HOUSTON, TEXAS, August 6, 2001—El Paso Corporation (NYSE:EPG) announced today that it had concluded its testimony in the Federal Energy Regulatory Commission (FERC) hearing related to market affiliate issues.

"The FERC already found that we have not violated the affiliate rules," said Norma F. Dunn, senior vice president of Communications and Government Affairs. "No new facts came out related to the issues in the hearing. We intend to demonstrate in our brief that the Commission's original decision on the issue of affiliate abuse was correct as a matter of law."

El Paso Corporation is committed to meeting energy needs throughout North America and the world with operations that span the energy value chain from wellhead to electron. The company is focused on speeding the development of new energy sources to address critical energy shortages across the globe. Visit El Paso at www.elpaso.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 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.