Mark,

Inasmuch as you expect to close the 3rd 1/3rd of the "Preston" deal later 
today, Susan Pereira has confirmed that the East Desk will pay TGT index plus 
$0.005 for this package as described below:

a.  35 month term commencing 2/1/2001 and ending 12/31/2003

b.  firm purchase and firm transport for 90% of the wellhead volume, starting 
at 90% of 5,783 per day and declining

c.  gas daily purchase and interruptible transport for the remaining 10% of 
the wellhead volume

Enron Upstream will keep the desk financially whole should volumes for the 
90% firm component fail to show up on any given day of the 35 month term

The ENA Wellhead Desk will pay you TGT index plus $0.0025

George x3-6992

---------------------- Forwarded by George Weissman/HOU/ECT on 01/17/2001 
10:22 AM ---------------------------
   
	Enron North America Corp.
	
	From:  George Weissman                           12/29/2000 08:31 AM
	

To: Lia Halstead/NA/Enron@ENRON
cc: Gary Bryan/HOU/ECT@ECT, Eric Moon/HOU/ECT@ECT, John 
Griffith/Corp/Enron@Enron, Eric Wardle/HOU/ECT@ECT, Linda 
Roberts/NA/Enron@Enron, Jill T Zivley/HOU/ECT@ECT, Melissa 
Graves/HOU/ECT@ECT, Bob M Hall/NA/Enron@Enron, William Kelly/HOU/ECT@ECT, 
Robert Crockett/HOU/ECT@ECT 
Subject: St. Mary's Production LLC VPP
Hunt Oil Company Myette Point Northwest Field
St. Mary Parish, LA

Lia, Jay Hartman (281.367.8697) has verbally advised us that the SL 14521 #1 
well will be shut-in for a short period and has therefore requested that we 
reduce the existing nomination for 01/2001 at TGT meter 9502 on sitara deal 
540814 from 316 Mmbtu/d (13% of 2,434 Mmbtu/d) to 0.  You indicated you will 
reduce the nomination to 0 for the entire month; we will notify you once 
production re-commences and the nomination should be re-entered at its 
previous level.

Jill, this gas was purchased from Hunt in December by the East Desk, so no 
Wellhead Desk changes are required for this month.

George x3-6992  
---------------------- Forwarded by George Weissman/HOU/ECT on 12/29/2000 
08:11 AM ---------------------------
   
	Enron North America Corp.
	
	From:  George Weissman                           12/28/2000 05:58 PM
	

To: Samuel Schott/HOU/ECT@ECT
cc: Melissa Graves/HOU/ECT@ECT, Lia Halstead/NA/Enron@ENRON, Gary 
Bryan/HOU/ECT@ECT, Mary G Gosnell/HOU/ECT@ECT, Jason Moore/HOU/ECT@ECT 
Subject: St. Mary's Production LLC VPP
Hunt Oil Company Myette Point Northwest Field
St. Mary Parish, LA

Sam, the counterparty record for St. Mary's Production LLC (BA 88272) does 
not include a DnB status.  It is my understanding that our East Desk cannot 
schedule St. Mary's gas without a DnB number.  Could you please have a DnB 
number established for St. Mary's Production LLC?  Thanks.

Due to the holidays, I sent a copy of this note to both Mary and Jason.

George x3-6992
---------------------- Forwarded by George Weissman/HOU/ECT on 12/28/2000 
05:44 PM ---------------------------
   
	Enron North America Corp.
	
	From:  George Weissman                           12/27/2000 08:17 AM
	

To: Judy Townsend/HOU/ECT@ECT
cc: Susan W Pereira/HOU/ECT@ECT, Gary Bryan/HOU/ECT@ECT, Eric 
Moon/HOU/ECT@ECT, John Griffith/Corp/Enron@Enron, Eric Wardle/HOU/ECT@ECT, 
Linda Roberts/NA/Enron@Enron, Jill T Zivley/HOU/ECT@ECT, Melissa 
Graves/HOU/ECT@ECT, Bob M Hall/NA/Enron@Enron, Lia Halstead/NA/Enron@ENRON, 
William Kelly/HOU/ECT@ECT, Robert Crockett/HOU/ECT@ECT 
Subject: St. Mary's Production LLC VPP
Hunt Oil Company Myette Point Northwest Field
St. Mary Parish, LA

Judy,

Confirming our telephone conversation of this morning, please convert the gas 
daily volume of 1,157 Mmbtu/d for 1/2001 on ticket 541140 (intra-desk) to an 
increased volume of 2,434 Mmbtu/d for 1/2001 at Index plus $0.005.

