entouch newsletter business highlights
enron industrial markets
enron industrial markets announced the signing of definitive agreements with huntco , inc . under which over a 15 - year period enron will provide inventory price risk management services and will eventually provide more than 600 , 000 tons per year of hot - rolled , cold - rolled and galvanized steel products to huntco steel . the agreements provide enron access to huntco ' s network of steel distribution centers nationwide . the agreements also provide for enron ' s acquisition of huntco ' s cold rolling and certain coil pickling operations in blytheville , arkansas .
these transactions with huntco have the potential to fundamentally change the way steel is bought and sold in the united states . it gives enron immediate access to physical steel and positions enron geographically to serve the steel industry in a variety of ways . in addition to providing physical products on both a spot and term basis , eim ' s goals for the steel industry include developing commodity risk management products , providing structured finance products and establishing the market - making capabilities that enron has brought to the natural gas , power and other commodity markets .
enron north america - upstream products
upstream products has partnered with duke energy field services ( defs ) to close a 20 - year ngl exchange and transportation deal with formosa hydrocarbons and williams energy field services to handle raw make product from the williams markham plant . formosa hydrocarbons is building a 40 , 000 bpd fractionator to handle this and other gulf coast ngl production . the accompanying pipeline will be known as the seabreeze pipeline system and will be constructed by defs . texas brine llc will provide ngl storage services for formosa hydrocarbons on this system . primary production for this system is coming from the boomvang nansen field in the deepwater gom and will be the first deepwater gom production to come onshore in texas .
upstream products has also worked to arrange a 20 - year transportation lease agreement on the dean pipeline ( owned by teppco ) for refinery grade propylene service to be utilized by formosa plastics . coupled with this transaction , enron clean fuels has entered into a propylene storage agreement with formosa plastics to utilize ecf ' s mt . belvieu storage facilities . in addition , enron global markets has been able to amend its current transportation agreement with teppco to prematurely terminate a take - or - pay obligation and realize additional transportation revenues from interim ngl production coming from the williams markham to be delivered to mt . belvieu .
upon close , upstream products was monetized out of its initial position by defs and retained a risk - free net profits position on the seabreeze pipeline going forward for an additional 20 , 000 - 40 , 000 bpd of excess capacity on the system .
ena west power
southwest power , an ena affiliate , signed a 222 mw 15 - year tolling agreement with allegheny energy supply for all of the output of southwest ' s las vegas expansion project , scheduled for completion in september , 2002 . with the tolling agreement done and construction underway , the project will now be marketed to qualified generators .
in the news
" to truly understand enron ' s jeffrey skilling - the hypersmart , hyperconfident chief executive of what may now be the largest energy trading company on the planet - head to your local video store and check out that classic american cinema , wayne ' s world . at 15 , skilling helped launch a no - budget television station in aurora , illinois - the very thing that mike myers and dana carvey so famously spoofed on saturday night live and in two movies . the tv skit even begins with a sketch of a teenage cameraman , the role of the real - life skilling . " - - - randall lane , worth magazine . may 2001 .
calgary , alberta - - enron canada has settled its lawsuit with ngx , canadian enerdata , om gruppen and richard zarzeczny , regarding the compilation and methodology for calculating the alberta natural gas price indices published by the canadian gas price reporter . by the terms of the settlement there will be a joint press release issued regarding the settlement , which is to be the only public communication regarding the matter unless agreed to by all parties . otherwise the settlement is confidential to the parties . accordingly , there is to be no formal or informal discussion with media , colleagues , competitors , counterparties or otherwise .
welcome
new hires
egm - salil pradhan , randy o ' conner , ricardo charvel , greg fields , ken newman , john ashman , rick cantrell , tim klaiber , trevor woods ,
eim - tim asterman , maxine leclaire , jerry newton , philip siewert , janamon johnson , darralyn briskey , theodore rogers ,
ena - rae meadows , tiffany winship , adrianne engler , kimberly yates , jackie verity ,
transfers ( to or within )
ena - christa winfrey , mario alonso , paul rizo - patron , nick ploitis , misti day , robert cothran , susan wilson , diane cutsforth , david owen
egm - mark friedman , john groves , deirdre mccaffrey , william windle
enrononline statistics
below are the latest figures for enrononline as of may 9 , 2001 .
* total life to date transactions > 963 , 575
* life to date notional value of transactions > $ 579 billion
nuggets & notes
reminder : brown bag lunch , thursday , may 17 at 11 : 30 am in 5 c 2 . the speaker is michael l . miller discussing principal investments .
