ADMINISTRATIVE

Enron Campus - Donnie Willmann, Ken Lovejoy, Russ Tucker, Steve Allen, Scott Watson and Henry Van met with Mike Terraso, to discuss emergency procedures and evacuation plans for all Enron facilities. Donnie and Ken will complete an initial evaluation of the existing plans, procedures, and protection currently available and will schedule a meeting of the Enron Safety Subcommittee to discuss the results of the initial evaluation and will develop recommendations. 

ETS Arizona Stations Air Permiting - US EPA Region IX has agreed to expedite the air permit public hearing for station 3 and 4 projects on the Navajo Nation land. However, regarding station 1 and 2 projects the air permit engineers for Arizona Department of Environmental Quality were not motivated during a meeting with ETS  to expedite the permit process from 13 months.  Local counsel will attempt to have the agency counsel get a meeting with higher level personnel early next week.  Joe Hartsoe and Pat Shortridge will be informed of current status. 

ENRON GLOBAL ASSETS
(Central America, South America and Asia)

Puerto Rico, San Juan Gas - Donnie Willmann and Ken Lovejoy reviewed the draft Remedial Action Implementation Report that will be sent to the Puerto Rico Environmental Quality Board. A conference call will be held September 20, 2001 with San Juan Gas and Retec to discuss this report. The report will be sent to David Nutt for review prior to finalization.
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Guam Asset Disposal Program BPC, SPC and - Alan Stringer provided information on the need for and scope of a pre-divestiture environmental audit of the asset to protect Enron Future Value at Risk to Bruce Lundstrom. 

ENRON INDUSTRIAL MARKETS

Alabama, Mobile Energy Services - Ken Lovejoy was at the Mobile Plant last week and met with the new EHS Manager, Steve Black, to develop an environmental compliance calendar for the remaining months of 2001.

ENRON ENERGY SERVICES

Indiana - EBSI - ELI LILLY PROJECT - Bill Curra developed air procedures for Eli Lilly Clinton Laboratories. Contact - Mike VanWinkle, EBSI EHS Manager.

ENRON CLEAN FUELS

Texas, Methanol Plant - Ken Lovejoy is working with Scott Williams, Operations Engineer, to develop a protocol for disposing of all wastes in connection with the plant shutdown. 

ACQUISITIONS, TOLLING AGREEMENTS, etc.
CONFIDENTIAL
  
Project Southwood, EIM - The potential acquisition of Georgia Pacific's ownership in the Leaf River pulp and paper mill near Mobile, AL.  David Burnett (Pilko & Associates) has been contracted to conduct the Environmental Assessment of the site.  Don Stevens received draft Environmental Assessment from Pilko and replied with comments/changes. Mike Terraso signed off o the environmental aspects of the DASH.

Project Oz, EGM - Potential crack spread swap on a refinery. Follow-up recommendations for the deal team is a complete review of the facility's current compliance status with air quality regulations and Process Safety Management requirements and an evaluation of the actions that the facility must take in order to implement proposed facility modifications on schedule.  Don Stevens assisted Marc De La Roche in preparing environmental risk wording for the dash which is to be circulated next week.

DEPARTMENT PROJECTS

Corporate Responsibility Task Force and Sub-Committee Work - Susan Worthen, Catherine McKalip-Thompson and Lauren Iannarone compiled recommendations from each sub-committee, which will be distributed by Kelly Kimberly to all sub-committee members to review prior to her discussion with Ken Lay.

Energy and Biodiversity Initiative - Joe Kolb is continuing his review of various documents being developed as part of the multi-company, multi-environmental group endeavor.  He is coodinating his review and comments with Catherine McKalip-Thompson.  A conference call for all EBI participants is scheduled for September 28th.

Corporate Responsibility Annual Report - The 2000 Corporate Responsibility Annual Report is located on the web at <http://ehs.corp.enron.com> and at www.enron.com/responsibility <http://www.enron.com/responsibility> . Susan Worthen contacted Jeannie Mandelker about an e-biz feature article on the report to help communicate to employees that the report is available.  Five hundred (500) copies of the report were delivered to Habiba Ewing for the upcoming open house for the Calypso project in the Bahamas.  The balance of the hard copies are expected next week.  Susan Worthen is compiling a distribution list that will be circulated to key CR and EHS staff.  The purpose of the distribution list is to ensure that duplicate copies are not being provided to the same individuals and better coordinate our external marketing efforts.

Environmental Emerging Issues Database/Social Responsibility Risk Assessment Tool - Gavin has talked with Catherine McKalip-Thompson about the new database and she is providing feedback. Gavin has combined the Social Responsibility Risk Assessment tool with the Corporate Responsibility Issue Tracker. The system is ready to be tested as a prototype and if it works properly it will then be developed into a more robust database. Also, Gavin has been talking with Elizabeth Linnell about storing all of the documents for the databases on Live Link. Gavin has also finished the development of a prototype database that will track business related emerging environmental and corporate responsibility issues that could have a material impact on Enron and the industries that it is involved with. The database will help in defining the issues, identifying the strategic significance of the issue, analyze the background and life cycle of the issue, determine the stakeholders, outline the main planning challenges and suggest options or strategies. 

REGULATORY TECHNICAL ANALYSIS

Methanol Plant Permitting Issues - Marc Phillips is providing information to the methanol plant about the permit issues associated with doubling the methanol tanks and loading throughput from the currently permitted level of 175,000,000 gallons per year.


Office Emergency Response Audit Program - Russell Tucker distributed to all Enron safety managers /directors a copy of an audit program to evaluate existing office emergency response plans to include addressing of airplane collisions into buildings. This program can also be effective in the constructing of an office emergency response plan.

CORPORATE FACILITY AUDITS 
Steve Allen made contact with various corporate personnel (John Brindle, Lauren Iannarone, Joann Hill) who will sponsor revisions to the existing Management Standards and Guidelines that will be applicable to all Enron Business Units.
ENVIRONMENTAL STRATEGIES GROUP
Greenhouse Gas Emissions Trading -- TGS -  Lisa Jacobson is working with Henry Van and Marc Phillips to provide strategic advice on how to monetize greenhouse gas emissions reductions from pipeline leak repair projects in Argentina.  Indentified the Andean Development Bank (CAF) as a potential source of funding to package emissions credits generated from leak repair initiatives.  Engaged in preliminary discussions and sent information on the leak repair project to the CAF for review.  Arranged meeting to coordinate possible interest within EGM Emissions group for purchase of credits.

Emissions Regulatory Strategy -- Alberta PPAs -  Jeff Keeler, upon recommendation passed on by Gus Eghneim, coordinated with Environmental Strategies team, ENA Canada and Canada Government Affairs on possible advocacy strategies related to protection of Enron's current and future PPA positions with TransAlta in Alberta, Canada in light of possible increased regulatory activity on NOx, SO2, and mercury.  Jeff, Mary and Lisa are preparing recommendations for positions and ongoing advocacy strategy.


Laura Glenn
Enron Corp
Environmental, Health & Safety
Phone: (713)646-7330
Fax: (713)345-6164
email: Laura.Glenn@enron.com