---------------------- Forwarded by Rob G Gay/NA/Enron on 12/11/2000 04:01 PM 
---------------------------


Rob G Gay
12/11/2000 04:24 PM
To: Richard A Lammers/SA/Enron@Enron, John Novak/SA/Enron@Enron, Laine A 
Powell/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc: Tracee Bersani/HOU/ECT@ECT, Felipe Ospina/NA/Enron@ENRON 

Subject: OPIC/KFW Next Steps

I spoke with Mary Mervene this morning and the llenders declined to convene 
this week although we will arrange an ECA call for Thursday or Friday.  Mary 
has requested that we do the following:

1) Send the Lenders and S&W the new budget info and the revised change order 
summary.

2) Revise the model to reflect the new costs and the new timeline.

3) S&W will review the model and then we will repeat the exercise of 
calculating fuel oil and Furnas penalty exposures.

4) Finalize sponsor support elements.

This can all occur fairly quickly except I am concerned because we have not 
resolved the budget with Shell,  and theoretically the lenders can take 30 
days to review the model and budget when submitted.

We also need to discuss strategy because we may want to delete the 
contingency from the budget since the lenders are going to want the sponsors 
to commit to some general contingency supporty anyway.