Contracts For Differences

Mark:

My name is David Facey, in house counsel with Powerex. I understand that you
have been in contact with Erika Rosin of our office. She will be out of the
office for the rest of the week and has asked that I contact you regarding
the proposed contract for differences between our companies. Erika advises
that she mentioned to you that Powerex and Enron have recently completed two
Contracts for Differences in Alberta. Enron has generated the confirms and
attached Annex A General Terms and Conditions. We have since prepared a
standard form Contract for Differences which we would propose to use for
future transactions. This document is more specifically designed for doing
contract for differences in Alberta.

Please review this document and provide us with your comments.

<<CanadianRev-4.doc<<
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David V. Facey
Legal Counsel
Powerex Corp. (Ph. (604) 891-6084)
BC Hydro (Ph. (604) 623-3699)

- CanadianRev-4.doc