Re: Environmental Costs for PG&E and KN

A projected cost summary for 1999 is presented below for the NNG Gomez
facility:

45,000 costs-to-date associated with containment of lube oil
40,000 costs-to-date associated with groundwater cleanup
35,000 anticipated costs for installation of flair scrubber
20,000 anticipated costs for installation of 10 additional recovery wells
10,000 anticipated costs for installation of water discharge system
20,000 anticipated costs for O&M of recovery system (remaining 9 months)
5,000 anticipated costs for quarterly groundwater monitoring (3 events)
20,000 contingency for expansion of recovery system

$195,000 TOTAL for 1999

Please note that this estimate does not include overhead allocations.

Call me if we need to discuss. Thanks, George

Larry Campbell
04/02/99 11:07 AM
To: George Robinson/OTS/Enron@Enron
cc:
Subject: Environmental Costs for PG&E and KN

Pleae provide me with the requested information from Nancy Wood
---------------------- Forwarded by Larry Campbell/ET&S/Enron on 04/02/99
10:16 AM ---------------------------

From: Nancy Wood on 03/30/99 01:53 PM CDT
To: Larry Campbell/ET&S/Enron@Enron, Larry R Loveless@Enron
cc:
Subject: Environmental Costs for PG&E and KN

It's that time again. Please provide what you believe the costs for the rest
of 1999 will be associated with the assets which have not been sold for PG&E
and KN.

As always, just give me your best guess. Please have this information to me
by April 5.

If you have any questions, please let me know.

Thanks!

N