HOUSTON, TEXAS, July 17, 2001—The Board of Directors of El Paso Corporation (NYSE:EPG) today declared a quarterly dividend of $0.2125 per share on the company's outstanding common stock. The dividend will be payable October 1, 2001 to shareholders of record as of the close of business on September 7, 2001. Outstanding shares of common stock entitled to receive dividends as of June 30, 2001 were 515,216,266.

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 technologies, such as clean coal and liquefied natural gas, 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.