Saudis Set to Select Firms for Gas Projects
The Wall Street Journal, 05/14/01

Cheney task force seeks input from interest groups
Associated Press Newswires, 05/14/01

COMPANIES & FINANCE UK: Independents drill deep to strike rich seams: A new
generation of smaller oil companies is emerging; a group that has discovered
how to be competitive, writes David Buchan: Financial Times; May 14, 2001

Bush energy team covers all the bases
Chicago Tribune, 05/14/01

QATAR: UAE's Dolphin may seek new partners if Enron exits.
Reuters English News Service, 05/14/01

UAE: UPDATE 1-Saudi expected to name gas race winners on Tuesday.
Reuters English News Service, 05/14/01

Saudi Oil Council To Meet Tue On Gas Projects -Sources
Dow Jones Energy Service, 05/14/01

RFID chip will help speed up business
The New Straits Times, 05/14/01

India: Godbole panel report may suggest MSEB bifurcation
Business Line, 05/14/01

Tertiary will be primary
Business Standard, 05/14/01
Acegas shares, potential for growth (Acegas, le potenzialita di crescita del
titolo)
La Repubblica, 05/14/01
Roundabout to the Oval Office
The Washington Post, 05/14/01
Largest LNG 13 Conference Opens Today
Korea Times, 05/14/01

International
Saudis Set to Select Firms for Gas Projects
By Bhushan Bahree
Staff Reporter of The Wall Street Journal

05/14/2001
The Wall Street Journal
A16
(Copyright (c) 2001, Dow Jones & Company, Inc.)

NEW YORK -- After more than two years of talks, Saudi Arabia is about to
announce its choice of international oil companies for three huge natural-gas
projects that will mark a reopening of the kingdom's energy sector to Western
investment, a quarter century after it was nationalized.
But the announcement, and the signing of memorandums of understanding early
next month, will mark only the beginning of serious negotiations on terms for
the three ventures, which together will need investment of some $25 billion.
It will be months before final agreements are signed.
"We expect to have an agreement -- a final agreement -- signed somewhere at
the end of the year, or, hopefully, the first quarter of next year," said
Saudi Oil Minister Ali Naimi in an interview last week.
Saudi Arabia's 11-member Supreme Petroleum Council is expected to meet today
to endorse the companies recommended by a ministerial committee led by
Foreign Minister Prince Saud al-Faisal. In the following week, Saudi Arabia
is expected to communicate its decision to the oil companies from both sides
of the Atlantic that have been vying for a role in the three projects. By the
end of the month, the chosen consortium members and Saudi officials are
expected to agree on which three companies will lead the projects. This will
be a prestigious role in a country that is the world's largest oil exporter,
has more than a quarter of the world's oil reserves and has the fifth-largest
reserves of natural gas.
As with any negotiations for such huge projects, industry rumors abound. All
three so-called oil supermajors -- Exxon Mobil Corp., Royal Dutch/Shell Group
and BP PLC -- have been mentioned as project leaders, particularly for the
plum Ghawar project, named after the world's largest onshore oil field, whose
environs are expected to yield large volumes of gas. The Ghawar project,
known as Core Venture 1, is projected to require about $15 billion in
investment. Core Venture 2 is on the Red Sea coast. The third project is in
Shaybah, a recently developed oil field in the kingdom's Empty Quarter, a
southeastern region bordering the United Arab Emirates.
The companies say they have no idea who will be named to the consortia, or
who the Saudis will choose from a short list of 11 companies -- Exxon Mobil,
Shell, BP, Chevron Corp., TotalFinaElf SA, ENI SpA, Enron Corp., Occidental
Petroleum Corp., Marathon Oil Canada Inc., Conoco Inc. and Phillips Petroleum
Corp. -- to lead each project. But they all have their hopes.
"We would be very disappointed if we are not the lead operator" for the
Shaybah project, said Archie Dunham, Conoco's chairman and chief executive.
Since Saudi Crown Prince Abdullah invited major oil companies to return to
the kingdom in October 1998, negotiations have focused on such broad issues
as the scope of the projects and their integrated nature -- from exploration
and production of gas to the making of petrochemicals and electricity -- as
well as the notion that the companies will need adequate returns on their
investment.
Soon, the project leaders will have to start the bargaining on such issues as
the roles to be played by national champions Aramco and petrochemicals
company Saudi Basic Industries Corp.
---
Alexei Barrionuevo in Houston contributed to this article.
--- Population Pressure

Saudi Arabia is opening up its energy sector, in a bid to bolster the
economy as population grows

-- Population
21.3 million (growing over 3.5% per year)

-- Unemployment rate*
27%-35% of males

-- Real GDP Growth Rate
7.6%

-- Oil Production
9.3 million barrels per day

-- Natural-Gas Reserves
204.5 trillion cubic feet

-- Natural-Gas Production/Consumption
1.68 trillion cubic feet

*Unofficial estimate for 1999

Note: Figures are estimates for 2000 except natural-gas production,
which is for 1999

Source: U.S. Energy Information Administration

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Cheney task force seeks input from interest groups
By SHARON THEIMER
Associated Press Writer

05/14/2001
Associated Press Newswires
Copyright 2001. The Associated Press. All Rights Reserved.

WASHINGTON (AP) - The White House team developing a national energy plan has
met with more than 130 interest groups, from environmentalists and unions
often at odds with Republicans to major Bush supporters given private
sessions with Vice President Dick Cheney.
The vice president, Cabinet secretaries and others on a special task force
have solicited ideas behind closed doors, hoping the privacy would encourage
a free exchange of ideas.
The White House has declined to provide names of participants - even to
Congress.
But interviews with participants detail a massive outreach where diverse
interests have met with task force executive director Andrew Lundquist.
Cheney's time has been reserved for meetings with more select participants
such as power wholesaler Enron Corp. and the Edison Electric Institute, both
GOP donors.
Houston-based Enron is the world's top buyer and seller of natural gas and
electricity.
"The way the task force is set up, they don't have the staff or time to have
a huge host of companies come through the door. They have told us to work
through our associations to the extent we can," said Don Duncan, vice
president of government relations for Phillips Petroleum Co.
Participants said the meetings, typically 20 minutes to 45 minutes, included
about a dozen to 100 interest group members and a few task force members and
staff.
No details were disclosed. Instead, administration representatives summarized
the nation's energy problems or listened as groups briefly offered background
and proposals. Many sent detailed materials to the task force outlining their
priorities.
At a half-hour meeting in late March with White House strategist Karl Rove
and Bush economic adviser Larry Lindsey, nuclear energy executives tried to
make sure the two knew about the production records the industry has set over
the past few years. At one point, Rove asked if anyone was looking to build a
nuclear power plant. An executive with Exelon replied that his company was
thinking about it, meeting participants said.
Energy Secretary Spencer Abraham has attended several meetings, including one
with Teamsters President James Hoffa and an hourlong session in California
with Democratic Gov. Gray Davis, who contends the administration has done
little to help the power-strapped state.
Like other governors, Davis was asked to provide one page on the state's
power crisis, including a description of the problem, an anecdote about it
and possible solutions.
"They're asking for a one-page memo on possibly the biggest crisis ever
affecting the state, with a massive ripple effect for the nation," Davis
spokesman Steve Maviglio said. "I think it demands more attention than a
one-page memo."
Cheney spokeswoman Juleanna Glover Weiss said the task force has been
studying the California problem almost daily.
At a meeting between Abraham and about 100 coal industry representatives in
late April, task force staffers handed out a briefing packet that outlined
national energy needs, and then they listened to industry proposals.
"I thought the purpose was one, to reassure people in the coal industry that
coal was going to play a large role in the energy mix, and essentially when
the plan is unveiled that they're going to be looking to people to help
martial this through Congress," said Bill Banig, a lobbyist for the United
Mineworkers Union.
White House officials said the meetings are not designed to encourage
lobbying and that task force members were carefully instructed on what was
permissible under federal law.
Cheney's meetings included Enron, Edison Electric Institute, California
Republicans, and the senators from Nevada, home to the proposed Yucca
Mountain federal nuclear waste site. The vice president plans to meet with
the renewable-energy industry this week.
Enron ranked among Bush's top 10 presidential campaign contributors, giving
more than $110,000, and helped sponsor a $7 million party fund-raiser last
month.
The Edison Electric Institute gave Republican candidates more than two-thirds
of its $193,000 in contributions last year. Edison International, whose
holdings include the Southern California Edison electric utility, is also a
major donor, giving $535,000 to Republicans last year and $330,000 to
Democrats.
Enron spokesman Mark Palmer said Cheney met with Enron executives because the
power wholesaler is a respected member of the industry, not because it was a
contributor. Enron wants the administration's energy plan to ease electricity
transmission bottlenecks, give companies incentives to invest in new
transmission and make the wholesale power market as open as possible, he
said.
Tom Kuhn, the institute's president, said it is "totally ludicrous" to think
political donations played a role.
Cheney's meeting with Edison board members, held at the institute's
invitation, lasted 15 minutes to 20 minutes. Cheney spoke about the task
force process, Kuhn said. He said Cheney's remarks were consistent with the
vice president's public statements.
Edison wants to see new generation and transmission systems built, including
coal, natural gas and nuclear and hydroelectric power, Kuhn said.
Democrats in Congress sought a list of participants in the meetings, but
Cheney's office responded by only listing broad categories and no names. That
has left fodder for political attack.
"You can't just take advice from one interest group or set of interest groups
when you do these things," said Dave Albersworth of the Wilderness Society,
whose group has met with Lundquist but was denied its request to talk with
Cheney.
Weiss countered that the energy task force has collected information from
more than 130 groups since January in an "almost Herculean effort" to draw
input from all sides.
"People deserve the right to petition their government and not expect a full
laundry list of who's called to be announced," she said.
Enron spokesman Palmer said he is not seeking such privacy. "I'm happy to
tell people what we're advocating for. I'd rather be talking about policy
than about politics," he said.
---
On the Net:
White House Energy Task Force:
http://www.whitehouse.gov/news/usbudget/blueprint/bud10.html

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

		COMPANIES & FINANCE UK: Independents drill deep to strike rich seams: A new
generation of smaller oil companies is emerging; a group that has discovered
how to be competitive, writes David Buchan: Financial Times; May 14, 2001
By DAVID BUCHAN

