Dan,

I can't remember if I have sent this to you already but take a look at it.  
We will need to discuss this tommorrow.
---------------------- Forwarded by Phil DeMoes/Corp/Enron on 11/29/2000 
09:06 AM ---------------------------


Phil DeMoes
11/28/2000 09:46 AM
To: amkilpat@southernco.com
cc:  

Subject: ENRON TRANSPORTATION REQUIREMENT

Alan,

Did your attorney have any opinion on this language ?
---------------------- Forwarded by Phil DeMoes/Corp/Enron on 11/28/2000 
09:43 AM ---------------------------

Les Webber @ ENRON_DEVELOPMENT

11/09/2000 04:32 PM
To: Amkilpat@southernco.com
cc: Phil DeMoes/Corp/Enron@ENRON 

Subject: ENRON TRANSPORTATION REQUIREMENT


	

Alan:

Thank you very much for talking today with Phil and myself.  We want to 
continue this dialogue as we attempt to resolve our quality issues at Elba 
Island with Southern LNG (and El Paso Merchant Energy). 

I wanted to send you, on a confidential basis, the firm transportation 
obligations as set forth in our arrangements with El Paso Merchant Energy, in 
order to determine how they might complement any you might have with respect 
to your natural gas demand load upstream of the Elba facility on the Southern 
Natural Gas pipeline system.


"If Enron Americas nominates gas for transportation on the SNG pipeline 
system, (i) Enron Americas or an affiliate thereof must have subscribed 
(directly from SNG) to firm transportation on the SNG system for a term not 
less than the lesser of ten (10) years or the then-remaining term of the 
Agreement, (ii) the Elba Island Facility must be, and remain during the 
duration of such firm transportation, the primary receipt point for such firm 
transportation, and (iii) such firm transportation (in MMBtu per day) shall 
be for a quantity equal to the quantity of gas (in MMBtu per day) nominated 
in the Redelivery Notice to be redelivered to Enron Americas on the SNG 
system ((i), (ii) and (iii) collectively, the "Firm Transportation 
Requirement")."


After you have had a chance to evaluate these provisions, I would like to 
discuss the matter with you.

Regards.
Les Webber