Houston, Texas, March 1, 2000—El Paso Field Services Company, a business unit of El Paso Energy Corporation (NYSE:EPG), announced today that it has agreed to purchase the 42.3-percent non-operated interest in the Indian Basin gas processing and treating plant and associated gathering lines from ONEOK, Inc. (NYSE:OKE) for $55 million. The transaction is subject to Hart Scott Rodino review and third party consents and is expected to close by the end of the first quarter 2000.

The Indian Basin facilities are located in Eddy County, New Mexico and are adjacent to El Paso Field Services Company's 800-mile Carlsbad gathering system. The assets include a 240 MMcf/d cryogenic processing plant and amine treating facility, plant and field compression totaling 20,000 horsepower and over 60 miles of gathering pipeline. The facilities are operated by Marathon Oil Company with current throughput of approximately 225 MMcf/d.

"These assets provide an outstanding fit with our existing Carlsbad gathering system, which has seen consistently strong drilling and volume increases over the last several years," said Robert G. Phillips, president of El Paso Field Services. "We have been looking for the right opportunity to strengthen our processing and treating capabilities in this area and this plant, with its percentage-of-proceeds-style contracts and proximity to our existing assets, will significantly contribute to our growth in 2000."

With over $16 billion in assets, El Paso Energy Corporation provides comprehensive energy solutions through its strategic business units: Tennessee Gas Pipeline Company, El Paso Natural Gas Company, Southern Natural Gas Company, El Paso Merchant Energy Company, El Paso Energy International Company, El Paso Field Services Company, and El Paso Production Company. The company owns North America's largest natural gas pipeline system, both in terms of throughput and miles of pipeline, and has operations in natural gas transmission, merchant energy services, power generation, international project development, gas gathering and processing, and gas and oil production. On January 18, 2000, El Paso Energy announced that it has agreed to merge with The Coastal Corporation in a deal valued at $16 billion, including approximately $6 billion of assumed debt and preferred equity. 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. El Paso Energy Partners, L.P. 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, oil and natural gas prices, continued drilling, exploration and production activity in the areas of the Gulf of Mexico served by El Paso Energy Partners; and successful negotiation of customer contracts on its pipelines and platforms. While the partnership makes these statements and projections in good faith, neither the partnership nor its management can guarantee that the anticipated future results will be achieved. Reference should be made to El Paso Energy Partners' (and its affiliates') Securities and Exchange Commission filings for additional important factors that may affect actual results.