" historically , newsprint has been sold under strong relationships as a highly differentiated , branded product to " very discriminating " buyers at newspaper publishers . eim believed differently . by the end of march , eim had succeeded in closing on its 2 nd newsprint mill , making it the 7 th largest newsprint manufacturer in north america . remarkably , in just 2 months , eim ' s newsprint team has succeeded in closing $ 100 mm total notional value " enron commodity style " fixed price contracts with terms of 1 to 5 years ? . . and they said it wasn ' t a commodity . "
rodney malcolm - vice president , forest products sales and marketing
travel tip of the week : book flights 7 days in advance . the cost savings can be considerable if you plan ahead - at least 7 days .
for example : houston to portland
less than 7 days : $ 1 , 652
7 day advance ticketing $ 324
congratulations to kimberly and eric thode , director of ena public relations . they are the proud parents of whitney marie , born on may 3 . she weighed 8 lbs . 8 oz .
congratulations to proud parents nettelton and louise kitchen , coo , enron americas . their son , scott william , was born on may 9 and weighed 9 lbs . 1 oz .
news from the global flash
enron closes major coal deal in germany
after almost six months of negotiations , enron ' s coal team has signed a contract with stadtwerke bremen to supply this major german municipality with coal until 2006 . under the deal structure , enron will deliver a total of 4 . 6 million tonnes of coal - equivalent to an overall contract volume of almost $ 200 million ( dm 440 million ) .
the agreement represents enron ' s first significant long - term coal supply deal in germany . the annual contractual volume amounts to around 3 % of total german coal imports and provides us with continuous volume flow in northern germany , enabling us to grow our position in the market .
parallel to this deal , enron also entered into a separate agreement with hms bergbau agentur , a company specialising in polish exports . under this agreement , hms will be the handling agent and a potential supplier of polish coal to us over the lifetime of the contract .
congratulations to the whole team involved : sven becker , manfred ungethum , cornelia luptowitsch , peter bradley , jez peters and michael schuh .
legal stuff
the information contained in this newsletter is confidential and proprietary to enron corp . and its subsidiaries . it is intended for internal use only and should not be disclosed .
entouch newsletter
business highlights
enron industrial markets
enron industrial markets announced the signing of definitive agreements with huntco , inc . under which over a 15 - year period enron will provide inventory price risk management services and will eventually provide more than 600 , 000 tons per year of hot - rolled , cold - rolled and galvanized steel products to huntco steel . the agreements provide enron access to huntco ' s network of steel distribution centers nationwide . the agreements also provide for enron ' s acquisition of huntco ' s cold rolling and certain coil pickling operations in blytheville , arkansas .
these transactions with huntco have the potential to fundamentally change the way steel is bought and sold in the united states . it gives enron immediate access to physical steel and positions enron geographically to serve the steel industry in a variety of ways . in addition to providing physical products on both a spot and term basis , eim ' s goals for the steel industry include developing commodity risk management products , providing structured finance products and establishing the market - making capabilities that enron has brought to the natural gas , power and other commodity markets .
enron north america - upstream products
upstream products has partnered with duke energy field services ( defs ) to close a 20 - year ngl exchange and transportation deal with formosa hydrocarbons and williams energy field services to handle raw make product from the williams markham plant . formosa hydrocarbons is building a 40 , 000 bpd fractionator to handle this and other gulf coast ngl production . the accompanying pipeline will be known as the seabreeze pipeline system and will be constructed by defs . texas brine llc will provide ngl storage services for formosa hydrocarbons on this system . primary production for this system is coming from the boomvang nansen field in the deepwater gom and will be the first deepwater gom production to come onshore in texas .
upstream products has also worked to arrange a 20 - year transportation lease agreement on the dean pipeline ( owned by teppco ) for refinery grade propylene service to be utilized by formosa plastics . coupled with this transaction , enron clean fuels has entered into a propylene storage agreement with formosa plastics to utilize ecf ' s mt . belvieu storage facilities . in addition , enron global markets has been able to amend its current transportation agreement with teppco to prematurely terminate a take - or - pay obligation and realize additional transportation revenues from interim ngl production coming from the williams markham to be delivered to mt . belvieu .
upon close , upstream products was monetized out of its initial position by defs and retained a risk - free net profits position on the seabreeze pipeline going forward for an additional 20 , 000 - 40 , 000 bpd of excess capacity on the system .
