1) El Paso is evaluating opportunities in LNG infrastructure development but will only take on balanced risks necessary to secure contracts for projects. 2) El Paso's existing Elba Island LNG terminal has been expanded and additional expansions are planned to increase storage and sendout capacity. Existing customers include BG and Progress Energy. 3) El Paso is developing the Cypress Pipeline project to improve gas supply to southern Georgia and Florida, supported by long-term agreements. 4) El Paso is also developing the Elba Express Pipeline project to improve gas supply and connectivity to Georgia and the East Coast, supported by agreements with Shell and BG.

1. Byron Wright
Vice President, Strategy and Rates
El Paso Eastern Pipeline Group
How Many is Too Many:
Terminal Approval to Regasification
Wachovia Securities LNG Conference
May 16, 2006

2. Cautionary Statement Regarding
Forward-looking Statements
This presentation includes forward-looking statements and projections, made in
reliance on the safe harbor provisions of the Private Securities Litigation Reform Act
of 1995. The company has made every reasonable effort to ensure that the
information and assumptions on which these statements and projections are based
are current, reasonable, and complete. However, a variety of factors could cause
actual results to differ materially from the projections, anticipated results or other
expectations expressed in this presentation, including, without limitation, our ability to
successfully contract, build and operate the pipeline projects described in this
presentation; changes in supply of natural gas; general economic and weather
conditions in geographic regions or markets served by El Paso Corporation and its
affiliates, or where operations of the company and its affiliates are located; the
uncertainties associated with governmental regulation; competition, and other factors
described in the company’s (and its affiliates’) Securities and Exchange Commission
filings. While the company makes these statements and projections in good faith,
neither the company nor its management can guarantee that anticipated future results
will be achieved. Reference must be made to those filings for additional important
factors that may affect actual results. The company assumes no obligation to publicly
update or revise any forward-looking statements made herein or any other forward-
looking statements made by the company, whether as a result of new information,
future events, or otherwise.
2

3. El Paso’s Natural Gas Pipelines
► 26% total U.S. interstate pipeline mileage
► 36 Bcf/d capacity (25% of total U.S.)
► Best market connectivity
Great Lakes Gas
► Best supply access Transmission (50%)
Wyoming
► Leading pipeline integrity program
Interstate
Cheyenne
Colorado
Plains Pipeline
Interstate Gas
Tennessee
Mojave
Gas Pipeline
Pipeline ANR
Pipeline
Southern
Natural Gas
El Paso
Natural Gas Elba Island LNG
Cypress
Pipeline
Mexico
Ventures Florida Gas
Transmission (50%)
3

4. LNG Threats and Opportunities for El Paso
Bo
th
Th
re
at
Op
at
po
re
r tun
Th
it y
ty Op
ni po
rtu Op
r tun
o po
pp it y r tun
O
it y
Threat
4

5. LNG Imports:
The Gulf Coast Advantage
LNG Quality Pipeline Market Market
Prospects Siting Constraints Access Liquidity Basis
Gulf Coast A A A A+ D
East Coast C- C B- B- A
West Coast D- C D C C
Mexico B B B N/A B
Maritimes A B- C+ C C
Proposed terminals
Certificated terminal
Existing terminals
Project by 2012
5

6. NA Terminal Capacity Growth
Bcf/d
Existing, Contracted Expansions,
New Construction
16
Canaport
Costa Azul
14
Altamira
Cameron
12
Sabine Pass
Freeport
10
Gulf Gateway
8 Cove Point Exp
Cove Point
6 Lake Charles Exp
Lake Charles
4 Elba Expansion
Elba Isl
2
Everett
LNG Imports
0
2006 2007 2008 2009 2010
6

7. LNG Terminal Utilization Rates
100%
80%
Utilization Rate
60%
40%
20%
0%
2000 2001 2002 2003 2004
Asia Europe NA Total
Source: PIRA
7

8. Will the Tail Wag the Dog?
In Billions
+50%?
Capit
al req
Supply ($1.0–$1.5)
uirem
ents
decre
Liquefaction ($0.8–$1.5)
a se d o
wnst
ream
Transportation ($0.7–$2.0)
Regas ($0.35–$1.0)
2 to 3 years
3 ½ to 4 years
2 years
Entire LNG chain requires
►
investment of $2.8 to $6 billion 3 to 3 ½ years
Pipeline ($0.03–$0.2)
per 1 Bcf/d capability
Regas and pipelines are the
►
smallest components
½ year
Source: CERA
8

9. El Paso’s Role in LNG Development
Strategy is to develop, construct, own, and operate
►
infrastructure
Contract terminal developer
►
Will accept some balanced risks as appropriate and
►
necessary to get contracts for the project:
– Permitting risk
– Timeline risk
– Capital cost risk
– Contract term risk
9

10. Current Elba Island Facility
Reactivation Expansion Combined
In-service date Nov. 2001 Feb. 2006
Storage capacity 4.0 Bcf 3.33 Bcf 7.33 Bcf
Firm sendout 0.446 Bcf/d 0.360 Bcf/d 0.806 Bcf/d
Peak sendout 0.675 Bcf/d 0.540 Bcf/d 1.215 Bcf/d
10

11. Elba’s Customers and Capabilities
Reactivation Phase II Total
Phase III
2010/2012
Start-up Dec-2001 –
Feb 2006
Long-term
Contract term 22 yrs. –
30 yrs.
Storage capacity (Bcf) 4.0 3.3 15.7
8.4
Sendout (MMcf/d) 675 540 2,115
900
Capex ($MM) – $155 $505
$350
11

12. SNG’s Cypress Project
Will Improve Supply to Southern GA and FL
Supported by 20-year
Agreements with
BG & Progress
Elba Island
Cypress Project (Phase I)
► 165 miles 24quot; pipe
JEA ► Capacity: 220 MMcf/d
► Capex: $241 MM
► Pipe ordered
FGT Phase VII ► FERC certificate expected 2Q ‘06
► Capacity: 100 MMcf/d ► In-service May 2007
► Capex: $63 MM
► In-service May 2007 Progress FL
12

13. Elba Express Pipeline
Will Improve Supply to Georgia and the East Coast
Charlotte
Elba Express Pipeline
Transco
► Pipe dia: 42quot;/36quot;; 191 miles
► Capacity: 1,175 MMcf/d
Atlanta
► Capex: $510 MM
► In-service: 2010/2012
Elba
Island
Supported by long-
term agreements with
Shell & BG
13

14. Byron Wright
Vice President, Strategy and Rates
El Paso Eastern Pipeline Group
How Many is Too Many:
Terminal Approval to Regasification
Wachovia Securities LNG Conference
May 16, 2006