		The UK's listed small oil companies may have dwindled in number. But they can
rightly say, echoing Mark Twain's words, that reports of their collective
demise are exaggerated.
		Indeed, many in the UK-based exploration and production companies, dubbed
"independents" in the sense of being untied to any refining and marketing,
believe they have more of a role than when their kind first started operating
in the North Sea 30 years ago.
		After the takeovers in recent years of Lasmo, Monument and British Borneo,
there may only be about a dozen significant UK-based "independents" left. Yet
they amount to virtually the entire European E&P sector: the only significant
exception being Lundin Oil of Sweden.
		Many of the UK independents began life as local partners of US companies in
the 1970s when the Labour government of the period gave preference to
consortia with a local flavour.
		But this rationale disappeared when the Thatcher government took a more
free-for-all approach to letting anyone develop the North Sea - though at the
same time it did create the biggest UK independent by floating off British
Gas' oil interests as Enterprise Oil. Enterprise is the only UK independent
that is more than a niche or regional player. As such its E&P assets would be
a significant addition to an oil major, hence the persistently rumoured
interest in taking it over.
		As the North Sea became more competitive and difficult, some of the UK-based
independents began to look elsewhere. "Unlike US independents which have
always tended to be less interested in drilling outside North America, those
in the UK have always tended to be more sympathetic to exotic parts of the
world", says Mark Redway of Teather and Greenwood.
		Unfortunately, the obvious exotic new province that happened to open up in
the early 1990s was the former Soviet Union. One company, Ramco Energy,
dipped in and out very successfully, recently selling its 2 per cent stake in
the Azerbaijan International Oil Consortium for Dollars 150m (Pounds 104.8m).
		Other UK independents - Aminex, Soco and Dana Petroleum - ventured into
Russia and got stuck. While Aminex finds it hard to downplay Russia (because
it has little elsewhere), Soco these days stresses its Mongolia and Vietnam
operations. Another UK independent, JKX Oil & Gas, went into Ukraine, a
country notorious for non-payment of energy bills. With diplomatic help from
Tony Blair, the prime minister, JKX has just survived a legal attempt to rob
it of its Ukraine assets.
		Two other independents have sunk more fruitful roots in Asia. "Cairn Energy
now has as big a stake in Bangladesh's gas production as Shell, and it would
be left, if Enron (the US energy company) were to quit India, as the biggest
foreign player in India," says Iain Reid of UBS Warburg. Premier Oil is now a
substantial Asian gas company, with production in Burma, Indonesia and
Pakistan and long term contracts in Thailand and Singapore.
		But there are risks in these Asian ties. The obvious political one concerns
Burma. Last year the UK government asked Premier to quit Burma because its
presence was helping the military regime. Premier refused, and said it would
carry on.
		The other risk, according to Mr Redway, is economic and it applies also to
Cairn. Because there is no real world market for gas, Cairn and Premier are
"very dependent on the strength of the local economies". But then, Mr Redway
is an analyst who believes that independents' competitive edge lies in
exploration rather than production. He therefore rates Fusion Oil & Gas
highly as "the purest exploration investment opportunity in the E&P sector".
		Dana similarly vaunts its exploration expertise, but to a different end. Its
goal, according to Tom Cross, chief executive, is to find oil and then swap
exploration for production assets. "This avoids the expensive development
stage of building platforms and pipelines and so on". Then at the other end
of the spectrum are production-focused companies, such as Paladin, Tullow Oil
or Venture Production. Roy Franklin, Paladin's chief executive, makes no
bones about his company's scavenger strategy, spotting rich pickings
overlooked by the majors.
		The majors are not always ready to sell, particularly recently when the oil
price rise has widened the gap in price expectations between buyers and
sellers.
		But Paladin was last year able to buy PetroCanada's assets in Norway, and is
this year interested in bidding for some of what the Norwegian state is
selling off.
		As its name suggests, Venture Production, a private Aberdeen-based company
with North Sea and Trinidad operations, is focused on extraction, not
exploration. And so are other private companies such as Intrepid, Consort
Energy and Highland Energy, formed in the past three or four years. This new
generation of company tends to be more cautious than the older one.
"Exploration has probably been the best way to destroy shareholder value,"
says one executive.
		The other risk the new oilmen want to avoid is the vagaries of the stock
market. "By focusing on production, the new companies are more predictable in
terms of cash flow and earnings," says Mike Wagstaff, Venture's finance
director.
		Copyright: The Financial Times Limited

News
Bush energy team covers all the bases
Sharon Theimer, Associated Press

05/14/2001
Chicago Tribune
North Sports Final ; N
13
(Copyright 2001 by the Chicago Tribune)

The White House team developing a national energy plan has met with more than
130 interest groups, from environmentalists and unions often at odds with
Republicans to major Bush supporters.
Vice President Dick Cheney, Cabinet secretaries and others have solicited
ideas behind closed doors, hoping the privacy would encourage a free exchange
of ideas.
The White House has declined to provide names of participants even to
Congress.
But interviews with participants detail an outreach program where diverse
interests have met with task force executive director Andrew Lundquist.
Cheney's time has been reserved for meetings with more select participants
such as power wholesaler Enron Corp. and the Edison Electric Institute, both
GOP donors.
"The way the task force is set up, they don't have the staff or time to have
a huge host of companies come through the door. They have told us to work
through our associations to the extent we can," said Don Duncan, vice
president of government relations for Phillips Petroleum Co.
Participants said the meetings, typically 20 minutes to 45 minutes, included
a dozen to 100 interest group members and a few task force members and staff.
No details were disclosed. Instead, administration representatives summarized
the nation's energy problems or listened as groups briefly offered background
and proposals. Many sent detailed materials to the task force outlining
priorities.
Energy Secretary Spencer Abraham has attended several meetings, including one
with Teamsters President James Hoffa and an hourlong session in California
with Democratic Gov. Gray Davis, who contends the administration has done
little to help the power-strapped state.
Like other governors, Davis was asked to provide one page on the state's
power crisis, including a description of the problem, an anecdote about it
and possible solutions.
"They're asking for a one-page memo on possibly the biggest crisis ever
affecting the state, with a massive ripple effect for the nation," Davis
spokesman Steve Maviglio said. "I think it demands more attention than a
one-page memo."
Cheney spokeswoman Juleanna Glover Weiss said the task force has been
studying the California problem almost daily.
At a meeting between Abraham and 100 coal industry representatives in late
April, task force staffers handed out a briefing packet that outlined
national energy needs, and then they listened to industry proposals.
"I thought the purpose was one, to reassure people in the coal industry that
coal was going to play a large role in the energy mix, and essentially when
the plan is unveiled that they're going to be looking to people to help
marshal this through Congress," said Bill Banig, a lobbyist for the United
Mineworkers Union.
White House officials said the meetings are not designed to encourage
lobbying.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

QATAR: UAE's Dolphin may seek new partners if Enron exits.
By Kedar Sharma

05/14/2001
Reuters English News Service
(C) Reuters Limited 2001.

DOHA, May 14 (Reuters) - Dolphin Energy Ltd (DEL) may invite new foreign
investors to join its project to route Qatari gas to the United Arab Emirates
as U.S. Enron Corp looks set to bow out, industry sources said on Monday.
"New partners are a possibility," Khaldoun al-Mubarak, project manager for
DEL, majority owned by the UAE's Offsets Group (UOG), told Reuters.
"But at the moment we are in the midst of finalising the formal (development
and production sharing) agreement with Qatar which should be done by
September at the latest."
Qatar and DEL in March signed a "commercial term sheet agreement" which
outlined the conditions of the upstream agreement for the long-awaited $3.5
billion project.
UOG currently owns 51 percent of DEL, with the remainder held equally by
France's TotalFinaElf and Enron.
"Enron is going through major global restructuring," Mubarak said. "(But)
they haven't officially notified us about their intention to pull out."
Enron officials declined comment.
Mubarak said interest in DEL was running high.
"Everyone is asking for a stake," he said.
The gas deal would entitle DEL to develop a tract of Qatar's giant North
Field and produce up to two billion cubic feet per day (cfd) of gas.
UOG is to invest $2 billion in developing the North Field tract, drilling and
setting up production facilities.
The remaining $1.5 billion would be invested to lay a pipeline and set up
receiving terminals at Dubai's Jebel Ali and Taweelah in Abu Dhabi.
First gas is targeted to reach the UAE capital Abu Dhabi by late 2004 or
early 2005. About one billion to 1.5 billion cfd of Qatari gas would be
consumed by utilities in Abu Dhabi with the remainder supplied to Dubai.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

UAE: UPDATE 1-Saudi expected to name gas race winners on Tuesday.
By Peg Mackey

05/14/2001
Reuters English News Service
(C) Reuters Limited 2001.

DUBAI, May 14 (Reuters) - Saudi Arabia's Supreme Petroleum Council (SPC) is
expected to meet on Tuesday and announce the oil majors chosen for its
multi-billion dollar gas investment opening, industry sources familiar with
the negotiations said on Monday.
The sources said the SPC is expected to name ExxonMobil and Royal Dutch/Shell
as lead players in three so-called core projects involving the kingdom's
upstream gas sector - off-limits to foreign oil firms since nationalisation
in 1975.
Signing of memoranda of understanding (MOUs) would most probably take place
in early June, the sources said.
The anticipated announcement would mark the biggest advance in the kingdom's
gas initiative, valued at an initial $25 billion, since Riyadh unveiled its
energy investment opening over two years ago.
But the hard work has yet to start on the opening of Saudi Arabia's gas
sector, the world's fourth biggest. "The fiscal regime and regulatory details
have not been developed," said one source.
FINAL CUT
Riyadh is expected to trim back its original shortlist of 11 potential
foreign investors revealed last summer. Those companies had been grouped
under three core venture consortia - South Ghawar, Red Sea and Shaybah.
For ExxonMobil and Royal Dutch/Shell, securing the lead role in Saudi
Arabia's core ventures would entitle them to operate the package and get the
biggest slice of the projects, analysts said.
Other industry sources said ExxonMobil, the world's biggest energy company,
was tipped for the top slot in core venture 1 (South Ghawar) as well as in
core venture 2 (Red Sea).
Royal Dutch/Shell was in pole position for core venture 3 (Shaybah), the
sources added.
Both oil supermajors already have significant foreign investment in the
kingdom and feature as top customers of Saudi oil, the analysts said.
ENERGY DRIVERS
An urgent need to create jobs and grow the economy are driving Saudi Arabia's
landmark energy opening.
And analysts said big oil companies were prepared to help the kingdom achieve
those aims even if the return on their investment was relatively low.
"Major oil companies just cannot miss this opportunity," a source said. "The
gas projects will show profits."
But just how much revenue oil companies will generate by selling water and
electricity in the Saudi domestic market remains to be seen.
On paper, at least, the kingdom's domestic gas sector looks set for
impressive growth.
Domestic gas demand, now running at about 3.4 billion cubic feet per day, is
forecast to grow at more than seven percent a year over the coming decade.
Saudi Arabia has meanwhile made clear that its prized oil sector, the world's
biggest, remains off limits.
Even so, oil companies still hold out hope for eventual involvement in oil,
the kingdom's lifeblood.
"The companies are just as happy with gas, but oil remains the ultimate
objective," a regional analyst said.
"Saudi Aramco is still putting up strong defence barriers, but eventually
they could open up the oil sector once they feel comfortable working with the
majors."
The Saudi gas initiative seeks foreign oil companies' help in developing the
kingdom's known gas reserves as well as investment in downstream projects fed
by gas supplies, such as power and desalination.
The following companies have been shortlisted for the gas projects:
Core venture 1 (South Ghawar Area) - ExxonMobil, Royal Dutch/Shell, BP ,
TotalFinaElf , Chevron and ENI .
Core venture 2 (Red Sea Area) - TotalFinaElf, ExxonMobil, Marathon , Enron
/Oxy , Conoco , Royal Dutch/Shell.
Core venture 3 (Shaybah Area) - Royal Dutch/Shell, ExxonMobil, Marathon,
Conoco, TotalFinaElf, Phillips and Enron/Oxy.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Saudi Oil Council To Meet Tue On Gas Projects -Sources

05/14/2001
Dow Jones Energy Service
(Copyright (c) 2001, Dow Jones & Company, Inc.)

