HOUSTON, Jan. 13 /PRNewswire-FirstCall/ -- El Paso Corporation (NYSE: EP) announced today that it has agreed to sell the majority of its Central American power assets to a subsidiary of Globeleq Ltd. for approximately $141 million. The assets include investments in six power plants with a combined capacity of 304 net megawatts located in El Salvador, Nicaragua, the Dominican Republic, and Panama. The two remaining power assets in the region, located in the Dominican Republic and Peru, are being sold in separate processes, which are at various stages of completion.

The sales are subject to usual and customary closing conditions, including obtaining certain consents, and are expected to close by the end of the second quarter of 2006. The company expects to record an impairment of approximately $56 million in the fourth quarter of 2005 relating to its investment in these power plants. A significant portion of that impairment will be in discontinued operations.

Since its March 17, 2005 long-range plan update, the company has announced or closed approximately $1.6 billion of its targeted $1.2 billion to $1.6 billion of asset sales in support of the company's debt-reduction program.

El Paso Corporation provides natural gas and related energy products in a safe, efficient, and dependable manner. The company owns North America's largest natural gas pipeline system and one of North America's largest independent natural gas producers. For more information, visit http://www.elpaso.com .

Cautionary Statement Regarding Forward-Looking Statements

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, including, without limitation, the ability to implement and achieve our objectives in the long-range plan; inability to realize anticipated synergies and cost savings associated with restructurings and divestitures on a timely basis; the uncertainties associated with governmental regulation; competition; and other factors described in the company's (and its affiliates') Securities and Exchange Commission filings. While the company makes these statements and projections in good faith, neither the company nor its management can guarantee that anticipated future results will be achieved. Reference must be made to those filings for additional important factors that may affect actual results. The company assumes no obligation to publicly update or revise any forward-looking statements made herein or any other forward-looking statements made by the company, whether as a result of new information, future events, or otherwise.

SOURCE El Paso Corporation
01/13/2006

CONTACT: Investor and Public Relations, Bruce L. Connery, Vice President, 1-713-420-5855, or fax, +\1-713-420-4417, or Media Relations, Chris Jones, Manager, 1-713-420-4136, or fax, 1-713-420-4417, both of El Paso Corporation

0189 01/13/2006 16:30 EST http://www.prnewswire.com