Capacity Marketing - SEMPRA renegotiated a firm contract for April-October 2001.  TW received an additional $.07 on 14,000 MMBtu/day for moving primary delivery POI from PG&E Topock back east to SouthWest Gas; incremental revenue was $209,720.

Sempra has also negotiated a true Daily Firm contract for the month of February 2001.  They purchased an additional 15,000 MMBtu/d to Needles made available by the higher window at SoCal and higher operating pressures on TW.   The volume will be index-priced daily based on volume transported.  Assuming all the volume flows, expected revenue could be in excess of $2,000,000.

Red Cedar - We are working with Operations and Facility Planning to coordinate the tie-in of the new receipt point in the La Plata Station yard.  All parties have agreed to the tie-in sometime between April 2 - 5.  We will provide the required notification to Northwest Pipeline once Planning notifies us of the estimated downtime and resulting cut in flows.

Project ___________ - TW's westward expansion moved into high gear this week as better project definition was achieved and groups began assembling data for the FERC application.  Filing is anticipated to take place mid-February.  Customer contacts were also made providing deal parameters to interested parties (response has been positive thus far).

El Paso Field Services - EPFS has requested a meeting with TW Operations for next week to discuss the appropriate facilities needed to meet our specifications.  We have worked with Field Operations and Facility Planning in identifying the appropriate people to attend.

NGPL  - Met with representatives this week to evaluate turning the existing Winkler interconnect back into a receipt point on TW's West Texas lateral.  The Marathon Indian Basin gas plant is expanding on NGPL and shippers are looking to move more volume to premium western versus depressed Chicago markets.  NGPL believes there is 50,000 MMBtu/d trapped behind the plant due to capacity constraints.  Ideally, they would like to move 100,000 MMBtu/d to TW.  NGPL will meet with interested parties to see if there is enough justification to set compression and sell the space on a firm basis.  Their timing, contingent on FERC approval, is 12 months which coincides well with TW's west expansion.