DUBAI -(Dow Jones)- International oil companies vying for a stake in Saudi
Arabia's downstream gas projects, expect to be notified soon on whether they
have been selected to participate, industry sources in the kingdom said
Monday.
Saudi Arabia's Supreme Petroleum Council is set to meet Tuesday and shortly
after, announce its final selection for each of the three core ventures on
offer, the sources said.
The Saudi Arabian committee negotiating with international oil companies on
the Gas Initiative, submitted its proposals for consortium members and
leaders to the country's Ministerial Council in April. These were then passed
on to the SPC for final approval.
Saudi Arabia's Crown Prince Abdullah, who heads the SPC, is in Bahrain Monday
attending a Gulf Cooperation Council leaders' summit along with Saudi
Arabia's foreign minister, Saud Al Faisal, who heads the gas negotiating
committee.
Saudi Arabia invited international oil companies in October 1998 to
participate in proposals for downstream gas projects and upstream gas
enhancement.
After a series of meetings between the negotiating committee and IOC's in the
past year, the following companies were shortlisted for each project.
Royal Dutch/Shell Group (RD), BP PLC (BP), Exxon Mobil Corp. (XOM), Chevron
Corp. (CHV), Total Fina Elf S.A. (TOT) and ENI SpA (E) for Core Venture 1,
the $15 billion South Ghawar Area Development.
For Core Venture 2, the Red Sea Development, Enron Corp. (ENE) and Occidental
Petroleum Corp. (OXY) are bidding jointly and Exxon Mobil, Total Fina Elf,
Marathon Oil Canada Inc. (T.M), Shell and Conoco Inc. (COCA) were listed.
And for Core Venture 3, the Shaybah area, Total Fina Elf, Conoco, Phillips
Petroleum (P), Enron and Occidental, Exxon Mobil, Shell and Marathon Oil were
listed.

With all those shortlisted expected to play some role, the immediate and
essential question for each of the IOC's is whether they will be selected to
lead and operate a project, with Core Venture 1 the most sought after,
industry sources said.
Exxon Mobil and Shell have been tipped as frontrunners for this venture.
The operator's role will be more crucial than ever here as it will be
responsible for directing further negotiations on the projects at hand which
will lead to final deals probably by year end.
Also, operators are expected to decide and direct how the project's
individual and large components will be developed, details the Saudis haven't
finalized, sources said.
The three ventures have been estimated at a combined value of about $25
billion.
-By Dyala Sabbagh, Dow Jones Newswires; 9714-331-4260;
dyala.sabbagh@dowjones.com

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Business
RFID chip will help speed up business

05/14/2001
The New Straits Times
Main/Lifestyle; 2*
26
(Copyright 2001)

THE combination of recently developed "stick-on" Radio Frequency
Identification (RFID) chip technology with a global positioning system (GSP)
will transform and quicken the pace of doing business in the oil and gas
industry.
And Malaysia must adapt to this shift to maintain her global positioning.
Global management and technology consultant Global Energy Strategy Practice
which is working in partnership with Accenture Sdn Bhd wants to promote this
idea locally.
Global Energy Strategy Practice partner Paul Spence said that applying this
latest combined technology, car owners can fill up a petrol tank without
resorting to human contact or to the use of a credit card.
Relevant personal data embedded in the RFID chip would be machine read and
the required quantity of petrol delivered, as if right out of a science
fiction movie.
This surreal development is made possible through the application of
ubiquitous-commerce (u-commerce) whereby computers and machines communicate
with each other to affect an impression of an omnipresent intelligence.
Such technology is economically available today. "There are technology
suppliers who are offering these capabilities."
The technology also has applications outside the oil and gas industry.
Communications between machines can now allow or deny access of individuals
to restricted zones.
In an interview in Petaling Jaya recently, Spence said: "A lot of my clients
now are asking, whether that same technology can be used to restrict access
into hazardous areas, plants or production sites.
"Can a warning alarm be fitted to the individual or to an assistant? There
are lots of safety, health and environment applications around that."
"Guru in the field" is another potential application where a combination of
RFID chips, video cameras, personal digital assistants (PDA) and personal
computers can deliver distant technical advice on- site.
"An industry client operating in the North Sea oil fields has a prototype
mounted on a workman's helmet which sends snap-shots to experts on the other
side of the world.
"The effect of this new combined technology on global financial and commodity
markets is to lock them in tighter correlation.
"The days of being able to arbitrage for profits between geographical markets
are shortening within the energy industry. Enron which is the biggest oil
trader in the US is now hedging on weather derivatives."
Accenture partner Lim Beng Choon said that to compete globally, the oil and
gas industry in Malaysia would have to implement this new technology to
remain connected to global markets.

Caption: Lim ... connected.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

India: Godbole panel report may suggest MSEB bifurcation

05/14/2001
Business Line (The Hindu)
Copyright (C) 2001 Kasturi & Sons Ltd (KSL); Source: World Reporter (TM) -
Asia Intelligence Wire

MUMBAI, May 13. THE second part of the Dr Madhav Godbole committee report is
expected to be submitted to the State Government on May 15.
While the first part of the report recommended renegotiation of the power
purchase agreement with Enron's Dabhol Power Company, the second part is
expected to suggest bifurcation of the Maharashtra State Electricity Board,
sources said. The committee, which has been given the mandate to negotiate
with Enron officials to make DPC power more acceptable, had a marathon
meeting on May 11 to finalise the second half of the report.
"The committee has been considering the bifurcation of MSEB," a source said.
"The idea is to try and separate the distribution from generation and
transmission." While generation and transmission can be controlled by the
State, there may be a suggestion to privatise the distribution arm. Over 1.5
lakh MSEB employees had gone on a strike to oppose a Bill to unbundle the
board into three divisions - generation, transmission and distribution - due
to fear of privatisation.
MSEB, the State's leading power company, has been facing huge losses due to
delay in payments and theft of power. The second part of the report is
expected to address the problem in detail.
Part one of the report submitted on April 10 had said: "...none of the
solutions espoused for independent power producers, in general, and DPC, in
particular, is tenable without the reforms of MSEB, especially its
distribution business, which it shall address in part II of the report."
The report is expected to "suggest appropriate measures to ensure that the
interests of the State, MSEB and electricity consumers of the State of
Maharashtra are properly and adequately considered, evaluated and
safeguarded," according to the terms of reference laid down when forming the
committee.
The committee originally consisted of Dr Madhav Godbole, Mr Deepak Parekh, Dr
E.A.S. Sarma, Dr Rajendra Pachauri and the State Energy Secretary, Mr Vinay
Mohan Lal. The MSEB Chairman, Mr Vinay Bansal, has been inducted as part of
the panel after the submission of the first part and before the beginning of
negotiations with Enron.
Archana Chaudhary

