Grant,
 I do not think that their new language will work in the way they think it 
will.  What Bruce indicated to me was that if they determined that they had 
volumes after 9:00 they would offer to us.  If we didn't accept, then they 
wanted the right to go to another market which might be in the Chicage area.  
 My understanding of this deal was that we were only obligated to take 
volumes if they were nominated before 9:00.  Is that correct?  Please call me 
so that we can discuss.
----- Forwarded by Dan J Hyvl/HOU/ECT on 04/20/2001 04:26 PM -----

	"Bruce Kohrs" <Bruce_Kohrs@keyspancanada.com>
	04/19/2001 09:41 AM
		 
		 To: <dan.j.hyvl@enron.com>
		 cc: grant.oh@enron.com, Michael_Kleiner/CRESTAR1/Crestar_Energy%Exchange 
<Michael_Kleiner@keyspancanada.com>, 
Brian_Houghton/CRESTAR1/Crestar_Energy%Exchange 
<Brian_Houghton@keyspancanada.com>, "Jim Pearson" 
<Jim_Pearson@keyspancanada.com>
		 Subject: proposed amendment to CEMC/Enron Alliance AOS agreement


Dan, after talking to Mike Kleiner from Gulf and Grant Oh we determined the
wording in the contract handcuffs Crestar to move volumes after 9:00am MST
if additional volumes become available that Crestar did not have prior to
9:00am MST. Mike came up with the wording below to give Crestar the option
to move gas after 9:00am.

Please review and if you are in agreement please make the change to the
subject agreement.

Thanks,
------

Bruce Kohrs
Phone: (403)205-7684
Fax: (403)266-1947
e-mail:bruce_kohrs@keyspancanada.com


RE: Transaction No. 1a; March 22, 2001

We are writing to obtain your waiver of certain requirements under the
subject agreement.

The specific circumstance of concern arises where, prior to 9:00 am on a
Nomination Day, CEMC advises Enron that it will not deliver gas or will
deliver less than the maximum DCQ, because CEMC does not expect to have
sufficient volumes available on the next Gas Day to enable it to utilize
all
of Customer's AOS.  Should circumstances change after 9:00 am on a
Nomination Day such that CEMC expects to have additional volumes available
on the next Gas Day, CEMC wishes to be authorized to utilize Customer's AOS
to deliver those additional volumes.

If you agree to allow CEMC to deliver volumes in the circumstance outlined
above, we request that you confirm your agreement on the duplicate copy of
this letter provided for that purpose.

------

Bruce Kohrs
Phone: (403)205-7684
Fax: (403)266-1947
e-mail:bruce_kohrs@keyspancanada.com