CAPEX

Rod: And what lawyer is handling this in your presence? This is beginning
to sound like Koch and all of the Koch separate trading entities!!!! My
brain is full now.
----- Forwarded by Sara Shackleton/HOU/ECT on 05/30/2000 10:31 AM -----

Julian Poole@ENRON_DEVELOPMENT
05/30/2000 09:37 AM

To: Rod Nelson@ECT, Sara Shackleton@ECT, Susan Bailey@ECT
cc: Patrick Hanse@ECT, Jeff Kabel/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
Subject: CAPEX

Rod/Sara: last week we met with Capex and everything is advancing very well.
They see the signing of the ISDA as a very simple process, as they have
several of them signed. But we need to take into account the following:
They want to sign 2 ISDAs, 1 with CAPEX and another one with CAPSA, because
LPG, Oil and power are traded from the different entities
They have a Fiduciary Assignment Agreement with IFC that we need to look at
and if necessary add some language in the ISDA

We are sending you the IFC Agreement for your review and comment. It will go
by courrier cause of it's length. Once you receive it pls. review, and if we
need to discuss anything with Capex, coordinate with Patrick to arrange a
conference call.
Patrick will be involved in the process as he needs to fully understand the
ISDA document due to EOL which is scheduled to come on later this year.

Sara, we will need an ISDA for CAPSA as well. It will be identical to the
CAPEX I believe. Rod pls provide your input to Sara on credit for Capsa,
considering the no threshold issue.

Regards, Julian