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

The Smart Investor
Tertiary will be primary
Indira Vergis

05/14/2001
Business Standard
2
Copyright (c) Business Standard

These are volatile times for world business. There are increasing jitters
that a slowing US economy could dampen prospects for the global economies.
Many developing regions, especially in Asia, are bracing themselves for a
bout of slightly lower growth.
But two countries, India and China which together account for about half the
region's gross domestic product (GDP_ will still continue to see their GDP
grow at six per cent, forecasts the Asian Development Bank.
Many Indian economists agree with ADB's projections. In fact, they view the
prediction of a six per cent growth in India's GDP as benign. Nearly 54 per
cent of India's GDP is delivered by its services sector and a modest
performance by this sector, some economists say, will be enough to hold up
the GDP at six per cent. There are others who hope that better agricultural
performance could prompt the economy to hand in a better scorecard.
However, the Indian industry remains trapped in the doldrums, suffering from
a lack of consumer confidence and investments. Very few economists expect to
see signs of recovery sprouting any time soon.
An interest rate cut is considered vital by many to energise the sector. And,
they argue, there are certain economic indicators that encourage such a move.
Inflation is running at very low levels and the nation's foreign exchange
reserves are currently high enough to provide a strong defence to the Indian
currency. Surprisingly, our trade balance, which threatened to spiral out of
control by surging oil prices last year, has been contained. Since then, oil
prices have retreated and are expected to remain subdued. While a rate cut
may go some way in reviving sentiment and activity in the industrial sector,
stirring up consumer demand will still hinge on a normal monsoon.
Rain, rain, come again
For many economists, the prediction of India clinging to its current GDP
level is heavily contingent on a normal spell of monsoon this year.
"According to our assessment, we believe the Indian economy will grow by
around 6.5 per cent this fiscal year," says Chetan Ahya, vice president at J
M Morgan Stanley Securities.
In 2000-01, agricultural growth withered under a poor monsoon and a
subsequent drought in many parts of the country. For the second year in a
row, growth in the sector sank below one per cent. It stood at 0.9 per cent
compared with 0.7 per cent the previous year. While agriculture accounts for
only 24 per cent of GDP, it remains the most keenly-watched sector by
economists. "The performance of the agricultural sector is important because
of its linkages to the economy both on the supply side and on the consumption
side," says Mohan Nagarajan, chief economist at Credit Analysis and Research
Ltd (CARE). "It would lead to a better performance of agro-based industries,"
he adds.
More significantly, roughly 60 per cent of Indians still depend on
agriculture for their livelihood. "A good crop means that demand for
everything, from everyday use goods like toothpaste to larger items like
tractors will pick up," says Nagarajan. Economists are hoping that a good
monsoon will budge growth in the sector to around 1.5 to 2.5 per cent.
In service of the economy
Another key sector economists will be watching out for will be services.
India's services sector ranging from finance, insurance, hospitality to
transportation and communication slowed its pace in 2000-01. With growth
weakening by a whole per cent to 8.4 in 2000-01, sluggishness in this
important sector has been blamed for dragging down the overall GDP. Most
economists expect the sector to post either relatively flat growth or edge
slightly higher this year. But, it's performance will be vital to ensure that
overall GDP holds at six per cent. "Even if the agriculture and industry
numbers fall again but services sees even seven to eight per cent growth, it
will be enough to keep the GDP around six per cent," says Nagarajan.
Construction activity a services component that includes housing, roads and
other infrastructure projects demonstrated surprisingly good growth of 8.7
per cent and is expected to maintain the pace. Road construction is tipped to
show increasing levels of activity as work on the ambitious highway linking
Mumbai, Delhi, Chennai and Calcutta intensifies.
Chiming in will be the housing industry, benefiting in recent years from tax
reliefs and attractive financing schemes, and which have encouraged more
people to buy houses.
Another segment slated to witness good growth will be IT-enabled services,
says Morgan Stanley's Ahya. "We are emerging as the services workshop of the
world," he says. IT-enabled services like call centres and data processing,
though currently generating tiny revenues, are slated to turn into big money
spinners in the years ahead.
The telecommunications industry will also see improving levels of investment.
"The penetration of services is so low, that it has an intrinsic high growth
rate," says Ahya. For a taste of the market, consider this: out of the 100
Indians, only one uses the Internet and less than three own a telephone.
A good home show
And there could be a pleasant surprise in store for industry amid all the
gloom over its performance.
Adequate liquidity conditions are spurring expectations of a cut in interest
rates. Broad money(M3) a gauge of total money available in the economy
increased 16.2 per cent in 2000-01 against 14.6 per cent last year.
While the Reserve Bank of India had cut the bank rate in March, the belief is
that a further cut of 50 basis points is imminent. The bank rate the rate at
which the central bank lends to commercial banks currently stands at seven
per cent. Aiding the cause is the inflation data which shows the wholesale
price index at a tame 5.84 per cent. With economists betting that oil prices
will remain in the $24-28 a barrel range, inflation is not expected to
exhibit the oil price-inspired gyrations of last year. A cut could coax the
industry to step up activity, though admittedly, much would still depend on
rural demand.
Neighbours' envy
And while many Asian countries watch with increasing nervousness the impact
of an American downturn on their economies, India and China can afford to
remain relatively placid about global developments. That's because they are
less dependent on the US for their own economic health. That is expected to
shield them somewhat from being blown off-course like some other Asian
nations by the ill-wind of an American slump in demand.
With exports making up less than 10 per cent of India's GDP, its economy is
clearly not export-driven. In contrast, nearly 35 per cent of Indonesia's GDP
comes from exports, 57 per cent for Thailand, and 50 per cent for the
Philippines.
Yet, despite claiming only a small percentage of GDP, India's exports
remained a bright spot amid some gloomy economic data. Exports raced ahead 20
per cent to $44.1 billion in 2000-01. It was the second consecutive year of
good exports growth. On the flip side, imports rose, too, during the same
period to Rs $49.1 billion. But non-oil imports, however, declined 15 per
cent to $34.2 billion. That helped narrow the trade gap to $5.74 billion from
$12.79 billion the previous year.
Still, India can ill-afford to ignore completely the risks of an American
slump in demand. The US is India's largest trading partner and, in 2000-01, a
quarter of its exports headed to that nation. Besides, by taking in nearly 70
per cent of India's software exports, it is also India's most important
software exports destination.
Booming software exports accompanied by remittances by Indians living
overseas have been the primary factors exerting a calming influence on
India's balance of payments of position, especially in times of economic
turbulence. For example, last year, while a surging oil import bill
threatened to rattle the nation's trade gap, inflows from
invisibles(including income from software and Indians living abroad) came to
the rescue helping India limit its overall current account deficit.
It's a sobering realisation that has compelled the National Association of
Software and Service Companies(NASSCOM) to lower its exports forecast to
between $8.5 billion to $9 billion from its previous figure of $9.5 billion.
Earlier, it had also revised estimates for 2000-01 lower to $6.2 billion from
$6.3 billion. Still, observers say it isn't a cause for depression.
"They are still talking about growth. It is a decline in the growth rate and
not an actual downturn itself," points out John Band, chief executive
officer, ASK-Raymond James and Associates. And remittances look set to
maintain their pace as well. "Most remittances are still from Indians who
live in the Middle East, and I don't see any slowdown from this segment,"
says CARE's Nagarajan. Remittances totalled $9.8 billion in the nine months
to December 2000. Software exports brought in $4.6 billion during the same
period.
Foreign institutions support
Another recent 'feel-good' sign has been evident in the stock markets too.
Between January and April 2001, eigners poured in Rs 7,368 crore into India's
equity markets - a phenomenal 15 per cent more than what they invested in the
whole of calendar 2000.
Yet, experts aren't reading too much into it. In the past few months,
investors have been fleeing from a shower of profit warnings in the US and
seeking cover in alternative investments. As they rejuggle their portfolios,
some money will inevitably flow into India and other countries, experts say.
Because it isn't affected so much by what's happening externally, they see
India as some kind of a safe haven," says ASK's Band.
Yet some hesitation
Recently, gunning for more foreign direct investments (FDI), the government
opened more sectors for foreign and private participation, including
pharmaceuticals, hotels, banking and astonishingly, even defence. However,
tempting FDI has always been a vexing issue for India.
In 2000-01, FDI did improve slightly, moving 26 per cent higher than the
previous year to $2.4 billion. Yet, China a market India is frequently
compared with in terms of size and potential attracted 20 times more FDI in
the same period. Economists now shrug off FDI as a tool to kick-start
investment in the country. "It's a pittance and it probably will remain
stagnant," says an economist at a foreign research house.
The reasons are not hard to find. Foreigners seeking to invest in India have
many fences to cross. Frequent changes in sector policies, chaotic
infrastructure facilities and nightmarish bureaucratic redtape have often
left foreigners tired and wary of doing business in India.
The stress of investing in India is most clearly visible in the recurring
concerns that have stubbornly dogged US energy giant Enron's 2,148 MW power
project in Dabhol in Maharashtra. After being forced to renegotiate a power
supply deal in 1995 after concluding it in 1992, Enron has hit the headlines
once again.
This time, an almost bankrupt state electricity board (SEB) refuses to pay
its dues for power received and the state government refuses to honour its
commitment to pay in case the SEB defaults.It's led to intense speculation
that, after suffering repeated snags for nearly a decade, Enron might simply
pull out of the project altogether. A disturbing turn of events, since, till
recently, Enron Corp was the biggest foreign investor in India.
It will not be the first time that exasperation will have egged on a foreign
investor to pull out of a project. Earlier, US-based Cogentrix Energy had
also walked out of its $1.5 billion 1,000 MW Mangalore power project citing
endless bureaucratic hurdles.
And there has also been some disappointment over India's much-hyped 300
million middle class which was supposed to be growing rapidly. Many
international firms, inspired by this figure, had scrambled to set up
operations to conquer a huge chunk of this market. Now many are struggling to
break even and still learning to adapt to local tastes a key ingredient for
success. That's why despite all its attempts to open up various sectors,
India still remains a tough sell.
Outlook
With a little help from the rains, India could notch up a growth rate of six
per cent. Many economists have also pointed out that a reforms-studded budget
could also inject some enthusiasm in the patient that is the economy. Strong
measures include plans to reform labour laws and government employment. These
are expected to boost the economy's development, though in the long run.
The recent opening up of various sectors could also revive sentiment,
although whether this will translate into FDI flows is arguable. Still, every
bit helps. The fact remains that it will have to persist in trying to
accelerate the pace of growth if its ambitions of turning into an economic
powerhouse are to be realised. After all, for the second most populous nation
in the world with one of the biggest markets, its economic power is still
nowhere near the figure its size suggests.

Acegas shares, potential for growth (Acegas, le potenzialita di crescita del
titolo)

05/14/2001
La Repubblica
41
Copyright (C) 2001 Abstracted from La Repubblica in Italian; Source: World
Reporter (TM)

Italian brokers Rasfin SIM have indicated the potential for growth in the
shares of Acegas, the former municipal utility of the Italian city of
Trieste. Acegas closed the first quarter of this year with turnover of L137bn
(+45 per cent). Results attributed in part to the start of production of
Estenergy, a consortium of the utilities of Udine, Trieste, Gorizia and Enron
of the US, which supplies energy and services to parts of Friuli.
Also significant, according to Rasfin, were investments over the period,
which totalled L43bn.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

A Section
IN THE LOOP Al Kamen
Roundabout to the Oval Office
Al Kamen

05/14/2001
The Washington Post
FINAL
A19
Copyright 2001, The Washington Post Co. All Rights Reserved

Sometimes even Cabinet officers can lose their way in the White House. So
there was Health and Human Services Secretary Tommy G. Thompson, clearly lost
Friday at a fork in a corridor near White House spokesman Ari Fleischer's
office.
"How do you get to the Oval Office?" he asked a group of reporters and was
directed to the right door, according to a wire report.
Fleischer, though, told reporters that was the wrong answer.
"How do you get to the Oval Office? First you win the Iowa caucus, then you
lose the New Hampshire primary, then you make a comeback in South Carolina,"
he quipped as he recalled President Bush's early primary campaign last year.
Passport, Please
Meanwhile, folks at Thompson's HHS may be taking to calling him "Tightwad
Tommy." Seems a memo went out March 15 undermining Alaska and Hawaii's claims
to be part of the United States.
Employees "must clear . . . international travel" with the office of the
deputy chief of staff for operations, said the memo from the deputy chief, Ed
Sontag. To clarify, "HHS employees seeking to travel outside the continental
U.S." for meetings and conferences, must get permission and then file trip
reports within two weeks.
This sent officials calling around, asking whether trips to those states were
to go through the international travel approval system just as if they were
going to Russia or the Congo.
Apparently so. The edict would appear to include even the nearby Virgin
Islands and practically next-door Puerto Rico as well. Loop Fans can only
hope this outrage doesn't spread to other agencies. It would make for some
cold winters.
Chewing Out on the Bush Beat
Speaking of Fleischer, the usually affable spokesman is not reluctant to get
tough with reporters when he believes they've stepped out of line.
Sheriff Fleischer was on duty Thursday and upset with Houston Chronicle
reporter Bennett Roth. Bush that morning urged parents to talk more to their
kids about the dangers of drugs.
Roth, at Fleischer's daily briefing, asked: "Ari, the president talked about
parental involvement today. How much has he talked to his own daughters about
both drugs and drinking? And given the fact that his own daughter was cited
for underage drinking, isn't that a sign that there's only so much effect
that a parent can have on their children's behavior?"
Fleischer responded brusquely: "No, I think, frankly, there are some issues
where I think it's very important for you all in the press corps to recognize
that he is the president of the United States; he's also a father. And the
press corps has been very respectful in the past of treating family matters
with privacy, and I'm certain that you're going to do so again. I hope so."
Fleischer later called Roth to chastise him, telling him his question had
been "noted in the building."
Competing to Oversee the Corps
Former Mississippi representative Mike Parker, a Democrat-turned-Republican
who lost a gubernatorial bid a couple of years back, had been seen as the
pick to be assistant secretary of the Army for civil works, overseeing the
Army Corps of Engineers.
Parker, a former undertaker, had support from the barge industry, the various
corps constituencies and fellow Mississippian Trent Lott, the majority leader
of the Senate.
But the Pentagon's choice was Lawrence Izzo, recently retired president of
Enron Engineering and Construction Co. who has been in the mix for several
jobs. Izzo, a West Point grad, had 23 years at the Corps before going to
Enron, former home of Army secretary-designate Thomas White.
The majority leader was said to be most unhappy. The latest word is Parker's
getting the job.
Ex-Reporters Move On
Kenneth J. Klein, a former reporter who has worked for 17 years for Florida
Sen. Bob Graham (D), most recently as chief of staff, is joining the Outdoor
Advertising Association of America as executive vice president for government
relations.
Former Washington Post colleague Thomas W. Lippman, a 33-year national,
foreign and financial reporter and author who became vice president of
communications at the World Wildlife Fund in 1999, is moving next month to be
managing director at communications consulting firm Chlopak, Leonard,
Schechter & Associates.
Confirmation Countdown
Staff writer Michael Grunwald contributed to this report.

http://www.washingtonpost.com

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.