With respect to the Wellhead Desk/St. Mary's ticket, please also convert the 
gas daily volume of 1,157 Mmbtu/d for 1/2001 on ticket 540814 to an increased 
volume of 2,434 Mmbtu/d for 1/2001 at Index plus $0.0025.

Currently, the volumes are split 50-50 between meters 9437 and 9502.  We 
actually expect 87% of the volume at meter 9437 and 13% of the voume at meter 
9502.

George x3-6992

  
---------------------- Forwarded by George Weissman/HOU/ECT on 12/27/2000 
07:59 AM ---------------------------
   
	Enron North America Corp.
	
	From:  George Weissman                           12/20/2000 09:01 AM
	

To: Eric Moon/HOU/ECT@ECT, John Griffith/Corp/Enron@Enron
cc: Gary Bryan/HOU/ECT@ECT, Eric Wardle/HOU/ECT@ECT, Linda 
Roberts/NA/Enron@Enron, Jill T Zivley/HOU/ECT@ECT, Melissa 
Graves/HOU/ECT@ECT, Bob M Hall/NA/Enron@Enron, Lia Halstead/NA/Enron@ENRON, 
William Kelly/HOU/ECT@ECT 
Subject: St. Mary's Production LLC VPP
Hunt Oil Company Myette Point Northwest Field
St. Mary Parish, LA

Eric (Moon) and John, attached are the tickets for the physical part of the 
Preston VPP deal.  Please work with Will Kelly to have them entered into 
Sitara and provide me with the deal numbers.

Eric (Wardle), we'll need to get contract numbers established for the 
Counterparty Firm Agreement (ECT Merchant Investments) and the Counterparty 
Spot Agreement (St. Mary's Production LLC).  Have either of these agreements 
yet been executed?  If not, should we generate a spot gtc for the St. Mary's 
spot production?

George x3-6992

 
---------------------- Forwarded by George Weissman/HOU/ECT on 12/20/2000 
08:31 AM ---------------------------
   
	Enron North America Corp.
	
	From:  George Weissman                           12/19/2000 08:03 AM
	

To: Eric Moon/HOU/ECT@ECT, John Griffith/Corp/Enron@Enron
cc: Gary Bryan/HOU/ECT@ECT, Eric Wardle/HOU/ECT@ECT, Linda 
Roberts/NA/Enron@Enron, Jill T Zivley/HOU/ECT@ECT, Melissa 
Graves/HOU/ECT@ECT, Bob M Hall/NA/Enron@Enron 
Subject: St. Mary's Production LLC VPP
Hunt Oil Company Myette Point Northwest Field
St. Mary Parish, LA

Eric & John

ECT Merchant Investments Corp. has entered into a Volumetric Production 
Payment agreement with St. Mary's Production LLC which provides for the 
dedication of St. Mary's non-operated gas production from the Hunt Oil 
Company operated Myette Point Northwest Field.  ECT Merchant Investments 
Corp. has arranged for the Enron North America Upstream Wellhead Desk to 
manage the sale, nomination and transport of this production.

Could you please get us a quote to purchase this wellhead gas on a firm basis 
based on the following:

a.  30 month term commencing 1/1/2001 and ending 6/30/2003

b.  firm purchase and firm transport for 90% of the wellhead volume, starting 
at 90% of 11,567 per day and declining as defined on the last tab labelled 
"Volume" on the spreadsheet attached

c.  gas daily purchase and interruptible transport for the remaining 10% of 
the wellhead volume

Enron Upstream will keep the desk financially whole should volumes for the 
90% firm component fail to show up on any given day of the 18 month term

Drafts of proposed Deal Tickets are attached.


George x3-6992