Houston, Texas, September 29, 1999-El Paso Energy Corporation (NYSE:EPG) announced that the Federal Energy Regulatory Commission (FERC) voted today to approve El Paso Energy's $6 billion merger with Sonat Inc. In a draft order issued today, the FERC concluded that the transaction is "consistent with the public interest" and "will not adversely affect competition, rates or regulation."

On September 28, El Paso Energy announced that it had signed a consent agreement with the Federal Trade Commission (FTC) relative to the transaction. Subject to FTC executing the consent agreement, El Paso Energy and Sonat expect to close the merger in early October.

With over $10 billion in assets, El Paso Energy Corporation provides energy solutions through its strategic business units: Tennessee Gas Pipeline Company, El Paso Natural Gas Company, El Paso Field Services Company, El Paso Power Services Company, El Paso Energy Marketing Company, and El Paso Energy International Company. The company owns the nation's only integrated coast-to-coast natural gas pipeline system and has operations in natural gas transmission, gas gathering and processing, power generation, energy marketing, and international energy infrastructure development. On June 10, the stockholders of both El Paso Energy and Sonat Inc. overwhelmingly voted in favor of merging the two organizations. Visit El Paso Energy's web site at www.epenergy.com.

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 companies have 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 companies make these statements and projections in good faith, neither the companies nor their managements can guarantee that the anticipated future results will be achieved. Reference should be made to the companies' (and their affiliates') Securities and Exchange Commission filings for additional important factors that may affect actual results.