HOUSTON, Sept. 28 /PRNewswire-FirstCall/ -- El Paso Corporation (NYSE: EP) announced today that it has completed the previously announced acquisition of Peoples Energy Production Company through its indirect wholly owned subsidiary, El Paso E&P Company, L.P. The total purchase price was $879.1 million in cash, which reflected customary closing adjustments.

"We're pleased with the rapid completion of this acquisition, and we are also very pleased that many of the Peoples employees have chosen to join Team El Paso," said Brent Smolik, president of El Paso Exploration and Production Company. "The Peoples properties are an excellent strategic and operational fit for our company. In combination with our existing portfolio, they will improve the predictability of our future performance and add meaningfully to our inventory of future drilling projects."

El Paso Corporation provides natural gas and related energy products in a safe, efficient, and dependable manner. El Paso owns North America's largest interstate natural gas pipeline system and one of North America's largest independent natural gas producers. For more information, visit http://www.elpaso.com.

Cautionary Statement Regarding Forward-Looking Statements This release 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 release, including, without limitation, El Paso's ability to implement and achieve the company's objectives as set forth in the 2007 plan; our ability to successfully execute, manage, and integrate acquisitions; uncertainties associated with exploration and production activities; 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.

SOURCE El Paso Corporation
09/28/2007

CONTACT: Investor and Public Relations, Bill Baerg, Manager, +1-713-420-2906, or Media Relations, Richard Wheatley, Manager, +1-713-420-6828, both of El Paso Corporation

8836 09/28/2007 11:46 EDT http://www.prnewswire.com