Re: March "Spot" Purchases

Vance,

Deals have been created and entered in Sitara as noted below. The deal
volumes entered were those listed on the March, 2001 Nomination spreadsheet.

Bob

Vance L Taylor
02/26/2001 05:33 PM
To: Robert Cotten/HOU/ECT@ECT
cc: Julie Meyers/HOU/ECT@ECT, Lisa Hesse/HOU/ECT@ECT, Susan
Smith/HOU/ECT@ECT, Donald P Reinhardt/HOU/ECT@ECT, Melissa
Graves/HOU/ECT@ECT, Brian M Riley/HOU/ECT@ECT
Subject: March "Spot" Purchases

Bob,

HPLC will be purchasing wellhead gas from the producers listed below for the
production month of March, 2001. This production will be purchased on a
"spot" basis and deal tickets should be created and entered into sitara based
on the following information:

Counterparty Meter Volume Deal # Price

Whiting Petroleum Corp 6523 200mmbtu/d 634035 100% IF/HSC less $0.95
Coastal Merchant Energy, LP 5923 775mmbtu/d 633154 100% IF/HSC less $0.265
Coastal Merchant Energy, LP 5848 240mmbtu/d 633184 84% IF/HSC
Swift Energy 2630 21mmbtu/d 633380 100% IF/HSC less $1.45
Duke Energy Trading & Marketing 6347 200mmbtu/d 633028 85% IF/HSC
HESCO Gathering Oil Co. 6063 300mmbtu/d 421856 100% IF/HSC less $0.95
Embassy Natural Gas Inc. 6598 180mmbtu/d 643875 100% IF/HSC less $0.95
Vintage Gas Inc. 9603 100mmbtu/d 633427 100% IF/HSC less $0.95
Stone Energy 9696 4500mmbtu/d 634058 100% IF/HSC less $0.20
The Houston Exploration 9696 6500mmbtu/d 634061 100% GD less $0.235
Amerada Hess (Hess Energy Svcs) 0435 2714mmbtu/d 631403 100% IF/HSC less
$0.12
Anadarko Petroleum Corp. 0435 1104mmbtu/d 631437 100% IF/HSC less $0.10
Crosstex Energy Services, Ltd. 0435 654mmbtu/d 631504 100% IF/HSC less
$0.12
Tri-Union Development 0435 149mmbtu/d 631737 100% IF/HSC less $0.055
Ranger Oil Company 9871 200mmbtu/d 643862 85% IF/HSC if <300/d
90% IF/HSC if <300/d

These are Producer Svcs. deals and should be tracked in the IM Wellhead
portfolio... attached to the gathering contract.

Thanks,

vlt
x3-6353