Land Purchase

Brett, under the assumption that we are not over-paying for the land and that
the site has option value beyond the Petrobras deal, I am ok with the
purchase.

Regards
Delainey
---------------------- Forwarded by David W Delainey/HOU/ECT on 12/18/2000
11:23 AM ---------------------------

Brett R Wiggs@ENRON
12/18/2000 12:03 PM
To: David W Delainey@ECT
cc:
Subject: Land Purchase

Dave:

Some time ago, I had received approval to purchase the primary block of land
for the Rio project site from Jim. One year ago, we had acquired the rights
to purchase the land under an option agreement. This agreement is about to
expire and we are currently closing the transaction to purchase the land.
The total purchase price of the block is $1.7 million. This closing is to
take place tomorrow. Given the changes, I thought I should run this by you
to make sure you would be in agreement. I had hoped that this would be a
moot point with the Petrobras agreement closed. However, I think we may be a
couple more days on that. I am very concerned with waiting on the landowner
given that our option agreement will be expiring. Please let me know if it
is ok to move forward with the land purchase.

Thanks,
Brett