Largest LNG 13 Conference Opens Today

05/14/2001
Korea Times
Copyright (C) 2001 Korea Times; Source: World Reporter (TM)

The largest-ever International Conference and Exhibition on liquefied natural
gas (LNG 13) opens today for a four-day run at the Convention and Exhibition
Center (COEX) in southern Seoul.
A total of 125 companies and organizations represented by 2,500 delegates and
exhibitors from 50-odd countries, including Japan, the United States, Britain
and Australia, are participating in the international event, co- organized by
the Korea Gas Union and the Korea Gas Corp. (KOGAS).
Commerce, Industry and Energy Minister Chang Che-shik will be delivering
congratulatory remarks on behalf of Prime Minister Lee Han-dong who is
currently on an official trip to the Middle East. There will be a visual
presentation from Lee during the opening ceremony.
``We have spent more than a year preparing for this international event which
is the largest in terms of the number of participants and exhibitors,'' said
Lee Seung-hwan, chairman of the Korean National Organizing Committee.
LNG 13 is 15 percent larger than the conference and exhibition held in
Australia back in 1998 which reflects the growth of the industry, Lee
explained, adding that the demand for LNG has been increasing rapidly here in
Korea.
A wide range of topics will be presented during the four days of conferences
and exhibitions, helping to showcase the importance of the LNG industry.
Among the numerous papers to be presented at the triennial event are ``Old
World, New World, Tomorrow's World: How LNG Has Changed Since LNG 12'' and
``The Next Generation of LNG Plants.''
``Hosting this meaningful event in Korea will help elevate Korea's image in
the international market, particularly with the sheer scale and size of LNG
13,'' said Kim Myung-kyu, president and CEO of KOGAS and chairman of the
Korea gas Union.
The conference will include paper sessions, workshops, poster sessions and
film presentations while exhibitors will demonstrate their exclusive
technologies for the exploration and production of LNG as well as plant
construction.
The official sponsors of LNG 13 are the International Gas Union, the Gas
Technology Institute and the International institute of Refrigeration while
the major sponsors are Shell Gas and Power, KOGAS, LG-Caltex, SK-Enron, the
Qatari Group, TotalFinaElf, British Petroleum and Exxon Mobile.
In addition to the conference and exhibition, there will be a technical visit
to the Inchon LNG Receiving Terminal in Inchon, about 50 kilometers west of
Seoul, on Friday.

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.


What is, exactly, the state of play here ? I nothing else happens, on Monday does the product go up on the wallboard ? Has Eddie quoted on px to the Merc ? I need to have my facts straight when this becomes a pissing match between Whalley ,Arnold and Lavorato.


I don't know if I sent you a note on this already but pls postpone install date until further notice. I am unavailable for the rest of the week.

Barry


Kevin:

Please add the Copy Center and the Graphics people for a tray.

Thanks!

---------------------- Forwarded by Shirley Crenshaw/HOU/ECT on 11/20/2000
11:18 AM ---------------------------

Anita DuPont@ENRON
11/17/2000 10:07 AM
To: Shirley Crenshaw/HOU/ECT@ECT
cc:
Subject: Christmas Baskets

Shirley, may I send a basket or tray to the Copy Center and to the Graphics
people for the work they did on the EES Seminars?
---------------------- Forwarded by Anita DuPont/NA/Enron on 11/17/2000 10:02
AM ---------------------------

Kevin G Moore@ECT
11/10/2000 09:32 AM
To: Vince J Kaminski/HOU/ECT@ECT, Mike A Roberts/HOU/ECT@ECT, Shirley
Crenshaw/HOU/ECT@ECT, Anita DuPont/NA/Enron@ENRON
cc:

Subject: Christmas Baskets

Here is the final list for Christmas Baskets for this year
with the exception of Stinson Gibner and Vasant Shanbhogue.

 Any comments or questions please call x34710.

                                             Thanks
                                         Kevin Moore

We still have plenty of time......
 Deadline Date : December 12,2000


Gene and Susan,

Here is the draft award agreement for the plan.  Let me know if you have
comments.

I will be getting with Brian Bloom this week with our comments to the plan
document.

Michelle

---------------------- Forwarded by Michelle Cash/HOU/ECT on 02/14/2000 09:06
AM ---------------------------

"Wilson, Jeanne" <jtrippon@velaw.com> on 02/11/2000 05:01:16 PM
To: "'Michelle.Cash@Enron.Com'" <Michelle.Cash@Enron.Com>,
"'Aaron_Brown@enron.com'" <Aaron_Brown@enron.com>
cc: "Bloom, Brian" <bbloom@velaw.com>
Subject: DRAFT Award Agreement

I am forwarding, by attachment to this e-mail a draft, dated February 11,
2000, of the form Award Agreement Under the Enron Investment Partners
Incentive Plan.  Once you have had a chance to review the draft, please call
me at (713) 758-4505 or Brian Bloom at (713) 758-2623 with any comments or
questions.  We look forward to hearing from you.

 <<125080_1.doc>>

 - 125080_1.doc


Hey Marc - what time is your soiree tomorrow?


Looks good, except for the comments on "discourages generation".  Make it
"discourages peaking generation".

Although I agree that any price cap has a "discouraging " impact on the
generation market, it is a matter of degree in this sound bite environment.
To the point, without a creative exit strategy, I would not waste development
money on a 10000-13000 BTU/KWh heat rate peaking project.  However, even with
the FERC order, I will continue to spend money developing base load, 7000
BTU/KWh heat rate projects.  The state is tremendously short on power, the
price cap goes away (theoretically) in two years, $150 is well above the
average expected price in our forcast models (although I agree not above the
price for particular hours if scalers are applied.)

	James D Steffes@ENRON
	11/01/2000 11:39 AM

		 To: Jeff Dasovich/NA/Enron@Enron
		 cc: David Parquet/SF/ECT@ECT, Jeff Dasovich/NA/Enron@Enron, Joe
Hartsoe/Corp/Enron@Enron, Karen Denne/Corp/Enron@Enron, Mary
Hain/HOU/ECT@ECT, Mona L Petrochko/NA/Enron@Enron, mpalmer@enron.com, Paul
Kaufman/PDX/ECT@ECT, Richard Shapiro/NA/Enron@Enron, Sandra
McCubbin/NA/Enron@Enron, Sarah Novosel/Corp/Enron@Enron, skean@enron.com,
Susan J Mara/SFO/EES@EES, Tim Belden/HOU/ECT@ECT
		 Subject: Re: Message Points

I agree with much of what Jeff has written.  Here are some additions -

On FERC getting a lot right, look at the Order in relation to our 4 key
points filed in the White Paper -
Removing Market Transparency - Still need FERC to take action
Development of Forwards Market and Risk Management - Great results
Removing distortions on Prices - Wrong action
Ending Cal ISO / Cal PX Stakeholder Boards - Great results

On the risk management issue, FERC itself said "The single most important
remedy that California market needs is the elimination of rules that prevent
market participants from managing risk". [FERC PRESS RELEASE]

ADD - FERC Staff did a great job on preparing a detailed analysis of the
market issues.

	Jeff Dasovich
	Sent by: Jeff Dasovich
	11/01/2000 01:17 PM

		 To: Richard Shapiro/NA/Enron@Enron, James D Steffes/NA/Enron@Enron,
skean@enron.com, Joe Hartsoe/Corp/Enron@ENRON, Sarah
Novosel/Corp/Enron@ENRON, Tim Belden/HOU/ECT@ECT, Mary Hain/HOU/ECT@ECT,
Susan J Mara/SFO/EES@EES, Mona L Petrochko/NA/Enron@Enron, Sandra
McCubbin/NA/Enron@Enron, mpalmer@enron.com, Karen Denne/Corp/Enron@ENRON,
David Parquet/SF/ECT@ECT, Paul Kaufman/PDX/ECT@ECT
		 cc:
		 Subject: Message Points

Here are the messages as I understand them.  Please let me know if I've
misconstrued anything.  Thanks.

FERC got  a lot right in the order and we're very encouraged as a result.
In particular, ending the PX buy/sell requirement and permitting utilities to
manage risk through a portfolio of short and long term contracts is a
fundamental step in the right direction.
However, the proposed price cap is unworkable and will jeopardize realibility
in California.  As structured, it will:
discourage the development of new generation to serve California
fail to provide adequate incentives for demand responsiveness.
force Enron to abandon 300 MWs of new power projects planned for California.
We look forward to participating in FERC's process and are hopeful that
FERC's final order will fix the deficiencies in the current price cap
proposal.
We encourage California to work with FERC to implement the proposals and
quickly fix the flaws in the market on behalf of the state's consumers.


eSource Presents Free CountryWatch Training

This class will provide an introduction and overview of the CountryWatch product offerings and services including
Country Reviews, Country Wire, CountryWatch Data and Business Services components.
Identify how Enron employees can use the CountryWatch products in order to satisfy country-specific research and business needs.

   Attend one of our CountryWatch Sessions:

	August 13	1:30 - 2:30 PM	EB5C2
	August 13	2:45 - 3:45 PM	EB5C2

------------------------------------------------------------------------------------------------------------------------------------------------------------

Seats fill up fast! To reserve a seat, please call Stephanie E. Taylor at 5-7928
Check the eSource training page at http://esource.enron.com/training.htm for additional training sessions and vendor presentations.


Liz,

I'm not sure if we met either time at the Austin airport this summer.  My husband and I hosted 4-year old Alina, part of the same Taraz group as your child.   We miss her terribly and are counting the days until we can bring her home.  We're certainly not looking forward to travel at this time, and even less happy about leaving our 6-year old son home while we are out of country, but we are resolved to bring Alina home -- the sooner, the better.

Based on conversations with Ginger and Chris, it sounds like we may face the travel adventure at the same time -- although I'm not sure when.

