Re: 20/20 Gathering Agreement

Gerald. a couple of comments/questions:

1. Why are there references to fixed volumes referenced (Section 1.6,
Section 2.1)? These contracts, I thought, were to be truly varaiable,swing,
best efforts, interrruptible type contracts.

2. I need to understand the mechanism for determining the "Variable"Services
Fee. It looks like to me that it is really fixed, based upon the underlying
rate in the referenced gathering agreements. Are those underlying rates
variable or fixed? It would be better from an accounting perspective not to
have referenced contracts, but rather just have a market based, negotiated
monthly and variable, transportation rate.

.

To: Cris Sherman/HOU/ECT@ECT, Brian Bierbach/DEN/ECT@Enron, Mark Whitt@ECT
cc: Shonnie Daniel
Subject: 20/20 Gathering Agreement

Attached for your review is the Variable Fee based gathering agreement
between ENA and EMS. Please provide comments as soon as possible.