WIC Medicine Bow Release

The deal with CMS needs a one page letter agreement. that states that the
release begins on the latter of the WIC Medicine Bow expansion being fully
in-service or January 1, 2002. As strucutured here we would have recall
rights on this capacity which we could call enact for any of the volumes up
to the WIC in-service date. We could not recall any capacity after that date
and we would give up those recall rights with a letter to WIC upon the
in-service date of the new pipeline. Can you please start on this letter
agreement as a soon as possible? The CMS guys are a little antsy and this is
a good deal for us. ( $1.3 MM)

Thanks

Mark
----- Forwarded by Mark Whitt/NA/Enron on 02/20/2001 11:07 AM -----

Mark Whitt
Sent by: Mark Whitt
02/20/2001 11:03 AM

To: clancy.aschbrenner@coastalcorp.com, steven.saye@coastalcorp.com
cc: Paul T Lucci/NA/Enron@Enron, Gerald Nemec/HOU/ECT@ECT, Stephanie
Miller/Corp/Enron@ENRON
Subject: WIC Medicine Bow Release

As we discussed, ENA is going to release a portion of it's Medicine Bow
capacity to 2 different parties. We would like to begin this process and
make sure we follow the proper procedures in the WIC tarriff. In addition we
want to make sure that the releases are properly coordinated and go off
without a hitch. The following are the terms of the releases and the
counterparties.

1. Counterparty: J M Huber Corp.
Quantity: 10,336 MMbtu/d
Term: November 1, 2001 - the term of the contract
Contract # 41066-000

2. Counterparty: J M Huber Corp.
Quantity: 42,337 MMbtu/d
Term: November 1, 2002 - the term of the contract
Contract # 41066-000

3. Counterparty: CMS Transmission and Storage
Quantity: 7,172 MMbtu/d
Term: January 1, 2002 - the term of the contract
Contract # 41066-000

4. Counterparty: CMS Transmission and Storage
Quantity: 1,015 MMbtu/d
Term: December 1, 2002 - the term of the contract
Contract # 41066-000

5. Counterparty: CMS Transmission and Storage
Quantity: 1,015 MMbtu/d
Term: January 1, 2002 - November 30, 2002
Contract # 41075-000 ( Volumetric Firm)

Each of these releases would be done with the following terms:

1. First bidder meeting minimum terms
2. Permanent release
3. Hide the minimum rate
4. The release will be at the contract rate
5. The release will be recallable
6. ENA will then follow up with a notice to WIC that we are giving up our
recall rights at a later date

Please let me know if this looks ok to you and let me know if each of these
parties are authorized to do capacity releases with WIC.

Thanks for your help.

Mark