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Enron Mail |
Appoved. See the attached which has some minor changes.
Christine Stokes 06/28/2000 08:49 AM To: Steven Harris/ET&S/Enron@ENRON, Glen Hass/ET&S/Enron@ENRON, Susan Scott/ET&S/Enron@ENRON, Jeffery Fawcett/ET&S/Enron@ENRON cc: Kevin Hyatt/ET&S/Enron@Enron Subject: Transwestern Contract Approval Request TRANSWESTERN PIPELINE COMPANY Please review the attached non-standard discount letter for Sempra Energy Trading Corporation. Pursuant to Sempra's Gallup Expansion Agreement allowing Sempra the right to "call" upon SoCalNeedles capacity, subject to availability, at a $.30 rate, Sempra has requested to obtain 23,000 Dth/d of East of Thoreau (EOT) to SoCalNeedles capacity for the July - October term. Sempra's blended rate of $.2928 represents 21,500 Dth/d of capacity at $.30/Dth (their "call" capacity) and 1,500 Dth/d of additional Needles capacity sold to them at $.19/Dth. Non-standard provisions contained in Sempra's original Gallup expansion Agreement are included in the discount letter and contained in Paragraphs 3 and 4: Paragragh 3 grants Sempra the ability to have alternate delivery points in Transwestern's EOT Area at the discounted rate in situations where SoCalGas' "window" can be shown to reduce Sempra's nominated deliveries to SoCalGas. Sempra must provide Transwestern a written confirmation from SoCalGas indicating a reduction in scheduled volumes in order to obtain such alternate delivery capacity at the discounted rate. If written confirmation is either not provided or Sempra elects to transport on an alternate basis to the EOT Area due to favorable market conditions, then the rate for such transport shall be the discounted rate plus $.01. Paragragh 4 grants Sempra the ability during the term of the July - October transportation agreement, to move their primary delivery point from SoCalNeedles to PG&E/Topock, Mojave /Topock, or to the potential SWG interconnect subject to capacity availability and a 5 day notification period. Sempra may also have the ability to return to the SoCalNeedles delivery during this term subject to the described conditions as well. Please indicate you approval via REPLY WITH HISTORY. If any questions arise, please contact me at x35702.
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