Message-ID: <3813377.1075840434022.JavaMail.evans@thyme>
Date: Tue, 7 Aug 2001 12:18:54 -0700 (PDT)
From: megan.parker@enron.com
To: j..farmer@enron.com
Subject: GLO deals 2001
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X-From: Parker, Megan </O=ENRON/OU=NA/CN=RECIPIENTS/CN=NOTESADDR/CN=98FC2B4C-C89BFCE4-86256854-712CC0>
X-To: Farmer, Daren J. </O=ENRON/OU=NA/CN=RECIPIENTS/CN=DFARMER>
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X-FileName: darren farmer 6-26-02.pst

Darren:
Here is my problem.  As you know, HPLC did a deal with Texas General Land O=
ffice where we would exchange gas for crude.  The problem was HPLC was sell=
ing the gas and Enron Gas Marketing was receiving the crude.  Bryce Baxter =
worked out a series of intercompany deals between HPLC, ENA and EGM that wo=
uld book the deal correctly.  Julie Meyers was told how to create the deals=
 and she completed January and February, except for one small part, but Mar=
ch forward was never completed.  The attached word document explains the pr=
ocedure.  Basically, we were suppose to book an HPLC sale to the TGLO with =
volume and zero price.  This would book the volume to the GL and zero out t=
he receivable since we were never going to receive cash from TGLO.  Then, w=
e would book a sale from HPLC-Wellhead to ENA-Wellhead for the value of the=
 gas only (no volume) and a sale from ENA-Wellhead to EGM for the value of =
the crude (no volume).  For these deals, we would use demand fees. EGM will=
 pay ENA for the crude dollars.

  =20

I will give you the deals for January so you can see how the dollars move. =
 You will see that the price is still on the sale from HPLC to TGLO.  Julie=
 zeroed this out, but O'Neal put it back.  I've left him a message to find =
out why.
1.  Sale from HPLC-IM Wellhead to TGLO=09=09=09547201
2.  Sale from HPLC-IM HPLC to HPLC-IM Wellhead=09=09547205 =20
3.  Sale from HPLC-Wellhead to ENA-IM Wellhead Texas=09679847
4.  Sale from ENA-IM Wellhead Texas to EGM=09=09=09679859=20

Here is a preliminary list of what needs to be done to finish out the trans=
actions for March, April and May.  The previous email went to Kam Keiser, J=
ohn Grass, Linda Roberts and Dayem Khandker.  They may be able to help us w=
ork through this.  Let me know if you have any questions.

1.  Zero out the prices on the HPLC sales to Texas General Land Office, lea=
ve volume only.
=09Jan 2001=09547201=09
=09Feb 2001=09591307
=09March 2001=09640685
=09April 2001=09692167
=09May 2001=09755787
2.  Enter a ticket for the HPL-Wellhead sale to ENA-Wellhead for March, Apr=
il and May 2001 (the Feb deal number is 679848) for the value of the gas be=
low.  This should be entered as a demand fee only, no volume.
=09March 2001=09$774,612.50
=09April 2001=09$705,870.00
=09May 2001=09$664,609.00
=09
3.  Enter a ticket for the sale from ENA-Wellhead to EGM for the value of t=
he crude below.  There is an existing ticket for Jan and Feb that can be ex=
tended, deal 679859.
=09March 2001=09$757,603.93
=09April 2001=09$820,983.94
=09May 2001=09$598,885.13

4.  Update Jan and Feb crude values on deal 679859
=09Jan 2001=09change $886,638.63 to $886,015.18
=09Feb 2001=09change $839,008.31 to $842,475.06

 Let me know if you want me to come down to discuss.

Megan