jeff and lisa.....rick asked me to foward this inquiry to you.  I'll assume 
the two of you can coordinate and will get back to David.  If you have 
questions or if there's a problem just call me.  thanks!!


----- Forwarded by Janel Guerrero/Corp/Enron on 07/16/2001 10:28 AM -----

	Richard Shapiro
	07/16/2001 10:24 AM
		
		 To: Janel Guerrero/Corp/Enron@Enron
		 cc: 
		 Subject: Re: Enron liquids inquiry

Please talk to Jeff and Lisa Yoho- Thanks.


From: Janel Guerrero on 07/16/2001 10:17 AM
To: Richard Shapiro/NA/Enron@Enron, James D Steffes/NA/Enron@Enron
cc:  

Subject: Enron liquids inquiry

I took a call on Friday from one of the guys I worked with in Global Markets, 
and he was asking about the CA market....specifically the following:

Apparently as a result of the BP/Arco merger a bunch of storage agreements 
for diesel fuel are being cancelled and there isn't a home for the barrels 
any longer.  

Enron is looking into initiating a deal with Kinder Morgan and/or EOTT 
wherebuy KM/EOTT would own and operate a new set of storage tanks and Enron 
would lease the tanks and then sublet them to our counterparties.  (probably 
near LA).

David was inquiring about the regulatory process and the political climate in 
CA as a result of the energy crisis.  I told him that I wasn't sure on 
process/timeframe for obtaining permits for storage tanks and that it was 
worth looking into.  

Do you want me to send this inquiry to Dasovich or someone else in CA?  David 
needs an answer by Wednesday.

David Loosley
3-9109