1. © 2000 Enron Corp. All Rights Reserved 1 Presentation to Natural Gas Pipeline Co. February 23, 2001 Capacity Trading on EnronOnline Capacity Trading on EnronOnline Providing Access to the World’s largest online gas market

2. © 2000 Enron Corp. All Rights Reserved 2 Agenda Agenda IntroductionIntroduction What is EnronOnline?What is EnronOnline? What has EnronOnline done for Enron?What has EnronOnline done for Enron? What can EnronOnline do for NGPL?What can EnronOnline do for NGPL? The EnronOnline SolutionThe EnronOnline Solution

3. © 2000 Enron Corp. All Rights Reserved 3 Capacity Trading on EnronOnline Capacity Trading on EnronOnline What is EnronOnline?

4. © 2000 Enron Corp. All Rights Reserved 4 A Internet-based, Global Transaction System Managed by Enron Net Works, an independent subsidiary of Enron Corporation.A Internet-based, Global Transaction System Managed by Enron Net Works, an independent subsidiary of Enron Corporation. EnronOnline Allows Customers to View Real Time Prices and Transact Instantly OnlineEnronOnline Allows Customers to View Real Time Prices and Transact Instantly Online What is EnronOnline?

5. © 2000 Enron Corp. All Rights Reserved 5 Benefits of EnronOnline to Customers ReliableReliable Real-Time TransactionsReal-Time Transactions Faster than Traditional ChannelsFaster than Traditional Channels Simple Access via the InternetSimple Access via the Internet Easy to UseEasy to Use Secure ExecutionSecure Execution Market News and QuotesMarket News and Quotes

6. © 2000 Enron Corp. All Rights Reserved 6 Benefits of EnronOnline to Customers Price Limit OrdersPrice Limit Orders Industry PublicationsIndustry Publications Weather InformationWeather Information Advanced CustomizationAdvanced Customization Floating WindowsFloating Windows

7. © 2000 Enron Corp. All Rights Reserved 7 Markets Available on EnronOnline Today Commodity Types Argentine Natural GasArgentine Natural Gas Asian Crude & ProductsAsian Crude & Products Australian & Japanese WeatherAustralian & Japanese Weather Australian PowerAustralian Power Austrian PowerAustrian Power BandwidthBandwidth Belgian Natural GasBelgian Natural Gas Canadian Natural GasCanadian Natural Gas Credit DerivativesCredit Derivatives Dutch PowerDutch Power EmissionsEmissions Sea FreightSea Freight Spanish PowerSpanish Power Swiss PowerSwiss Power UK MetalsUK Metals UK Natural GasUK Natural Gas UK PowerUK Power US Gas Pipeline CapacityUS Gas Pipeline Capacity US LumberUS Lumber US MetalsUS Metals US Natural GasUS Natural Gas US Natural Gas OptionsUS Natural Gas Options US PowerUS Power US SteelUS Steel US WeatherUS Weather European CoalEuropean Coal European WeatherEuropean Weather German PowerGerman Power International CoalInternational Coal Japanese AluminumJapanese Aluminum LME Metals ContractsLME Metals Contracts LPGLPG Nordic PowerNordic Power Oil & Refined ProductsOil & Refined Products PetrochemicalsPetrochemicals Pipeline CapacityPipeline Capacity PlasticsPlastics Pulp & PaperPulp & Paper

8. © 2000 Enron Corp. All Rights Reserved 8 Deal Types Available on EnronOnline PhysicalPhysical FinancialFinancial BasisBasis IndexIndex OptionsOptions SwaptionsSwaptions SpreadsSpreads SwingsSwings

9. © 2000 Enron Corp. All Rights Reserved 9 Capacity Trading on EnronOnline Capacity Trading on EnronOnline What has EnronOnline done for Enron?

10. © 2000 Enron Corp. All Rights Reserved 10 Since its launch in November 1999, EnronOnline has revolutionized business at Enron: Total Life to Date Transactions > 600,000Total Life to Date Transactions > 600,000 Average Daily Transactions > 3,750Average Daily Transactions > 3,750 Life to Date Notional Value of Transactions > $365 billionLife to Date Notional Value of Transactions > $365 billion Daily Notional Value Approximately $2.6 billionDaily Notional Value Approximately $2.6 billion What has EnronOnline done for Enron?

11. © 2000 Enron Corp. All Rights Reserved 11 What has EnronOnline done for Enron?

12. © 2000 Enron Corp. All Rights Reserved 12 Daily % (30-day trailing average) Transactions Traditional ChannelsEnronOnline EnronOnline vs. Traditional Channels

13. © 2000 Enron Corp. All Rights Reserved 13 Quarterly Transactions via EnronOnline

14. © 2000 Enron Corp. All Rights Reserved 14 Capacity Trading on EnronOnline Capacity Trading on EnronOnline What can EnronOnline do for NGPL?

