Ben, please find attached below the preliminary O&M cost estimate for O&M 
services to mobilize and operate the 4 x LM6000 peaking facility to be 
situated at an existing UAE cogen plant in Lowell, Mass.   It assumes some 
allocated costs for common facilities, operating/admin expenses and staff at 
the UAE plant to be added to the incremental expenses that are estimated to 
occur as a result of the plant addition. Please review it and consider its 
accuracy to be +/- 25%. Call if you have any questions. 
---------------------- Forwarded by Scot Chambers/ENRON_DEVELOPMENT on 
02/16/2000 12:06 PM ---------------------------


Scot Chambers
02/15/2000 08:09 PM
To: Mark Dobler/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Tom 
Callaghan/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, David 
Ehler/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Mitch 
Robinson/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, John W 
Cates/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Richard 
Bickings/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:  

Subject: Lowell, MA O&M Estimate

Please review the attached O&M estimate for the Lowell, Massachusetts 4 x 
LM6000 peaking facility to be situated at an existing UAE cogen plant. UAE 
will own and operate the plant and ENA will have option on the output for 
about 3 to 5 years. The O&M cost estimate shown assumes the hire of 2 O&M 
techs to cover the LM6000 plant for the 2 peak period shifts. Current staff 
at UAE plant is reported as 7 total (including admin) which seems low for a 
cogen, so I've shown the addition of 2 techs. It assumes an allocation of 
some existing labor and admin/operating costs from the existing plant, but in 
no case is the "annual total" for the fixed costs more than 1/2 of what we 
could do it for ourselves if it was "stand alone". Maintenance and chemicals 
are shown as variable. The fees are shown for what we used for the Wilton 
Center Expansion ($40M - Mob; $80M - Annual Ops).



thanks, Scot