Message-ID: <32034641.1075842533021.JavaMail.evans@thyme> Date: Wed, 17 Jan 2001 07:11:00 -0800 (PST) From: drew.fossum@enron.com To: lee.huber@enron.com Subject: Re: PowerTex Pipeline Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Drew Fossum X-To: Lee Huber X-cc: X-bcc: X-Folder: \Drew_Fossum_Dec2000_June2001_2\Notes Folders\All documents X-Origin: FOSSUM-D X-FileName: dfossum.nsf I don't think having an intrastate in the ETS family would be a problem. We could even run it with a merchant business if we firewalled the merchant entity off from the ETS pipelines. Keep me in the loop and get MKM's group in at the appropriate time (far enough in advance of us submitting a bid that they can opine on the valuation). Thanks. df Lee Huber 01/16/2001 04:17 PM To: Drew Fossum/ET&S/Enron@ENRON cc: Subject: PowerTex Pipeline Any thoughts on the intrastate pipeline aspect?? ---------------------- Forwarded by Lee Huber/ET&S/Enron on 01/16/2001 04:17 PM --------------------------- From: John Goodpasture 01/16/2001 04:14 PM To: Stephen Herber/ET&S/Enron@ENRON, Michael Ratner/OTS/Enron@Enron, Yuan Tian/ET&S/Enron@ENRON, Lee Huber/ET&S/Enron@ENRON, Kim Wilkie/ET&S/Enron@ENRON cc: Subject: PowerTex Pipeline Here is a transmittal from Conoco on the PowerTex deal. They suggest we schedule our data room visit for Friday Jan 26. Please let me know if THIS DATE WORKS FOR YOU? Seems like one day in the data room should be sufficient given that our interest is limited to only the PowerTex system. Before going to the data room, there are several issues we ought to think through. Here are some of them, ... you can probably add others. Assuming we leave it standalone, PowerTex would be the only intrastate pipeline in the ETS family ... is that a problem? ETS can not buy/sell gas, so can the PowerTex business be structured as transport only (or do we need to bring in a marketer or other player?) What are the growth opportunities (access to new customers, inexpensive increases in capacity, etc.) What are major risks going forward (losing customers to competition, contract expiration, reduced contractual transport rates, etc.) Any environmental/litigation exposure Structure of transaction (taxes, liabilities, indemnifications, etc.) Others? Steve is now in Omaha, but when he returns let's get together as a group. JNG ---------------------- Forwarded by John Goodpasture/OTS/Enron on 01/16/2001 03:30 PM --------------------------- "Reeske, Jeff B." on 01/16/2001 02:37:52 PM To: "'john.goodpasture@enron.com'" cc: Subject: Guidelines and Final Bid Criteria <> John, you'll be receiving the original by fed ex tomorrow. - Enron - Final Bid Criteria Letter.doc