Enron Corp. Board of Directors Presentation May 1, 2001 Confidential & Proprietary Enron Corp. Board of Directors Presentation Southwest Power L.L.C. – Las Vegas Cogeneration, L.L.C. 222MW Power Plant Expansion

Southwest Power Overview Existing Power Plant Las Vegas Cogeneration (LVC1) began commercial operation in May 1994 as a QF Capable of generating an average of 51 MW Provides 45 MW of on-peak capacity and energy to Nevada Power Company (NPC) under a PPA through May 2024 Thermal host is a 12-acre tomato greenhouse Southwest Power created by ENA to acquire LVC1 on August 31, 1999 Southwest Power funded by non-recourse project debt ($54.9MM) and Enron/JEDI equity ($24MM). LVC1 repowered by replacing existing LM 6000 PA with a state-of-the-art LM 6000 PC in December 1999, reducing the heat rate and increasing capacity Excess energy is available for merchant sales, dispatched by EPMI West Power Trading Value Proposition Continued strong industry demand for properly developed merchant generation projects in Western System Coordinating Council LVC1 is located in North Las Vegas, Nevada in rapid-growth load center that is short energy LVC11 is a 222 MW gas-fired generating facility under development to consist of two, two-on-one combined cycle units (4 LM6000 PC’s) yielding a projected heat rate of 7,800 Btu/kwh (HHV) Expansion project located adjacent to LVCI utilizing similar LM6000 technology. Long-term tolling agreement with Allegheny Energy Supply will fix revenue stream for 15 years. ENA intends to finalize development, commence construction and divest prior to commercial operations.

Transaction Sources and Uses Development Overview Actual/Expected Date Site: Zoned Industrial and City of North Las Vegas approved plan: August 23, 2000 Air Permit Issued to LVCI as operator of expansion: November 15, 2000 Water: City of North Las Vegas issued invoice for interconnection fees: January 31, 2001 Wastewater Permit Issued by City of North Las Vegas: March 29, 2001 EPC Contract: Modern Continental, fixed price turnkey guaranteed by A-rated bonding and includes customary financeable terms and conditions: March 29, 2001 Firm Transmission: Point to Point (Mead) transmission with Nevada Power: April 20, 2001 Electrical Interconnect – Nevada Power’s 138kv substation at site expected: April 27, 2001 Gas Interconnect – Southwest Gas to design, build and operate 12” lateral From the Kern River Pipeline to LVCII Facility expected: April 27, 2001 Water/Wastewater Definitive Agreement executed and approved: April 27, 2001 Notice to Proceed May 1, 2001 Commercial Operations September 1, 2002 Development Timeline Transaction Sources and Uses Sources Uses JEDI II $ 99.8MM EPC $154.3MM ENA $ 99.8MM Owner’s Cost $ 8.9MM TOTAL: $199.7MM Contingency $ 10.2MM Other Costs $ 26.3MM TOTAL: $199.7MM

Strategy and Recommendation Tolling Agreement Exit Strategy Finalize development, commence construction and then divest prior to commercial operations. The expansion project, combined with the existing QF asset will be attractive to numerous generation companies: Proven reliable LM6000 technology 100% controlling interest Location in fast-growing load pocket in short region 15 year fixed-price tolling agreement Pro-Forma economics are superior to those of Fountain Valley Power, which was recently sold to Black Hills Energy Capital. Expressions of interest from Black Hills, Northland Power, Delta Power, Energy Investors Fund, Calpine. Counterparty: Allegheny Energy Supply Capacity Payment $12.15/kw month Variable O&M Payment $3.71/mwh escalating at CPI Term 15 Years Delivery Point Busbar LD’s COD $40,000/Day Guaranteed Availability 90% (avg.) / 95% (peak month) Steady State Heat Rate 7,800 Btu/kWh Credit Rating BBB+ Recommendation Approve $199.7 MM to finance construction of Southwest Power expansion (LVCII) subject to: Execution of definitive tolling agreement with Allegheny Energy Supply Company Receipt of Electrical Transmission Agreement Confirmation Execution of Southwest Gas Interconnection Agreement Execution of Water/Wastewater Agreement Execution of Nevada Power Interconnection Agreement