We have completed our dossier (although I haven't sent the originals to Ginger); completed our home study & sent into INS recently; and we've already done the INS fingerprinting.  So I guess the next steps are INS approval, shipping stuff off to Kazakstan, and getting our Kazakstan visas.

One of the hardest parts of the Kidsave program is not being able to communicate with the kids when they return.  She is in the Ulan orphanage in Taraz.  Alina speaks only Kazak, no Russian, so I'm not sure how I'd communicate with her long distance even if I had an address or phone number.  Fortunately I have received periodic emails from Larissa, the escort that came to Houston with the children this summer.  Her husband, Sergei, has been to visit the children in Taraz & she sent me a picture of Alina.

Sorry to ramble so.  I'm anxious to talk to you about your child, your travel plans, possibilities for hiring an escort, etc.  Please feel free to call or email me anytime.  Here is my contact info.

Shelley Corman (husband Kim Erb)
14126 Scarborough Fair
Houston TX 77077

scorman@enron.com (work)
cormanerb@cs.com (home)

713-853-7083 (work)
281-531-0385 (home)
713-857-2103 (cell)


Morning Report for Friday, June 8, 2001

http://www.internetstockreport.com/column/article/0,1785,1661_780771,00.html

Intel, Juniper Tell Different Tales

By Paul Shread (mailto:pshread@internet.com)

June 8, 2001 - Yesterday's lack of an earnings warning from Intel (NASDAQ:JNPR) was good news, but this morning's warning from Juniper Networks (NASDAQ:JNPR) was anything but.

And the news from both companies underscores just how tough the current environment is.

After months of not being able to lower guidance fast enough, Intel gave guidance on April 17 that is still holding up seven weeks later. But let's not turn handstands over the news. There were more negatives than positives in Intel's first-ever mid-quarter update. For starters, it's one thing for business to stabilize. It's quite another for it to turn up, and Intel pointedly avoided providing any guidance beyond the June quarter, except that to say that it expects a seasonally strong second half.

Intel said it sees stability in the microprocessor business, although the company expects inventory to be up somewhat over the March quarter. But it continues to see weakness in the communications business, and Juniper drove that point home with an exclamation mark this morning.

Juniper said it sees earnings of 8-9 cents a share this quarter, well below estimates of 24-cent earnings. Revenue guidance was lowered from $300-$330 million to $200-$210 million. For a genuine leader like Juniper, that's a huge warning. The company also announced 8-9% layoffs.

Juniper cited "a challenging service provider and global carrier business environment, brought about by a capacity absorption cycle taking place currently throughout the industry." In other words, all those next-generation service providers, CLECs and long-distance carriers that have sprung up in recent years are undergoing a shakeout of their own, and all the equipment companies that have sprung up to serve them are suddenly seeing business drop out from underneath them. This is not something that Federal Reserve rate cuts are likely to help, and it's likely to affect everyone from shareholders to employees to venture capitalists.

Oddly, this is probably worse news for Ciena (NASDAQ:CIEN), which is now the only telecom equipment company whose earnings are still holding up, than it is for Cisco (NASDAQ:CSCO), Juniper's chief competitor in the router business. Cisco focuses more on the enterprise market, while Ciena has substantial carrier exposure. It will be interesting to see if demand for Ciena's optical equipment can withstand a shakeout in the carrier business, which the Juniper warning signals is clearly underway. The news could also weigh on Avici (NASDAQ:AVCI), which is focused almost entirely on the carrier market.

/-------------------------------------------------------------------\

** Have a FLASH Product or Service to Sell? **
The FlashKit Classifieds provide a unique opportunity for you
to reach millions of visitors per month!
Only $50 for 14 days!
Check it out today! http://classifieds.flashkit.com/

\--------------------------------------------------------------adv.-/

The Juniper and Intel news made for some interesting technical developments in the after-market and pre-market trading sessions. Intel had cleared 32.57 resistance after its conference call, but dropped back below that level on the Juniper news. And Juniper fell 6 points to 40 support; below that level, the next support is in the 33-36 range.

From a valuation standpoint, neither stock is a screaming buy at these levels. Intel is trading at 55 times this year's expected earnings, which are predicted to fall 63%. And it is trading at 40 times 2002 estimated earnings, which are expected to be half what the company earned in 2000. For a company with an expected long-term growth rate of 18%, that is one expensive stock.

And we'll have to wait to see how far Juniper's estimates come down before we can calculate a new fair value for that one. But more and more, telecom equipment stocks are beginning to look like a 2002 story.

Disclaimer: Neither internet.com nor the writers of this newsletter makes specific trading recommendations or gives individualized market advice. Information contained in this newsletter is provided as an information service only.  internet.com recommends that you get personal advice from an investment professional before buying or selling stocks or other securities. The securities markets are highly speculative areas for investments and only you can determine what level of risk is appropriate for you. Also, users should be aware that internet.com, its employees and affiliates may own securities that are the subject of reports, reviews or analysis in this newsletter. Although internet.com obtains the information reported herein from sources that it deems reliable, no warranty can be given as to the accuracy or completeness of any of the information provided or as to the results obtained by individuals using such information. Each user shall be responsible for the risks of th!
eir own investment activities and, in no event, shall internet.com or its employees, agents or affiliates be liable for any direct, indirect, actual, special or consequential damages resulting from the use of the information provided.

internet-stock-report-text Is Powered By http://By.SparkLIST.com/
In-house vs. Outsourced Email List Hosting: Are you
paying too much for your email list management? Download
the FREE REPORT: http://SparkLIST.com/free-report/

internet-stock-report-text Is Powered By http://By.SparkLIST.com/
SparkLIST delivers high volume fast and reliable email
newsletter outsourcing which allows you to focus on your
core business. Contact us: mailto:free-quote@sparklist.com

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Advertising: If you are interested in advertising in our newsletters, call
Frank Fazio on 1-203-662-2997 or send email to mailto:ffazio@internet.com
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
For contact information on sales offices worldwide visit
http://www.internet.com/mediakit/salescontacts.html
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
For details on becoming a Commerce Partner, contact David Arganbright
on 1-203-662-2858 or mailto:commerce-licensing@internet.com
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
To learn about other free newsletters offered by internet.com or
to change your subscription visit http://e-newsletters.internet.com
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
internet.com's network of more than 150 Web sites are organized into 16
channels:
Internet Technology          http://internet.com/it
E-Commerce/Marketing         http://internet.com/marketing
Web Developer                http://internet.com/webdev
Windows Internet Technology  http://internet.com/win
Linux/Open Source            http://internet.com/linux
Internet Resources           http://internet.com/resources
ISP Resources                http://internet.com/isp
Internet Lists               http://internet.com/lists
Download                     http://internet.com/downloads
International                http://internet.com/international
Internet News                http://internet.com/news
Internet Investing           http://internet.com/stocks
ASP Resources                http://internet.com/asp
Wireless Internet            http://internet.com/wireless
Career Resources             http://internet.com/careers
EarthWeb		     http://www.earthweb.com
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
To find an answer - http://search.internet.com
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Looking for a job? Filling an opening? - http://jobs.internet.com
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
This newsletter is published by internet.com Corporation
http://internet.com - The Internet & IT Network
Copyright (c) 2001 INT Media Group, Incorporated. All rights reserved.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
For information on reprinting or linking to internet.com content:
http://internet.com/corporate/permissions.html
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
---
You are currently subscribed to internet-stock-report-text as: alewis@ect.enron.com
To unsubscribe send a blank email to leave-internet-stock-report-text-5597021I@list5.internet.com


Sorry, I filled out the form and sent it to HR.  It was difficult to rank the
candidate using the printed form but I thought she looked very good and after
speaking with Elizabeth to get her impressions (which I have not done), I
would probably make her an offer.  Sara

Carol St Clair
04/11/2000 01:57 PM
To: Susan Flynn/HOU/ECT@ECT, Tana Jones/HOU/ECT@ECT, Sara
Shackleton/HOU/ECT@ECT
cc:
Subject: Jacqualine McKoy

Please send me an e-mail today with your impressions of this candidate so
that I can report back to HR.  Thanks.
Carol


---------------------- Forwarded by Michelle Parks/Corp/Enron on 05/09/2000
03:03 PM ---------------------------

	From:  Garrett Tripp @ ECT                           04/26/2000 05:44 PM

To: Michelle Parks/Corp/Enron@Enron
cc:

Subject: Texas Tolling Exploratory Pricing: Corrected

The intrinsic valuation in the Corpus quote was incorrect, it is corrected in
this file!

Berney asked me to run these scenarios for you: Wolf Hollow, Corpus Christi.
  Please see attached file.  Pricing is not for transaction purposes.

Thank you, (call with any questions)
Garrett
39335


LIMITED OFFER!! SALE!
Experience This POTENT Pheromone Formula That Helps
Men and Women Attract Members of The Opposite Sex Click here to learn more:
Ever wonder why some people are always surrounded by members
of the opposite sex?
Now YOU Can...................
*Attract Members of The Opposite Sex Instantly
* Enhance Your Present Relationship
* Meet New People Easily
*Give yourself that additional edge
* Have people drawn to you, they won't even know whyClick Here For Information
Read What Major News Organisations Are Saying About Pheromones!

To be removed from our mailing list,Click Here


Name	Cost	Status	Implementation Comments
	Application/Database
	SITARA - Production US...
SITARA - SCI/CPR...
	Rejected
Pending		User already has access to Sitara.


A-eet


ABX 1 passed off of the Assembly floor on a vote of 54-25 and is on its
way to Governor Davis who is expected to sign the measure immediately.
Only four Republicans voted for the bill.


Dear Mr Lay

Issue 32 - 12th October 2000

CONTENTS

1 - This Weeks E-News Stories
2 - Conference News, 2 for 1 Delegate Places
3 - Free issues of MENA Petroleum Bulletin
4 - Personalise Your E-news Stories
5 - Market Analysis Report News
6 - Author Opportunities with SMi's Market Analysis Report Series
7 - Feedback: Let us know how you feel we could improve this service

Welcome to MENA E-News, delivering you the latest Middle East and North
African oil, gas, power and petrochemical headlines to your virtual
doorstep.

MENA E-news is your FREE personalised weekly news service from the
publishers of MENA Petroleum Bulletin
http://www.smipublishing.co.uk/mena-enews.asp

Why is it E-News different?  Because you can personalise your issues to make
sure you receive the stories that matter to you.

******E-NEWS THIS WEEK*******

SONATRACH ASK FOR PATIENCE OVER OZ2 PIPELINE CONTRACTS
Algiers - Sonatrach has asked bidders to extend until the end of 2000 offers
made for the $1bn OZ2 pipeline system, designed to extend the capacity of
the crude oil corridor from the central el_hamra oil field to the Arzew
terminal west of Algiers. The extension will allow the company more time to
evaluate the bids
About six companies/groups are understood to be bidding for the three
contracts which are estimated to be worth $220-250m each. They include CCC;
a consortium of Bonatti, with Entrepose and Dragados & Construcciones and
Bechtel. The first two contracts involve the construction of the pipelines
with a third contract for six pumping stations. The recent political changes
in Algeria, combined with internal administrative changes in Sonatrach, are
said to have contributed to the delay.

