|
|
Enron Mail |
Dan,
Is Dave's acceptable documentation language outlined below covered in the language you have e-mailed to me? Please advise. ---------------------- Forwarded by Phil DeMoes/Corp/Enron on 07/21/2000 02:13 PM --------------------------- From: David Fairley @ ECT 07/20/2000 05:16 PM To: Dan J Hyvl/HOU/ECT@ECT cc: Phil DeMoes/Corp/Enron@ENRON, Jeffrey T Hodge/HOU/ECT@ECT, Ed McMichael/HOU/ECT@ECT Subject: Re: Southern Confirmation Letters Dan/Phil -- Good question. Here is my quickie response. We will not sign a binding agreement with SOCO until we know that we have the gas under acceptable documentation, as outlined below: If we must deliver at Elba to satisfy a deal with SOCO, then acceptable doc's means that (1) Enron LNG will have final doc's with El Paso, (2) ENA will have a Master in place with Enron LNG, and (3) our TA with Enron LNG should say that they are selling to ENA subject to ENA closing/signing a subsequent deal with SOCO (so we can "leg into" SOCO.) If we get alternate or secondary receipt point rights from SOCO, which means that we do not have to deliver at Elba, but we we can deliver from Destin, then contractually and physically it makes no difference if we are firm or not at Elba with Enron LNG. The only problem is that we ought to be careful representing that we are selling Elba as primary supply source with secondary Destin, if we really are not going to get Elba finished. Any further questions, let me know. -- David Dan J Hyvl 07/20/2000 04:55 PM To: Phil DeMoes/Corp/Enron@ENRON cc: Jeffrey T Hodge/HOU/ECT@ECT, David Fairley/HOU/ECT@ECT Subject: Southern Confirmation Letters Attached please find a red-line redraft of the Confirmation Letters. I understand that Enron will not sign the confirmation letters with Southern until Enron North America Corp. has finalized its arrangements with the Elba Island Terminal entity having the gas available at the tailgate of the Elba Island facility. Is this correct. If so, I do not need to make ENA's contract with such entity a condition precedent to the Southern Confirmation Letters. Please advise.
|