>
> To: Ken Lay and Joe Sutton;
>
>  First let me say that I heartily applaud the move you recently made in
> regard to oil and gas exploration and production. I feel somewhat
> vindicated in the position that I had previously taken with EOG
management
> when I suggested selling off the domestic operations and concentrating on
> the foreign opportunities. My real satisfaction, however, is in the
> retention by Enron Corp. of both the China and India operations.  I
believe
> that I have expressed to both of you that the concept of an integrated
gas
> company was very appealing to the officials in both countries.
Particularly
> in China, this concept appeared to be a factor in the success of our
> negotiations.
>  I am a bit concerned, however, by the reports I receive from some of my
> friends and former colleagues in CNPC. They tell me of a degree of
> unhappiness with the state of the relationship between their management
and
> Enron's E & P management. In their view this casts some doubts on the
> feasibility of a long-term working partnership, even though they are well
> pleased with the technical results achieved thus far.
>  I have complete faith that Enron Corp. will resolve this matter in good
> time and not allow it to jeopardize, in any degree, the great potential
> that Enron has in China. Nevertheless, if there is any way in which
either
> I or my colleague, Johnny Kopecky, can be of any assistance we stand
ready
> to do so. Both of us continue to have close contacts and a good rapport
> with members of CNPC and SPA management. We could perhaps assist in
> determining the true nature and extent of the problem, if there should
> indeed be one.
>  Again, congratulations on what you are doing with Enron.  And many
thanks
> for the steady increase in the valuations of my Enron stock.
>
> Regards,
>
> Lindsey LIpscomb
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