Subject: Calpine deal summary
From: [email-masked]
To: [email-masked]
Cc: [email-masked]
Date: Tue, 22 Feb 2000 11:31:00 -0800 (PST)

Thomas,

Here is a Calpine deal summary. 

ENA would sell four LM-6000 turbines to Calpine.
Calpine would be responsible for permitting, constructing, financing and 
operating the peaking power plant in Eastern PJM.
ENA would enter into a short-terrm tolling agreement to buy power from 
Calpine for 3 or 5 years.
Work needed to be done :
 - getting VOM for LM-6000 from EE&CC.
 - getting flat capacity payment ($/kw-mo period) for 3 and 5 years from 
Structuring group, based on VOM, Heat rate, dispatch, and location of the 
plant.
 - building 20 year economic model to understand Calpine position. 

Profit generator: We buy power from Calpine at lower price than that of ENA 
bid curve.

I think it will be helpful if Thomas call EE&CC to get VOM ASAP, so that we 
can talk to Structuring group. Please review and let me know if it makes 
sense, and then I will send you, Scott, Richard Park, and Tom Swank.

If someone needs to have just Eastern PJM curve, we can try to get from 
Structuring group tomorrow. Richard Park told me about PJM curve but I am not 
sure what exactly this is for. Thank you.

Jinsung Myung
(Ext: 37330)