Message-ID: <24157100.1075852077663.JavaMail.evans@thyme> Date: Thu, 17 May 2001 12:05:32 -0700 (PDT) From: lreid@sppc.com To: barry.tycholiz@enron.com Subject: FW: AECO Storage Proposals-May 16, 01 Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: "Reid, Lorelei" @ENRON X-To: Tycholiz, Barry X-cc: X-bcc: X-Folder: \BTYCHOL (Non-Privileged)\Tycholiz, Barry\Inbox X-Origin: TYCHOLIZ-B X-FileName: BTYCHOL (Non-Privileged).pst -----Original Message----- From: Hogue, Bill [mailto:BillHogue@aec.ca] Sent: Wednesday, May 16, 2001 1:06 PM To: 'lreid@sppc.com' Subject: AECO Storage Proposals-May 16, 01 Lori Lei Below are some examples of storage services that AEC Storage & Hub Services can provide at the AECO Storage Facilities located in Alberta. I priced out a profile based on our conversation this morning where you indicated that typically Sierra Pacific usually required a greater withdrawal rate then injection rate. I also selected an inventory capacity of 500,000 GJ (Approximately 0.5 BCF), although I can price out the AECO storage at utilizing different Withdrawal/Injection rates as well as different Capacities if you desire. Proposal #1 (10 Month) Contract Profile: Standard Profile where Withdrawal/Injection rates are tied to daily inventory levels, see table below for rate details. Term: June 2001 to March 31, 2002 Capacity: 500,000 GJ Withdrawal Rate: 20,000 GJ/d Injection Rate: 14,000 GJ/d Demand Cost: CAD 49,844 per month Commodity: CAD 0.18/GJ on injection only Proposal #2 (34 Month) Contract Profile: Standard Profile where Withdrawal/Injection rates are tied to daily inventory levels, see table below for rate details. Term: June 2001 to March 31, 2004 Capacity: 500,000 GJ Withdrawal Rate: 20,000 GJ/d Injection Rate: 14,000 GJ/d Demand Cost: CAD 44,860 per month Commodity: CAD 0.18/GJ on injection only The following table illustrates the Withdrawal/Injection rate profiles as it relates to inventory for Proposals #1 . MAX MAX WITHDRAWAL INJECTION INVENTORY RATE RATE (PJ) (TJ/D) (TJ/D) 0.00 10.0 14.0 0.05 12.0 14.0 0.10 14.0 14.0 0.13 15.0 14.0 0.15 16.0 14.0 0.18 17.0 14.0 0.20 18.0 14.0 0.25 20.0 14.0 0.30 20.0 12.6 0.35 20.0 11.2 0.38 20.0 10.5 0.40 20.0 9.8 0.45 20.0 8.4 0.50 20.0 7.0 Proposals #3  are based on Flat profiles for Withdrawal & Injection regardless of your Inventory position. These proposals provide maximum flexibility. Proposal #3 (10 Month) Contract Profile: Flat Term: June 2001 to March 31, 2002 Capacity: 500,000 GJ Withdrawal Rate: 20,000 GJ/d Injection Rate: 14,000 GJ/d Demand Cost: CAD 85,882 per month Commodity: CAD 0.18/GJ on injection only Proposal #4 (34 Month) Contract Profile: Flat Term: June 2001 to March 31, 2004 Capacity: 500,000 GJ Withdrawal Rate: 20,000 GJ/d Injection Rate: 14,000 GJ/d Demand Cost: CAD 81,182 per month Commodity: CAD 0.18/GJ on injection only Please review the above proposals and call me when you have had time to look them over. Additional please note that all the prices I quote above are negotiable. If you have any other profiles you would like priced please give me a call and I'll get them priced out ASAP. Thank you,