56 AM
	

To: George McClellan/HOU/ECT@ECT, Stuart Staley/LON/ECT@ECT, Jeffrey A 
Shankman/HOU/ECT@ECT, Mike McConnell/HOU/ECT@ECT, Kevin 
McGowan/Corp/Enron@ENRON, Tom Mcquade/HOU/ECT@ECT
cc: Peter Bradley/LON/ECT@ECT, Jez Peters/LON/ECT@ECT, Candace 
Parker/LON/ECT@ECT, Kenny Nicoll/LON/ECT@ECT, Dimitri Taylor/LON/ECT@ECT 
Subject: Freight weekly report


Enron Shipping Services Weekly report 38/2000




Highlight
Sold four capes to Preag for next year from Colombia to Rotterdam at $7.30 
and simultaneously bought four capes from Coeclerici at $ 7 to close out 
position at a $150,000 profit.  Fixed a Bocimar vessel for our October 
commitment to Electrabel from Puerto Bolivar to Hunterston at $8.10 and also 
fixed another Coeclerici vessel from Colombia to Rotterdam to cover our short 
to Preag in November.  Still have a late November short against Cargill from 
Richards Bay to Rotterdam to cover within the next couple weeks.

On the ABC front, met with Elcano ( largest Spanish shipping company ) to 
discuss a possible partnership to acquire ABC but quickly realised that they 
do not have the stomach for such a big deal.  However, did discover that they 
are quite active on the LNG side and are about to close on a LNG vessel 
purchase within the next couple weeks.  We are definitely going to stay in 
contact to potentially develop some alliances on the LNG side.

Late in the week heard that Bocimar had met with ABC not to purchase them but 
to discuss a pooling agreement.  From good sources were told that ABC had no 
interest in Bocimar's offer and therefore we are planning on meeting ABC to 
continue to express our interest in acquiring their fleet and more 
importantly to continue to frustrate Bocimars'attempt to control the cape 
fleet.     

We have completed our 'Enron Shipping' powerpoint presentation for EOL and we 
expect to have a shipping section within the EOL platform by mid next month 
in time for Coaltrans.  This new platform will allow our customers to log 
into EOL and go directly to our shipping web page to be able to trade with 
us.  Currently, customers have to access the international coal web page to 
access our shipping products which does not make sense to our customers

Also Pierre met in Paris with Usinor ( 3rd largest steel mill in the world ) 
to discuss some potential freight deals and also express our interest to sell 
them Synfuel next year to which they seemed quite interested.  Will revert to 
them with prices shortly.


Market
	Short term	Medium term	Long Term
Handy Max	Down	Flat	Flat
Panamax	Down	Down	Down
Cape Size	Flat	Flat	Flat


Panamax : Market fell all week long but not to a great extent due to some 
worry about delays in US grain shipping activity
Capes : After a furious rally last week the market was flat this week as 
owners and charters had fixed all their October requirements and were 
starting to discuss November business with neither side wanting to commit
Crude markets remaining still over $30 a barrel even with the US trying its 
hardest to make it deep into the mid twenties, has also continued to make 
owners unwilling to discount next years freight rates
Deals Done
Physical Freight
ECS freight 
Fixed  2+1 geared panamaxes from Indo to Hong Kong for November to January 
2001 at $6.35.

Third parties freight deals
As mentioned above fixed with Preag, Bocimar and Coeclerici on Capes


OTC 
FFA s
Bought 75,000 tons from SK Shipping  from Colombia to Rotterdam at $ 8.15 for 
October settlement

EOL
Traded with Bocimar twice and with Klaveness once this week.  Life to date 
total EOL trades are approaching 300,000 tons.  Legal late this week has 
finally authorised us to trade with NCSC on EOL so we expect to add another 
counterparty shortly.  Furthermore, we are planning a meeting with Calypso 
fund management and credit to come to a solution to allow the fund to trade 
with EOL

Deal Flow
Given the coal desk rates for Rustock, Mission, Spanish ports, Pier 9 to 
rotterdam  and also have sold to the coal desk a cape from Australia to 
Rotterdam for Feb/March 01 loading

Miscellaneous
Our new operations person is joining us this Monday ( Dorte ) and she joins 
us from Norden.  Norden is a large Danish shipping company where she had been 
working for the last 4 years

Travels
None.