do we have a folder for this?
---------------------- Forwarded by Jeffrey A Shankman/HOU/ECT on 10/16/2000 
11:08 AM ---------------------------
   
	Enron Capital & Trade Resources Corp. - Europe
	
	From:  Chris Connelly                           10/15/2000 04:56 PM
	

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 40/2000




Highlight
Relatively quiet week with Panamax rates drifting until Friday when rates 
seemed to stabilise.  In the cape market, rates continue to increase across 
the board with a rush of new cargoes being quoted in the market ( EDF trading 
leading the pack ).  Glencore and Anglo came into the market this week 
looking for 1 year freight rates into the UK for the BE tender with more 
mines expected to look for rates next week.  We had another visit from 
Bocimar this week as they wanted to meet the guys from MG to discuss hedging 
some of their freight exposure with aluminium which has a 75% correlation 
with the cape freight market.  Furthermore, they wanted to start trading coal 
in ARA and tanker freight which should be going live next week on EOL .

On the ABC front, we are hearing that they are in negotiations with Zodiac, 
another cape owner, but do not know the time frame of any potential deal.  We 
had this week a call from Coeclerici asking us if we were interested in 
joining forces in buying ABC so this makes a total of 4 companies having 
approached us asking to team up and as a result, we plan on exploring the 
potential of creating a consortium of buyers for ABC.

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


Bunkers:  With events in the middle east and continued low stocks of Gasoline 
in the US, the Fuel Oil/Bunker market is rocketing upwards with an increase 
of $30 per ton in Rotterdam in 10 days.  Over the long term these crude 
prices should derail the world economy and the freigth market but in the 
short term this will continue to sustain the freight market

Deals Done
Physical Freight
ECS freight 
Fixed a panamax for early November loading from Drummond to LBT at $9.80


Third parties freight deals
Sold 4 capes to Intercore from Puerto Bolivar to Ijmuiden + Amsterdam from 
April to October 2001. 


OTC 
FFA s
Bought 150,000 tons Bolivar/Rotterdam at $8.15 for Q4 2000 from Bocimar and 
bought a panamax for Q4 2000 and Q1 2001 from Andre
      
EOL
Launching a new route on EOL next week: US Gulf to Japan on Panamax

Travels
Pierre is back from Asia and Andy and myself are all in the office