TW Bullets 2/9 ,
 Capacity Marketing - We negotiated an extension of the 400,000 MMBtu/d 
east-to-east contract with Aquila / USGT this week plus improved the 
economics of their existing contract.  The extension, beginning November 
2001, has a reservation rate of $.025/MMBtu with a 30% sharing of the Permian 
to Cal Border index spreads on all alternate westward flow.  As for their 
existing contract, we negotiated a $.15/MMBtu rate effective February 15 - 
October 31, 2001 on the alternate west flow, an improvement of $.11/MMBtu.  

In addition, we negotiated a similar east deal with alternate west flow with 
Astra Power LLC.  Their reservation rate is $.0325/MMBtu on a volume of 
50,000/d for a term of March 2001 through March 2003.  

With the execution of these two deals plus the anticipated closing of the 
Public Service of New Mexico contract, this will effectively sell out the 
east end of the TW system through at least 2002.

San Juan Flow Conditioner - The decision was made this week to postpone till 
March the application of the Exxon/Nalco flow conditioner in the San Juan 
lateral.  Had we proceeded with the application in February (a tariff month), 
the minimum lost revenue impact for one day could have been $300,000.

SouthWest Gas - We received the fully executed OBA contract from SouthWest 
Gas this week.

Gas Inventory - With moderating temperatures out west reducing demand and 
shippers paying gas back to TW, we were experiencing high linepack for most 
of the week.  TW was able to sell 55,000 MMBtu at the border for a net 
revenue of $453,000.

Reliant - We negotiated a San Juan Pool contract for 20,000 MMBtu/d at max 
rates for February 6-28.  Reliant is flowing alternate out of path from San 
Juan to the border and scheduling 5,000 to 12,000 MMBtu/d.  Incremental 
revenue for this could range from $42,000 to $100,000 for the month.
bullets@enron.com