Steve,
I spoke with Eric this morning.  He'll continue to work on documenting the estimate, and to prepare maps and a schematic of the proposed facilities.  This will be necessary down the road not only for your files but for purposes of selling El Paso on the joint operation protocol/procedures.  We'll also need the project engineers to verify the assumptions/design criteria for the facilities to assure adequacy of service to both phases of the project.

Eric and his crew are working on a couple of other pretty important projects this week and most likely won't have a chance to complete the aforementioned documentation and mapping until late next week.  Either Eric or I will give you an update next week.   Likewise, we'd appreciate it if you could keep us advised of the progress you guys make on the development of this project.  

We definitely appreciate working with you on this deal.






"Steve Rutherford" <steve@apiweb.com> on 02/03/2001 04:37:37 PM
Please respond to <steve@apiweb.com>
To:	<Eric.Faucheaux@enron.com>
cc:	<Jeffery.Fawcett@enron.com>, <Terry.Galassini@enron.com> 

Subject:	RE: Cost Estimates - Belen, NM Power Plant


Eric,
Thanks for this information. This is what we need at this stage of
developing the project.
Steve Rutherford
American Process Inc.

-----Original Message-----
From:	Eric.Faucheaux@enron.com [mailto:Eric.Faucheaux@enron.com]
Sent:	Friday, February 02, 2001 6:43 PM
To:	steve@apiweb.com
Cc:	Jeffery.Fawcett@enron.com; Terry.Galassini@enron.com
Subject:	Cost Estimates - Belen, NM Power Plant

Since time is of the essence for you, Jeffery has requested that I prepare
and send an Order of Magnitude Estimate for connection pipelines and
measuring facilities for the proposed project.  The estimates include
overhead and contingencies but do not include gross up for income taxes.

Pipelines - $500,000
   30"x8" hot tap and 4400 LF of 8" pipeline from TW P/L to measuring
   facilities/EPNG tie-in
   1000 LF of 10" pipeline from measuring facilities/EPNG tie-in to
   proposed plant site boundry

Measuring Facilities - $550,000
   Ultrasonic Measuring facilities and regulating facilities for TW and
   EPNG pipelines

EPNG Hot-tap and Monitoring Facilities - $200,000
   30"x8" hot tap and flow regulation and monitoring equipment

Total Project:  1,250,000

Futher details may be provided within the weeks to follow that shall
include flow schematics, layout plans, sizing details, etc. where time will
be permitted.  I may be reached by cellular,713/854-6716, or pager,
887/727-0018, if any questions you may have need to be answered before
Monday; otherwise, I can be reached at the office at 713/853-3395.