The new date to sign is 10/31.  Ballentine told me he has his earnest money ready and his client is ready to go.  Ballentine is mulling over the tax language we recently added.  I'm confident the deal will happen.

We could do the deal with Ballentine and then sell our ROFR rights to Mr. Babiuk.  The rights expire in twelve months, but they could be worth $100,000 or so.

I'll continue dealing with Ballentine unless I hear otherwise from you.

John

 -----Original Message-----
From: 	McCarty, Danny  
Sent:	Thursday, October 25, 2001 9:33 AM
To:	Millar, John
Subject:	RE: Alligator Alley Stock Sale Agreement

John,
    Stan Babiuk of El Paso called again to express their interest in buying Sunniland.  How sure are you that this deal will happen?

Dan

 -----Original Message-----
From: 	Millar, John  
Sent:	Friday, October 19, 2001 10:55 AM
To:	McCarty, Danny
Cc:	Gadd, Eric
Subject:	Alligator Alley Stock Sale Agreement

 << File: PSA v7 10-17.doc >> 

Danny,

Julie has me on your schedule Monday 10/22 at 1:30pm to sign the attached agreement.  I will bring you two copies with legal sign off and with Ballentine's signature.  Here are the terms:

All shares of Enron Alligator Alley Pipeline Company will be sold to ID3Energy Company, which is Ballentine's company
Price is $1,000,000
ID3 puts up $50,000 earnest money 
ID3 takes assets as-is, where-is
ID3 will complete, at their expense, the environmental remediation work plan within twelve months
Enron has right to match any bona fide offer to construct liquid or gas pipelines in the right-of-way for a twelve month period
Enron will negotiate an operating agreement to provide ID3 with field services for no longer than six months
Close in 90 days

We would like to have this executed on Monday 10/22.  If you don't think that's possible, please advise and Julie can reschedule.

Thanks,
John