Houston, Texas, October 27, 1997-El Paso Energy Marketing Company, a business unit of El Paso Energy Corporation (NYSE:EPG), announced today the acquisition of ECNG, Inc., an end-use consulting and management firm with operations in Ontario, Quebec, Manitoba and British Columbia. The acquisition is scheduled to close October 31, 1997.

ECNG, as a part of El Paso Energy Marketing, will continue to provide highly reliable, objective energy services to more than 1,100 customers serving in excess of 10,000 separate locations. Aggregate gas purchases on behalf of these customers exceed 200 million cubic feet per day (MMcf/d). The diversity of ECNG's customer base ensures a steady revenue stream to support long-term growth in the energy services sector.

"ECNG is a highly respected source of information and service in the eastern Canadian energy markets," said Greg G. Jenkins, president of El Paso Energy Marketing. "This acquisition increases El Paso Energy Marketing's presence in those markets and allows for expanded service alternatives to customers. We look forward to the combined resources of El Paso Energy Marketing and ECNG exceeding our customers expectations."

El Paso Energy Corporation provides total energy solutions through five business units: El Paso Natural Gas Company, Tennessee Gas Pipeline Company, El Paso Field Services Company, El Paso Energy Marketing Company and El Paso International Company. With offices worldwide, the company has operations in interstate natural gas transmission, gas gathering and processing, energy marketing and international infrastructure development.

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. While the company makes these statements and projections in good faith, neither the company nor its management can guarantee that the anticipated future results will be achieved. Reference should be made to the company's (and its affiliates') Securities and Exchange Commission filings for additional important factors that may affect actual results.