You need to speak with Reps from Exxon and Highland.  Ask them about their 
Lone Star transport allocation.  They had to transport the gas on Lone Star 
to sell to us.  So, Lone Star should have given them an allocation on their 
transport deliveries at that point (or their supplier's contracts) to match 
the sale volume.  Adjust our purchase amount from each party based on the 
transport allocation.

D




Rebecca Griffin@ENRON
12/07/2000 02:47 PM
To: Daren J Farmer/HOU/ECT@ECT
cc:  
Subject: TXU Lone Star

I am working on clearing an old TXU Lone Star/Gas Distribution balance from 
8/99 and 9/99.  We originally billed TXU on nominated quantities and they 
have shortpaid us due to meter adjustments.  These are brokered deals where 
we sold to TXU and purchased from ExxonMobil and Highland.  TXU has provided 
meter support since the deals were on Lone Star pipeline, however, I am 
unsure how to have Volume Management reallocate.  

For example, we originally sold 10,000 mmbtu on 8/3/99 to TXU and purchased 
1,200 mmbtu from Highland Energy and 8,800 mmbtu from ExxonMobil.  TXU shows 
the total amount of gas on 8/3/99 was 9,240 mmbtu.  How should the purchase 
piece be allocated between ExxonMobil and Highland since this was a brokered 
deal?

August 1999:

Sale
TXU Electric & Gas  deals# 104975, 104256, 104738
Lone Star Gas Co. deal# 101985
Purchase
ExxonMobil Corp. deal#101522
Highland Energy Co. deal#101530

September 1999:

Sale
TXU Electric & Gas deal#109046
Purchase
ExxonMobil Corp. deals#101522, 108564
Highland Energy Co. deals#101530, 108146


Please let me know if I need to speak with someone else about this.  Thanks 
for your help.

Thanks,
Rebecca