15. © 2000 Enron Corp. All Rights Reserved 15 What can EnronOnline do for NGPL? Increase number of transactionsIncrease number of transactions Increase Short Term salesIncrease Short Term sales Increase % of Pipeline utilizationIncrease % of Pipeline utilization Mitigate Turnback risk for future expiring Long Term contractsMitigate Turnback risk for future expiring Long Term contracts Reduce Operational & Administrative costsReduce Operational & Administrative costs Provide value added services for your existing customersProvide value added services for your existing customers Increase your customer baseIncrease your customer base

16. © 2000 Enron Corp. All Rights Reserved 16 Benefits of EnronOnline EnronOnline is a true business solution, not just a software tool.EnronOnline is a true business solution, not just a software tool. Proven track recordProven track record Short Time to market - minimum development time requiredShort Time to market - minimum development time required Scalability - Flexible Products structure is designed to grow as your needs changeScalability - Flexible Products structure is designed to grow as your needs change

17. © 2000 Enron Corp. All Rights Reserved 17 Capacity Trading on EnronOnline Capacity Trading on EnronOnline The EnronOnline Solution

18. © 2000 Enron Corp. All Rights Reserved 18 The EnronOnline Trading Solution EnronOnline WebsiteEnronOnline Website Highest concentration of natural gas traffic/transactions.Highest concentration of natural gas traffic/transactions. Best liquidity in hundreds of US Natural Gas Products.Best liquidity in hundreds of US Natural Gas Products. EnronOnline Stack ManagerEnronOnline Stack Manager Used by Enron traders to provide liquidity to the EnronOnline Website.Used by Enron traders to provide liquidity to the EnronOnline Website. Enabled to work for non-Enron companiesEnabled to work for non-Enron companies Provides tools to quickly construct “stacks” of prices and volumes and efficiently manage multiple products.Provides tools to quickly construct “stacks” of prices and volumes and efficiently manage multiple products.

19. © 2000 Enron Corp. All Rights Reserved 19 The EnronOnline Trading Solution EnronOnline SupportEnronOnline Support Proven skills and processes supporting your businessProven skills and processes supporting your business IT SupportIT Support 24 Hours/7 Days, 100 languages Help Desk24 Hours/7 Days, 100 languages Help Desk Product Development supportProduct Development support Training - on site with reference manualsTraining - on site with reference manuals E-commerce advice -legal, tax, credit, riskE-commerce advice -legal, tax, credit, risk Contracts/Documentation - PA, ETA, GTCContracts/Documentation - PA, ETA, GTC Marketing Support - presentation materials, press releases, ticker text, demo CD’s, Industry Trade Fairs.Marketing Support - presentation materials, press releases, ticker text, demo CD’s, Industry Trade Fairs.

20. © 2000 Enron Corp. All Rights Reserved 20 Capacity Trading on EnronOnline Capacity Trading on EnronOnline Providing Access to the World’s largest online gas market

21. © 2000 Enron Corp. All Rights Reserved 21 Capacity Trading on EnronOnline Capacity Trading on EnronOnlineAppendix

22. © 2000 Enron Corp. All Rights Reserved 22www.EnronOnline.com

23. © 2000 Enron Corp. All Rights Reserved 23 Functionality of EnronOnline

24. © 2000 Enron Corp. All Rights Reserved 24 Click On Offer Price

25. © 2000 Enron Corp. All Rights Reserved 25 Submission Screen

26. © 2000 Enron Corp. All Rights Reserved 26 Successful Transaction

27. © 2000 Enron Corp. All Rights Reserved 27 Customize by: CountryCountry CommodityCommodity RegionRegion CurrencyCurrency Location/IndexLocation/Index Product CategoryProduct Category Deal TypeDeal Type Customized Quotes

28. © 2000 Enron Corp. All Rights Reserved 28 Customized Content

29. © 2000 Enron Corp. All Rights Reserved 29 The EnronOnline Trading Solution EnronOnline WebsiteEnronOnline Website Capacity Trade Screen - accessed through EnronOnlineCapacity Trade Screen - accessed through EnronOnline Capacity Markets Vertical - market information, presentations, library, news, marketing contacts.Capacity Markets Vertical - market information, presentations, library, news, marketing contacts. EnronOnline Internal Trading ApplicationsEnronOnline Internal Trading Applications Stack ManagerStack Manager –is the tool Enron’s traders use to “make markets” –provides the ability to manage “stack depth” –ability to change volumes and prices in real-time –allows you to determine the product suite which will be displayed to the market

30. © 2000 Enron Corp. All Rights Reserved 30 Functions of Stack Manager Activateand Manage Products on EnronOnlineActivate and Manage Products on EnronOnline Add, Edit or Delete OffersAdd, Edit or Delete Offers Modify VolumeModify Volume Modify PricesModify Prices Activate, Inactivate, or Suspend ProductsActivate, Inactivate, or Suspend Products Price and volume controlsPrice and volume controls Set Price and Volume incrementsSet Price and Volume increments Checks against inaccurate price and volume entriesChecks against inaccurate price and volume entries

31. © 2000 Enron Corp. All Rights Reserved 31 Functions of Stack Manager Manage Price DefaultsManage Price Defaults Assign Trading hours for each ProductAssign Trading hours for each Product Track Completed TransactionsTrack Completed Transactions Time StampTime Stamp CounterpartyCounterparty VolumeVolume PricePrice

32. © 2000 Enron Corp. All Rights Reserved 32 Stack Manager

33. © 2000 Enron Corp. All Rights Reserved 33 Log On to Stack Manger

34. © 2000 Enron Corp. All Rights Reserved 34 Select Products to Manage

35. © 2000 Enron Corp. All Rights Reserved 35 Control the price tick size at which orders maybe set Turn Price Limit Order Function on and off. Enter Max Price Limit Order volume allowed Control the tick size at which prices maybe changed Checks the price inputs to reduce erroneous price changes Control the tick size at volumes maybe set Selecting Product Properties

36. © 2000 Enron Corp. All Rights Reserved 36 InsertOffer Prices and Volumes Insert Offer Prices and Volumes

37. © 2000 Enron Corp. All Rights Reserved 37 Capacity Trading on EnronOnline Capacity Trading on EnronOnlineQ&A