Message-ID: <31287725.1075844082519.JavaMail.evans@thyme> Date: Fri, 17 Nov 2000 06:06:00 -0800 (PST) From: christine.stokes@enron.com To: steven.harris@enron.com, kevin.hyatt@enron.com, tk.lohman@enron.com, jeffery.fawcett@enron.com, lorraine.lindberg@enron.com, michelle.lokay@enron.com Subject: Monday Staff Meeting Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: Christine Stokes X-To: Steven Harris, Kevin Hyatt, TK Lohman, Jeffery Fawcett, Lorraine Lindberg, Michelle Lokay X-cc: X-bcc: X-Folder: \Michelle_Lokay_Dec2000_June2001_1\Notes Folders\Discussion threads X-Origin: LOKAY-M X-FileName: mlokay.nsf Guys - Weather permitting in the Texas Panhandle area, I expect to be in Friona, TX on Monday, November 20th, on business. Provided below are some items I would have mentioned in the Monday staff meeting: Plains Farmer's Coop - To date, I have been able to collect approximately half of the $500,000 imbalance which Plains Coop owes TW. I will be meeting Charles Hough in Friona (Friona is located 100 miles west of Amarillo) on Monday to discuss the payment plan for the remaining imbalance amount in additionaI to other general business matters. I discussed my action plan with legal and credit and will request full payment by January 31, 2000, latest date. Effective Febrary 1st, TW will also include penalty payments with any future imbalance outside the +/- 10% tolerance level. Pogo Producing - I met recently with John Havard with Pogo. Pogo plans to spud a well in Eddy county which is an offset to the EOG operated well recently completed and in the process of being attached to TW. Pogo's well will be spud in December with an expected 60 day drill & completion time. They have an optimistic expectation of the production being close to the EOG well - current initial production of 14 MMcf/d, and have plans for additional drilling in the field area. CIG - A conference call was held with CIG on Friday to discuss delivery performance issues of deliveries to the CIG/Tumbleweed point and the ability of them to increase their delivery capacity to Transwestern. They explained that CIG is currently fully subscribed and operating at MAOP along the line which provides deliveries to Transwestern, El Paso, NNG and SPS/Nichols. All shippers holding capacity along this line (capacity 200 MMcf/d) already have subscribed to long term contracts primarily to El Paso and SPS. Currently they have no operational capability to provide any more incremental delivery capabilities to TW at Tumbleweed. However, they have indicated a probable second Raton Expansion project will be announced March 2001 and have suggested that looping of this southern line could be a possible outcome of the project which would provide incremental delivery capacity to Transwestern above the current 40 MMcf/d level. I will be having additional discussions with CIG marketing individuals to determine who, besides El Paso and Evergreen, are the primary existing shippers down the southern portion of CIG's system in order to potentially get them to realign their contract to Transwestern as a primary delivery point. Expedition of Contracting Process - Per Kevin's request, I provided him, and also discussed, several ideas which would streamline and improve the existing contract processing cycle. The most important and critical recommendation was to revise the 3 year old ET&S Discounting Policy which Bill Cordes had established for both TW and Northern. Obtaining approval of even a few simple changes I could recommend to the Policy (applicable only to Transwestern, not NNG) would have an immediate effect of simplying the Officer approval process and would expedite the turn-around time.