Re: Southern Co.

Great. My asst is Jennifer Burns, at x39440

Janet R Dietrich
12/11/2000 05:01 PM
To: Jeffrey A Shankman/HOU/ECT@ECT
cc: Christy Chapman/HOU/ECT@ECT
Subject: Southern Co.

Hey Jeff, could we set up a short meeting to talk about the status of the
Elba off-take strategy? I'll have Christy set us up sometime this week.
Thanks.
---------------------- Forwarded by Janet R Dietrich/HOU/ECT on 12/11/2000
04:14 PM ---------------------------

Phil DeMoes@ENRON
12/07/2000 05:06 PM
To: Janet R Dietrich/HOU/ECT@ECT
cc:
Subject: Southern Co.

Janet,

I wanted to drop you a quick note. Things have been progressing nicely
between the LNG guys and Southern Company. The LNG guys asked me if ENA
needed to get some MTM from Elba, they would be willing to quicken the pace
on putting a deal together. Probably rushing is not in the best interest of
Enron buy it could be done. Anyhow, I have legal and structuring working on
this and we may need you to help negotiate a transfer price between ENA and
Enron Global at some point.

I think no matter what happens prospectvely at Elba, Southern Co has probably
saved the LNG group up to $50MM of capital clean up their off spec gas along
with provided a much better price of Hub +$.12 vs our current put option of
Hub + $.02 with El Paso which is an additional $36.5 MM improvement. Let me
know what you thoughtsare.

Thanks.