OIL PRICES RISE OVER ISRAELI CONFLICT
London - Oil prices soared on global markets last night following rising
tensions in the Middle East.
London Brent blend futures rose 72 cents to $31.48 but remains short of a
10-year high $34.98 touched last month. US light crude was up 92 cents at
$32.79 helped by speculators returning to buy oil after a two-week sell-off.
Following Saudi Arabia's warning that Riyadh and other Arab states would not
"watch with their hands tied" if Israel attacked Lebanon or Syria, the cost
of a barrel of crude went up almost a dollar to $32.79 (o22.60) in New York.
Earlier the International Energy Agency set alarm bells ringing when it said
the West was heading into winter with inventories well below the seasonal
norm.
Oil prices have retreated from their 10-year peaks last month after pressure
from the G7 industrial nations on producers to pump more crude and the US
decision to release 30m barrels from its strategic reserve. After briefly
dipping below $30, prices have risen amid concerns that demand will exceed
supply in the coming months, particularly if the violence in Israel leads to
a broader conflict. Oil prices are seen as a threat to the prospects of low
inflation in the West, and yesterday's increases spilled over into bond
markets, where worries about Wall Street and energy shortages had already
driven yields higher.
A wave of violence between Palestinians and Israelis over the past 12 days
has killed at least 90 people, mostly Palestinians.

BUY-BACK TERMS SET TO CHANGE
Tehran - In an interview with Petroleum Argus this month, Mehdi Hosseini,
former Deputy Oil Minister for international Affairs and now Managing
Director at Kala, the procurement arm of NIOC based in London, indicated
that future negotiations with foreign oil companies will take place using
more favourable terms.
NIOC is reportedly close to implementing a more attractive buy-back formula.
Since the Islamic Republic re-opened its doors to foreign oil companies in
1997, executives had quietly bemoaned the buy-back formula as offering small
capital returns on huge investments. Despite this, Iran's energy buy-back
projects have so far attracted close to $10bn capital to the Iranian energy
sector. NIOC argues that it is their duty to negotiate terms favourable to
its population rather than to foreign entities. It now appears that in the
face of increased competition for foreign investment from its Gulf
neighbours, NIOC is prepared to compromise. For further details please visit
http://www.petroleumargus.co.uk

TURKIOG' 2000 UPDATE
London - Please be advised that time is running out to register for TURKIOG'
2000 conference in Istanbul on 16th and 17th of November. The event,
supported and endorsed by the Ministry of Energy & Natural Resources, Botas,
Tupras, TPAO, Directorate of Petroleum Affairs and Petkim, has now attracted
in excess of 600 delegates according to the organisers, ITE Exhibitions. The
supporting exhibition has attracted the participation of over 100 companies,
all of whom want to participate at what will prove to be the country's main
oil and gas event of 2000.
The MENA Petroleum Bulletin is pleased to offer you the chance to join us at
the event and hear the latest presentations from all of the state entities
and foreign companies involved in the growing oil and natural gas markets of
Turkey. For further details please send an e-mail to
oilgas@ite-exhibitions.com or visit their website at
http://www.ite-exhibitions.com

*****CONFERENCE NEWS*****

2 FOR 1 DELEGATE PLACES
B2B MARKETPLACES IN OIL AND GAS
1 & 2 November 2000, The Hatton, London

Find out about the successes and experiences of those already operating in
B2B Marketplaces in Oil and Gas at SMi's forthcoming conference.  This event
will include presentations from:

* Jeff Bennett, Global Procurement Manager, Amerada Hess
* Ash Bakshi, V.P. & Managing Director, Petrocosm (International)
* Robert Moony, CEO, Envera
* Steve Pottle, Chief Executive, EnergyPrism
* Bill Coates, E-commerce Co-ordinator, Schumberger Oilfield Services

Other issues to be covered include effects of e-commerce on traditional
procurement and logistics, e-procurement trends, development and
implementation of an e-procurement strategy and many case studies of
projects taking place during 2000.

There will also be two half-day interactive workshops following the
conference.  The first 'Becoming an Integral Part of the Oil and Gas E-
Business Agenda' will enable delegates to test and evaluate e-market
decisions before roll out using Pagoda's dynamic e-market simulation tool.
The second 'Human Resources Procurement On-line for Oil and Gas' will
discuss how to tap into a low cost, global human resources base through
e-commerce.

The full conference programme is available at
http://www.smi-online.co.uk/B2Benergy.asp

Or contact our delegate co-ordinator Bethan Jones
bjones@smiconferences.co.uk or telephone + 44 (0) 20 7827 6176

MIDDLE EAST GAS
13 & 14 January 2001, Dubai

Maximise the opportunities offered by the global increase in demand for
natural gas.  SMi's Middle East Gas Conference offers you the opportunity to
be up to date with the latest market developments in just two days.

The conference will address key issues including Oman's Gas Reserves, the
Iranian buy back situation and potential investments in Saudi Arabia.  But
that's not all, the conference also includes practical case studies from
those already established in the area.  These case studies include UAE's
Dolphin Project, Qatar's role in the Middle East gas market and LNG projects
in Oman.

The excellent speaker line up includes;

* Dr Peter Wells, Managing Director Middle East, Lasmo
* Sheikh Ahmed Al-Maskari, Head of Public Affairs, Oman LNG
* Naser Al Jaidah, Director for Oil and Gas Ventures, Qatar General
Petroleum Company
* Dr Ranald Spiers, Regional Director Middle East & Africa, National Power
* Edward Walshe, Senior Vice President LNG, BG International
* Abdulla Khouri, Communications Manager, UAE Offsets Group
* Roger Haines, Deputy Chairman, Gulfstream Resources
* Marie Francoise Chabrelie, General Secretary, Cedigaz

There will also be plenty of opportunities to meet the key players and
discuss market developments and potential.  The high quality of our speakers
means you can be confident of gaining insight from the experts.

The full conference programme is available at
http://www.smi-online.co.uk/transportgas7.asp

Or contact our delegate co-ordinator Bethan Jones
bjones@smiconferences.co.uk or telephone + 44 (0) 20 7827 6176

******FREE ISSUES OF THE MENA PETROLEUM BULLETIN******

As a subscriber to MENA E-News we would like to offer you a two-month trial
subscription to the MENA Petroleum Bulletin absolutely free!

The MENA Petroleum Bulletin analyses the major developments in the region's
oil, gas, power and petrochemical sectors. From Morocco to Iran the MENA
Petroleum Bulletin delivers market commentary on the liberalisation and
regulation of the region's oil, gas, power and petrochemicals markets. Each
month subscribers to the MENA Petroleum Bulletin receive news of policy,
regulation and liberalisation that directly impact upon the ability of you
and your organisation to take advantage of the emerging business
opportunities. With the suspension of UN sanctions against Libya and the
ameliorating relationship between Iran and The West, there is no better time
to take advantage of the myriad projects on offer.

Our features, which are written by industry insiders and regional
correspondents, provide in-depth news coverage, incisive commentary and
vital market analysis. Each issue contains a country profile, project
profile and an interview with a leading industry expert to ensure that you
are kept informed of recent developments in the region.

FREE with the MENA Petroleum Bulletin each month is the PROJECT TRACKER,
which analyses the status of individual projects and tenders in each
country. With over 32-pages of projects, the PROJECT TRACKER ensures that
you are informed of licensing rounds, EOR projects, 'Buy-back' projects,
FEED and EPC tenders as and when they happen. Complete with contact listings
for each project the information you need is always at your disposal when
you subscribe to the MENA Petroleum Bulletin. No other publication offers
this service, and it is available to you FREE of charge when you subscribe.

Please feel free to request your two free issues by forwarding your full
postal address to Our Client Service department at
mailto:menasample@smipublishing.co.uk

Alternatively, please visit our web site for further details at
http://www.smipublishing.co.uk/mena-enews.asp

*****PERSONALISE YOUR E-NEWS STORIES*****

PERSONALISE your weekly copy of MENA E-News to receive the latest stories
that interest you and Enron Corp.

Simply reply to this e-mail with a selection of four of the following
categories and we will guarantee that these sector headlines will be
delivered direct to your in-box each week.

Government Policy, Taxation & Regulation
Oil & Gas Exploration, Drilling and Development
Gas Transportation, Marketing & Sales
Oil Pipelines & Transportation
Oil Production and Global Crude Oil Markets
Gas Production
LNG
Construction & Engineering
Mergers & Acquisitions
International Sanctions
Power Generation & Transmission
Petrochemicals

For more information on MENA Petroleum Bulletin, and a chance to win a FREE
bottle of champagne, please visit our web-site

http://www.smipublishing.co.uk/mena-enews.asp

Alternatively e-mail us at mailto:enquiries@smipublishing.co.uk

*****MARKET ANALYIS REPORT NEWS*****

FISCHER-TROPSCH GTL REPORT, PROSPECTS AND IMPLICATIONS

SMi's Fischer-Tropsch GTL Report is the first report of its kind on the
market. It provides a concise and informed understanding of Fischer-Tropsch
technologies. It is aimed at the non-technical executive or consultant who
needs to keep up to date with new technologies for forward planning.

It provides you with a description and analysis of:
* what is Fischer-Tropsch GTL technology, in layman's terminology
* the commitments of the principal companies and governments involved in
Fischer-Tropsch developments
* the main economic, commercial and financial factors which determine the
viability of Fischer-Tropsch GTL projects
* the competitive relationship between Fischer-Tropsch GTL, Liquified
Natural Gas and Natural Gas Hydrates
* potential impacts of the new technology on the oil industry - both
upstream and downstream
* forecasts for the growth of Fischer-Tropsch GTL production up to 2005, and
its likely growth up to 2010 and 2015
* the impact of Fischer-Tropsch technologies on pertinent political and
environmental questions: issues of climate change and global geopolitical
relationships

For more information on this report e-mail us at:
mailto:enquiries@smipublishing.co.uk

Alternatively visit us
http://www.smipublishing.co.uk/gastoliquidsreport1.asp

THE MIDDLE EASTERN POWER REPORT

This market analysis report is designed to provide a comprehensive
understanding of all aspects of the power industry in the countries of the
Middle East.  The report features energy profiles, industrial structures,
supply and demand data and forecasts, policy and de-regulation issues of the
private sector, as well as investment and future prospects within the
following countries:

* Iran  * Iraq  * Kuwait
* Jordan * Oman  * Saudi Arabia
* Syria  * UAE  * Qatar
* Yemen * Pakistan * Turkey
* Egypt  * Bahrain * Lebanon

For more information on this report e-mail us at:
mailto:enquiries@smipublishing.co.uk

Alternatively visit us at http://www.smipublishing.co.uk/mena-enews.asp

****AUTHOR OPPORTUNITIES WITH SMi's MARKET ANALYSIS REPORT SERIES****

SMi Publishing Ltd is a leading publisher of business to business
information.
Our Market Analysis Reports are 30,000 word rigorous analytical briefings
providing timely industry and market forecasts. We are looking for authors
to write for our Energy portfolio on topics such as:

- Deep and Ultra-Deep Water Drilling
- Smart Reservoirs
- Coal-Bed Methane
- EP Data Management

If you or one of your colleagues are interested in writing a Report, please
contact Elizabeth Gray: mailto:egray@smi-online.co.uk

******YOUR FEEDBACK********

We hope you have found this weeks copy of E-News beneficial.  We are always
keen to receive your comments and ways you feel we could improve this
service. mailto:feedback@smipublishing.co.uk

Regards,

Richard Nolan

PLEASE FEEL FREE TO FORWARD THIS MESSAGE ON TO A FRIEND OR COLLEAGUE YOU
FEEL IT WOULD BE OF INTEREST TO
_________________________________________________________
This mail was not sent unsolicited if you would prefer not to receive
information from us by e-mail please reply placing the word "Remove" as the
subject
_________________________________________________________
You are currently subscribed to MENA E-News as: [klay@enron.com.]


i guess we'll see.  so what was my answer to your proposal?

