From: vince.kaminski@enron.com
To: douglas.parsons@enron.com
Cc: vince.kaminski@enron.com, shirley.crenshaw@enron.com
Date: 2000-08-17 10:12:00+00:00
Subject: Re: Cairn Gas Purchase Bid

Doug,

I shall be glad to meet you and help you with the project.
My assistant will call you to set up a meeting latter this week.


Vince





Douglas S Parsons@ENRON_DEVELOPMENT
08/15/2000 08:05 AM
To: Vince J Kaminski@ECT
cc:  
Subject: Re: Cairn Gas Purchase Bid

Vince,

I'm following up on our conversation late last week and I'm interested to see 
what your group can advise, per Doug Leach's recommendation.  As you can see 
he is raising a major red flag in regards to our non-binding offer to Cairn.  
Since, it was late the other night I didn't touch base with Sandeep Kohli, 
but Bobby and I are probably the most knowledgeable in regards to the Indian 
gas market.  Please let me know what information you may need from us to 
provide some guidance.

Regards,
Doug
---------------------- Forwarded by Douglas S Parsons/ENRON_DEVELOPMENT on 
08/15/2000 07:51 AM ---------------------------


Bobby Farris
08/14/2000 10:19 PM
To: Douglas S Parsons/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc:  
Subject: Re: Cairn Gas Purchase Bid  

There is no harm in seeing what Kaminski's group will advise.   Do you have 
any problem in contacting them ?

BOBBY



Doug Leach@ECT
08/14/2000 07:45 AM
To: Douglas S Parsons/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc: Marc De La Roche/HOU/ECT@ECT, Bobby 
Farris/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT 

Subject: Re: Cairn Gas Purchase Bid  

I strongly disagree with the pricing and structure of your non-binding offer 
to Cairn. This reminds me of the debacle in Brazil. You should have contacted 
Vince Kaminski's research group as we talked about before an offer was made. 
This is a bad deal. 



Douglas S Parsons@ENRON_DEVELOPMENT
08/12/2000 01:51 AM
To: Doug Leach@ECT, Marc De La Roche@ECT
cc:  
Subject: Cairn Gas Purchase Bid

Doug & Marc,

FYI, please let me know if you think we're totally off base.  I appreciate 
your help.

Regards,
Doug
---------------------- Forwarded by Douglas S Parsons/ENRON_DEVELOPMENT on 
08/12/2000 01:48 AM ---------------------------


Douglas S Parsons
08/11/2000 06:24 AM
To: Bobby Farris/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT
cc: F B Virani/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Ujjwal 
Dey/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT, Nilesh 
Vaishnav/ENRON_DEVELOPMENT@ENRON_DEVELOPMENT 
Subject: Cairn Gas Purchase Bid

Bobby,

After meeting with Cairn today in Delhi, my perception is that our offer was 
received well.  They were more open and relaxed then they were on Wed. 
morning and made several encouraging comments about our price range, (once we 
talked through the price movements), and the seriousness of our gas related 
activities on the West Coast of India, in light of the IOC agreement.  I 
think the overall package is attractive to them and no serious objections 
were raised.  We did talk to some extent about the guarantees, but we didn't 
get too far and they're willing to accept at this point that what's 
acceptable to the LNG suppliers, should be suitable for their needs.  
However, they would like to understand the corporate structure and assets of 
Enron Energy Marketing a little better and I told them I would get back to 
them on that point.

David and Ajay were up in Hazira yesterday looking at some property for their 
gas treatment facility, which apparently is across the road from pipeline 
access.  While there they went and looked at Shell's proposed LNG site after 
walking the last 1 km, inaccessible to their 4wd vehicle and not surprisingly 
found a beach.

In summary, here is what we offered on a non-binding basis:

Six year production plateau
85% TOP
$3.67/MMBtu Net, at a base of $18/bbl Brent, with point of sale at the 
tail-end of the gas processing plant
Floor & Cap of $15.50 - $27.00/bbl
Price movement:  +/- $1.00/ bbl from the $18/bbl base price (on a 3 mo. 
rolling average) equals +/- $0.145/MMBtu fixed on a quarterly basis
Guarantees:  Same protection we're providing the LNG suppliers under the 
Trust Retention Account

I appreciate everyone's help in submitting this offer.

Thanks,
Doug