Intermountain West Production -- Getting Gas to Market Jim Cleary El Paso Western Pipelines IPAA Mid-Year Meeting June 14, 2004

2 Cautionary Statement Regarding Forward-looking Statements This presentation includes forward-looking statements and projections, made in reliance on the safe harbor provisions of the Private Securities Litigation Reform Act of 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 presentation, including, without limitation, the ability to implement and achieve objectives in our long-range plan; general economic and weather conditions in geographic regions or markets served by the company and its affiliates; 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.

El Paso Western Pipelines WICCIGEPNGMojave Cheyenne Plains Big Horn Wind River Green River San Juan Denver-Julesburg Anadarko Raton Uinta Piceance Powder River Permian 3

NPC Study – Rockies Supply % of National Production % of Total Undiscovered Potential Lower 48 RockiesRockies

5 Natural Gas Production Source: Energy Information Administration West Coast Northeast Southwest Gulf Coast Intermountain West Midcontinent Trillion Cubic Feet/Yr. Projected

6 Bcf/d Mexico Western Canada Canada Eastern Maritimes Total* North American Regional Demand Growth Includes lease, plant and pipeline fuel *Source: El Paso N.A. Macro Feb 2004

7 Bcf/d Western Canada U.S. LNG Imports Rockies San Juan SouthCentral Mid-Continent * Total North America* Eastern Canada * Supply does not equal demand due to balancing / storage; estimates Mexico (incl LNG) Gulf of Mexico Major Supply Changes Source: El Paso Pipelines N.A. Macro Feb Permian

8 MMcf/d Northern Rockies Net Export Supply vs. Capacity CIG to Mid-Continent Basis CIG to Topock Basis Pipeline Export Capacity Net Supply for Export Capacity Surplus CIG to Mid-Continent Basis CIG to Topock Basis Pipeline Export Capacity Net Supply for Export Capacity Surplus

Denver East Trailblazer850 KMI400 CIG*330 Southern Star180 WBI210 Total1,970 Total1,970 West NWP North475 NWP South360 Kern900 TransColorado300 Total 2,035 Total 2,035 * Excludes capacity from Raton 2003 Northern Rockies Export Capacity Approximately 4.0 Bcf/d 9

10 Rockies Export Expansions Capacity(MDthd) In-Service Date Kern906 May 2003 Northwest175 November 2003 Grasslands80 December 2003 TransColorado125 August 2004 Cheyenne Plains 560 January 2005 Cheyenne Plains Phase II Total1702,016 January 2006

11 Powder River Denver Big Horn Wind River Piceance Uinta Green River Overthrust 2,000 MMcf/d 2003 to : Data derived from IHS Energy database 2003: Estimate : El Paso forecast MMcf/d High Prior 2003 Forecast Low Northern Rockies Supply Forecast

12 Las Vegas Denver Salt Lake City Greensburg Cheyenne Plains WIC Reversal / Extension On-Going El Paso Expansion Efforts Medicine Bow Expansion Piceance Raton Basin Line 1903 Project WICCIG Kern River NNGNGPLANRPEPLSSCEPNGExpansions 12

13 Cheyenne Plains 36-Inch Pipeline Phase I Phase II Total Compression (HP) 20,60010,30030,900 Capacity (MDthd) FERC Filing May 20, 2003 May 25, 2004 In-Service Date January 2005 January 2006 Ultimate Capacity 1,700 MDthd Receipt Points Delivery Points CIG and WIC ANR, PEPL, NGPL, NNG, KGS, KMI, SS

14 Thoughts for the Future Gas is Valuable · Capacity is Cheap · Connectivity is Priceless