NGPL agreed to allow ENA to sell our NGPL storage gas to Oxy on February 7, 2002.  This gas sale was completed using 1) in-ground inventory transfers to Oxy at the various storage locations and 2) the release of ENA's storage contracts (i.e. K# 114786 & K# 114846) at the maximum rates beginning on February 7th through the end of each of the terms of the agreements.  I need your help on making sure everything is accounted for properly.  Going forward, this is what the NGPL NSS Storage invoices should look like:


K#114786 (18,283 Dth/d MDQ @ $3.07/Dth/mo through 4/30/02)

February 2002 Invoice of $56,128.81 will also show a credit of $44,100.97 for the capacity release to Oxy for February 7-28.  Net amount due NGPL is $12,027.84.
March 2002 Invoice of $56,128.81 will also show a credit of $56,128.81 for the capacity release to Oxy for March 1-31.  Net amount due NGPL is $0.00.
April 2002 Invoice of $56,128.81 will also show a credit of $56,128.81 for the capacity release to Oxy for April 1-30.  Net amount due NGPL is $0.00.
	
	
K#114846 (13,333 Dth/d MDQ @ $3.07/Dth/mo through 6/02/02)

February 2002 Invoice of $40,932.31 will also show a credit of $32,160.93 for the capacity release to Oxy for February 7-28.  Net amount due NGPL is $8,771.38.
March 2002 Invoice of $40,932.31 will also show a credit of $40,932.31 for the capacity release to Oxy for March 1-31.  Net amount due NGPL is $0.00.
April 2002 Invoice of $40,932.31 will also show a credit of $40,932.31 for the capacity release to Oxy for April 1-30.  Net amount due NGPL is $0.00.
May 2002 Invoice of $40,932.31 will also show a credit of $40,932.31 for the capacity release to Oxy for May 1-31.  Net amount due NGPL is $0.00.
June 2002 Invoice (Two Days) of $2,728.82 will also show a credit of $2,728.82 for the capacity release to Oxy for June 1-2.  Net amount due NGPL is $0.00.


Phil & Maria -- ENA's "Payment # 3 for NGPL Storage" will be revised to $20,798.81 and is due on March 19th or 20th.   The increase from our earlier estimate is due to taking a few more days to complete the Kinder Morgan Master Plan.

Kim & Chris -- Technically for February we should have put in Sitara tickets for the capacity release credit.  I told Kim just to put in the net amounts for Feb 02.  You get the same answer and it seems like a very simple solution.  Please get together and work out how the remaining months should be done.  Let me know what you decide.

Thanks for your help,

Ruth