RE: Dominion Opportunities

Greg

There has been just too many rumors flying around here to quote real long term deals. Give me a day or so to put numbers on long dated deals.

Harry

-----Original Message-----
From: Blair, Greg
Sent: Wednesday, November 07, 2001 12:25 PM
To: Arora, Harry
Subject: FW: Dominion Opportunities

Harry:

Any idea when you'll get a chance to respond to these questions? I'd like to get back to my counterparties ASAP. Understand you're probably very busy. Just give me an estimate, if you can.

Regards, Greg

-----Original Message-----
From: Blair, Greg
Sent: Tuesday, November 06, 2001 10:30 AM
To: Arora, Harry; Mack, Iris; Cavazos, Brandon
Subject: Dominion Opportunities

Harry, Iris and Brandon:

Just finished up another call with my counterparty at Dominion. Here are the opportunities:

1. GridSouth - (They really want to dump in "CP&L East" - anything we can do to facilitate this will better meet customer requirements.

Capacity: 2003 - 100MW
2004 - 250MW
2005 - 570MW for five years

Will accept day-ahead dispatch. Really want 8 hour minimum runs w/ 5x16 availability.

Heat Rate: 7200
VOM $2/MWh

2. Entergy -

They want a straight 7x24, 365-day power purchase @ fixed price.

Capacity: 65MW
Start Date: July 2002
Term: 5 Years
Price: $x/MWh

3. TVA - Peaker

Really want intra-day call w/4hr notice for 4hr minimum run time.

Capacity: Tell me what, if any, we can do.
Start Date: June 2004
Availability: 5x16 June-Aug; Dec-Mar
Heat Rate: 10,900
VOM: $2/MWh

Let's really try to see if we can do the intra-day. If absolutely not available for 4hr min run time, see if we can do 8hr min. If this is absolutely not possible, let's try to quote day-ahead 8hr min at the very least.

4. TVA - Combined Cycle

This one we already quoted at $3.97/KW-mo for 4-year, 5x16 call, beginning 1/1/03 for 7,000 Heat Rate; $2 VOM. This was for day-ahead, 16hr min run time. Tell me how much the price changes if we reduce min run time from 16hrs to 8hrs.

Please call me in NY @ 212-715-5953 to discuss, if you have any questions. Thanks for all your work. I think we have a real opportunity here, if we can respond positively on a few fronts.

Regards, Greg