 -----Original Message-----
From: 	Maggi, Mike
Sent:	Monday, November 19, 2001 11:02 AM
To:	Nelson, Michelle
Subject:	RE:

yep

 -----Original Message-----
From: 	Nelson, Michelle
Sent:	Monday, November 19, 2001 11:01 AM
To:	Maggi, Mike
Subject:	RE:

um nope.  are you?

 -----Original Message-----
From: 	Maggi, Mike
Sent:	Monday, November 19, 2001 11:01 AM
To:	Nelson, Michelle
Subject:	RE:

havent you learned yet im always right

 -----Original Message-----
From: 	Nelson, Michelle
Sent:	Monday, November 19, 2001 11:00 AM
To:	Maggi, Mike
Subject:	RE:

i hope that you are right.

 -----Original Message-----
From: 	Maggi, Mike
Sent:	Monday, November 19, 2001 10:59 AM
To:	Nelson, Michelle
Subject:	RE:

youre not going anywhere

 -----Original Message-----
From: 	Nelson, Michelle
Sent:	Monday, November 19, 2001 10:58 AM
To:	Maggi, Mike
Subject:	RE:

um ok.

 -----Original Message-----
From: 	Maggi, Mike
Sent:	Monday, November 19, 2001 10:57 AM
To:	Nelson, Michelle
Subject:	RE:

nope, and stop

 -----Original Message-----
From: 	Nelson, Michelle
Sent:	Monday, November 19, 2001 10:54 AM
To:	Maggi, Mike
Subject:	RE:

isn't that being too nice?  so i am freaking out about my job again.


---------------------- Forwarded by Catherine Clark/HOU/ECT on 11/27/2000
08:45 AM ---------------------------

"Taylor, Rob" <robtaylor@akllp.com> on 11/24/2000 12:55:59 PM
To: <toxley@winston.com>, <roseann.engeldorf@enron.com>,
<catherine.clark@enron.com>
cc:
Subject: Austin Project Purchase Option

Attached is a revised draft of the Purchase Option Assignment and
Assumption Agreement for the LM6000s to be used in the Austin Project.
The attached reflects the comments of Winston & Strawn.  Also attached
is an execution copy of the agreement.

Serial numbers and other identifying information should be inserted on
Schedule 1 to the agreement prior to execution.

Please call me if you have any questions or comments.

Regards,

Rob Taylor
Andrews & Kurth L.L.P.
600 Travis Street
Suite 4200
Houston, Texas  77002

Tel: (713) 220-4436
Fax: (713) 238-7273
e-mail: robtaylor@andrews-kurth.com

This e-mail is privileged and confidential and is intended only for the
recipient(s) named above.  If you are not the intended recipient, please
(i) do not read, copy, use or disclose the contents hereof to others
(any of the foregoing being strictly prohibited), (ii) notify the sender
immediately of your receipt hereof, and (iii) delete this e-mail and all
copies of it.
 <<Purchase Option Assignment/Assumption.DOC>>  <<PO (Austin) -
Compare.DOC>>
 - Assumption.DOC
 - PO (Austin) - Compare.DOC


"If everybody is thinking alike, then somebody isn,t thinking.8  - George S.
Patton, Jr.

Keeping with our Mind,s Eye Madness week, be sure to check out the Enron Mind,
s Eye Motorcade
on Friday, April 27th from 11:30am to 1:00pm at the Big E Cafe.  This art car
convoy will spend the day visiting
Enron-designated stops in the community to promote innovation and
creativity.  Mirroring Enron,s innovation,
these artists think about the way things could be and are not limited by the
way things are.

Featuring:
Lunch by Escalantes Mexican Grille - choice of beef, chicken or veggie
fajitas with trimmings, dessert and a drink for $5.
Live salsa music will be provided by Tropicrew, featuring Enron,s own Ms.
Alex Villarreal as the lead singer.
Non-profit organizations represented will include the March of Dimes, SEARCH
and the Lupus Foundation of America.
Get lunch free if you're dressed "freaky"!

Word of the Day
Zeitgeist \TSYT-guyst; ZYT-guyst\, noun:  The spirit of the time; the general
intellectual & moral state or temper characteristic of any period of time.


Just writing to inquire about what we are doing with respect to SDG&E's
proposals to use overcollections recovered from all customers to pay off
undercollections to customers subject to the rate cap in SDG&E's service
territory.

Roger


This request has been pending your approval for  2 days.  Please click
http://itcapps.corp.enron.com/srrs/auth/emailLink.asp?ID=000000000009659&Page=
Approval to review and act upon this request.

Request ID          : 000000000009659
Request Create Date : 12/8/00 8:23:47 AM
Requested For       : barry.tycholiz@enron.com
Resource Name       : VPN
Resource Type       : Applications


Group,

Wanted to make sure you were aware of the latest developments...
They will likely not influence us, but, they may influence those we are
trading with.  Be sure to lock down all the specifics of your trades as you
make them (for example... firm, non-firm, til further, one hour only, etc.),
so that no possiblity for a discrepancy exists.

Bill

---------------------- Forwarded by Bill Williams III/PDX/ECT on 01/08/2001
09:01 AM ---------------------------

Alan Comnes@ECT
01/08/2001 08:21 AM
To: tim.belden@enron.com, robert.badeer@enron.com, sean.crandall@enron.com,
bill williams iii@enron, chris.foster@enron.com, greg.wolfe@enron.com,
jeff.richter@enron.com
cc:

Subject: US DOE Extends Calif Pwr Emergency Order Through Jan. 10

To: Traders/Marketers:

Note reporting requirement above $64/MWh.

Please give me  feeback on how this latest order is affecting us.  Please
copy on any communications we get from the ISO or the DOE.

Thanks,

Alan Comnes

US DOE Extends Calif Pwr Emergency Order Through Jan. 10

01/08/2001
Dow Jones Energy Service
(Copyright (c) 2001, Dow Jones & Company, Inc.)

(This article was originally published Friday)

WASHINGTON -(Dow Jones)- The U.S. Department of Energy has extended through
Jan. 10 an emergency order requiring power producers to supply California's
troubled electricity market.
But the latest extension of DOE's seldom-used emergency authority imposes two
new significant conditions on the mandatory power sales.

First, DOE is requiring California to certify within a week's time that it
has taken steps to reduce electricity demand by 5% during periods of peak
demand.

In addition, the order requires that any negotiated power prices above $64
per megawatt-hour be submitted to the U.S. Federal Energy Regulatory
Commission for review to assure the sales price is "just and reasonable."

The latter provision appears aimed at addressing the above-market prices
sellers are requiring as a risk premium given credit concerns surrounding the
state's financially troubled utilities.

The Federal Power Act, as amended by Congress in the 1970s, gives the
secretary of energy broad authority to order power sales in the event of war
or any emergency that threatens "a shortage of electric energy."

Energy Secretary Bill Richardson first invoked the seldom-used emergency
authority Dec. 14, as power producers and marketers balked at supplying
electricity to California unless they received credit guarantees.

The order was seen as helping the state avert imminent rolling blackouts in
the face of tight power supplies and skyrocketing prices, which have sent
California utilities to the brink of insolvency.

The order requires all power producers and marketers who supplied power to
California in the 30 days prior to the Dec. 14 order to deliver any
uncommitted power when the California Independent System Operator declares
its electricity supply inadequate.

The original order provided that, in the event the ISO and power providers
can't agree on a price, the Federal Energy Regulatory Commission would
determine "a just and reasonable rate" for the mandated power sales.

The revised order means that FERC will now determine the justness and
reasonableness of virtually all contracts entered into under the emergency
order.

Friday's action marked the fourth time DOE has extended the order. Last
month, when the order was extended through Jan. 5, Richardson said: "It is my
sincere hope that further action under my emergency powers will be
unnecessary."

Richardson said Friday that he hoped last month's extension would be the
last, but that circumstances dictate the state be given additional time to
adjust the problem.

-By Bryan Lee, Dow Jones Newswires; 202-862-6647; bryan.lee@dowjones.com

Copyright , 2000 Dow Jones & Company, Inc. All Rights Reserved.


Mark,

The best person to talk to about the ISDA is me.  I discussed an ISDA with Tim Roberts when I was in the Salt River offices on March 23rd.  A draft ISDA was sent to Bill Abraham on November 17, 1999.  I requested for a new legal review on 3/28/01.  Let me know if you need a new draft and I can send you or Tim a copy.  My number is 713-853-0685.

Thanks for your inquiry -

Kim Ward

marussel@srpnet.com on 04/05/2001 08:20:15 AM
To:	<Kim.Ward@enron.com>
cc:	<marussel@srpnet.com>
Subject:	FW: Master purchase/sale agreement

I have been trying to get an ISDA going with Enron for several months. Who
is the best contact to call?

-----Original Message-----
From: Kim.Ward@enron.com [mailto:Kim.Ward@enron.com]
Sent: Friday, March 30, 2001 2:59 PM
To: kaprice@srpnet.com
Subject: Master purchase/sale agreement

Kent,

Attached is a draft copy of our Master Purchase/Sale Agreement for physical
natural gas transactions.  As I mentioned before, we can enter into
transactions for less that one year out.  However, for those outside of a
year and for longer terms, we need to have a master in place.  Hopefully,
we can get this one in place so that we will be prepared when/if we get
ready to transact.

Let me know if you have any questions.  I will have our legal guys standing
by to help, too.

Thanks,

Kim Ward

(See attached file: Master_NG_draft_contract.doc)

 - Master_NG_draft_contract.doc