Subject: Delano for Monday, 7/23
From: [email-masked]
To: [email-masked]
Cc: [email-masked]
Date: Fri, 20 Jul 2001 13:18:39 -0700 (PDT)

Gentlemen,

Delano is prescheduled to return from their outage beginning HE7 on Monday, 7/23.  However, if you can buy the energy back HE7-10, below $40 (their variable costs), please do so.  If prices warrant, you will purchase 25mw, SP15, HE7-10.  I will tee up Delano for this play, please stay in contact with the control room to let them know what's going on.

As far as the price goes, we proposed to Delano that we would split the profit with them.  So, split the delta between what you're able to buy for, and their variable costs ($40).  For example, if you're able to purchase the energy at $30, put in a purchase from whoever at $30, then a sale to Delano at $35 (giving Delano $5, and real-time $5).  The Services Desk (out of the goodness of our hearts), is not going to take anything from this transaction.

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We have one more issue with Delano on Monday.  HE23-24 they are prescheduled at 20mw, but they will be able to produce 30mw, so we will possibly have 10mw to sell for them.  They are going to let me know what they want to do.  They will either have us sell it real-time, run uninstructed against the ISO dec., or ramp down their generation to reflect their preschedule.

I will keep you posted on what they want to do.

Thanks,
Stan