ena west power
southwest power , an ena affiliate , signed a 222 mw 15 - year tolling agreement with allegheny energy supply for all of the output of southwest ' s las vegas expansion project , scheduled for completion in september , 2002 . with the tolling agreement done and construction underway , the project will now be marketed to qualified generators .
in the news
" to truly understand enron ' s jeffrey skilling - the hypersmart , hyperconfident chief executive of what may now be the largest energy trading company on the planet - head to your local video store and check out that classic american cinema , wayne ' s world . at 15 , skilling helped launch a no - budget television station in aurora , illinois - the very thing that mike myers and dana carvey so famously spoofed on saturday night live and in two movies . the tv skit even begins with a sketch of a teenage cameraman , the role of the real - life skilling . " - - - randall lane , worth magazine . may 2001 .
calgary , alberta - - enron canada has settled its lawsuit with ngx , canadian enerdata , om gruppen and richard zarzeczny , regarding the compilation and methodology for calculating the alberta natural gas price indices published by the canadian gas price reporter . by the terms of the settlement there will be a joint press release issued regarding the settlement , which is to be the only public communication regarding the matter unless agreed to by all parties . otherwise the settlement is confidential to the parties . accordingly , there is to be no formal or informal discussion with media , colleagues , competitors , counterparties or otherwise .
welcome
new hires
egm - salil pradhan , randy o ' conner , ricardo charvel , greg fields , ken newman , john ashman , rick cantrell , tim klaiber , trevor woods ,
eim - tim asterman , maxine leclaire , jerry newton , philip siewert , janamon johnson , darralyn briskey , theodore rogers ,
ena - rae meadows , tiffany winship , adrianne engler , kimberly yates , jackie verity ,
transfers ( to or within )
ena - christa winfrey , mario alonso , paul rizo - patron , nick ploitis , misti day , robert cothran , susan wilson , diane cutsforth , david owen
egm - mark friedman , john groves , deirdre mccaffrey , william windle
enrononline statistics
below are the latest figures for enrononline as of may 9 , 2001 .
* total life to date transactions > 963 , 575
* life to date notional value of transactions > $ 579 billion
nuggets & notes
reminder : brown bag lunch , thursday , may 17 at 11 : 30 am in 5 c 2 . the speaker is michael l . miller discussing principal investments .
" historically , newsprint has been sold under strong relationships as a highly differentiated , branded product to " very discriminating " buyers at newspaper publishers . eim believed differently . by the end of march , eim had succeeded in closing on its 2 nd newsprint mill , making it the 7 th largest newsprint manufacturer in north america . remarkably , in just 2 months , eim ' s newsprint team has succeeded in closing $ 100 mm total notional value " enron commodity style " fixed price contracts with terms of 1 to 5 years ? . . and they said it wasn ' t a commodity . "
rodney malcolm - vice president , forest products sales and marketing
travel tip of the week : book flights 7 days in advance . the cost savings can be considerable if you plan ahead - at least 7 days .
for example : houston to portland
less than 7 days : $ 1 , 652
7 day advance ticketing $ 324
congratulations to kimberly and eric thode , director of ena public relations . they are the proud parents of whitney marie , born on may 3 . she weighed 8 lbs . 8 oz .
congratulations to proud parents nettelton and louise kitchen , coo , enron americas . their son , scott william , was born on may 9 and weighed 9 lbs . 1 oz .
news from the global flash
enron closes major coal deal in germany
after almost six months of negotiations , enron ' s coal team has signed a contract with stadtwerke bremen to supply this major german municipality with coal until 2006 . under the deal structure , enron will deliver a total of 4 . 6 million tonnes of coal - equivalent to an overall contract volume of almost $ 200 million ( dm 440 million ) .
the agreement represents enron ' s first significant long - term coal supply deal in germany . the annual contractual volume amounts to around 3 % of total german coal imports and provides us with continuous volume flow in northern germany , enabling us to grow our position in the market .
parallel to this deal , enron also entered into a separate agreement with hms bergbau agentur , a company specialising in polish exports . under this agreement , hms will be the handling agent and a potential supplier of polish coal to us over the lifetime of the contract .
congratulations to the whole team involved : sven becker , manfred ungethum , cornelia luptowitsch , peter bradley , jez peters and michael schuh .
legal stuff
the information contained in this newsletter is confidential and proprietary to enron corp . and its subsidiaries . it is intended for internal use only and should not be disclosed .