The following 2 scenarios were run and meet our return requirements.  The total volume of 306 comes from the 240 suggested starting volumes and the additional volumes come from expiring El Paso/MGI transportation agreements.

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1)  306 total volume

240 @ $.2479 for yrs 1-15
26 @ $.2479 for yrs 3-15
40 @ $.2479 for yrs 4-15

2)  306 total volume

240 @ $.2600 for yrs 1-15
26 @ $.1883 for yrs 3-15
40 @ $.1883 for yrs 4-15
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We would suggest Showing PEMEX either scenario but using the round numbers of $.25 (instead of $.2479) for scenario 1 and $.19 (instead of $.1883) for scenario 2.

Please let me know if you have a preference.  We would like to fax one of these scenarios to Jorge @ 3:00 today so that they can digest it and use it for a starting point for tomorrow's meeting.

Call me if you have any questions.

Mark 

Mark McConnell
Transwestern Pipeline Company
713-345-7896   office
713-822-4862   cell
713-646-2551   fax
mark.mcconnell@enron.com