1. 2004 Third Quarter Results Conference Call
August 4, 2004
4:00 PM (ET)

2. I. 2004 Third Quarter Highlights II. Normalized Volumes
Table of Contents
I Third Quarter Highlights
II. Normalized Volumes
III. Segmented Data
IV Third Quarter Results
V. Competitive Situation
VI. Evolution of Gas Prices
VII. Conclusion

3. 2004 Third Quarter Highlights
Normalized volumes of 1, m3, up m3 or 4.0% (or 39.8 Bcf, up 1.5 Bcf)
Higher deliveries in industrial and residential sectors
Partners’ income of $9.4M, up $0.3M or 3.9% compared to the same quarter last year
Decrease in Distribution Sector
Recognition of over-earnings of $6.0M compared to $1.5M for the same quarter last year
Increases in Transportation and Energy Services and Others Sectors
Partners’ income per unit of $0.08, same as last year
Additional 4.0M units outstanding (or 3.6%) compared to previous year
Negative impact of stronger Canadian dollar
Expenses related to Rabaska project of $1.5M during the quarter
Cash flows from operations (before non-cash working capital items) of $41.2M, down $3.1M or 7.0%

4. Normalized Volumes Note: Differences are due to rounding
Conversion factor: 1 billion cubic feet = million cubic metres

5. Normalized Volumes Note: Differences are due to rounding
Conversion factor: 1 billion cubic feet = million cubic metres

6. Segmented Data
(Partners’ income in thousands of $)

7. Segmented Data
(Partners’ income in thousands of $)

8. Financial Results (in millions of $, except per unit data in $)
1 Excluding change in non-cash working capital items
2 Excluding deferred charges related to gas cost of +$0.6M and +$17.2M for 2004 and 2003 respectively, but including commercial programs and information systems development.
Note: Differences are due to rounding

9. Financial Results (in millions of $, except per unit data in $)
1 Excluding change in non-cash working capital items
2 Excluding deferred charges related to gas cost of + $12.2M and + $80.9 M for 2004 and 2003 respectively, but including commercial programs and information system development.
Note: Differences are due to rounding

10. Competitive Situation
How competitive is natural gas in Quebec?
Market Main Competitor How competitive*
Industrial #6 Fuel oil More expensive, but more flexible and less polluting
Commercial & Electricity 13% cheaper Institutional
Residential Electricity 8% to 19% more expensive
* As at June 30, Based on historical prices for past 12 months.

11. Evolution of Gas Prices
As of July 20, 2004
Sources: Enerdata, CIBC and Gaz Métro

12. Conclusion
Distribution of $0.34 per unit to be paid on October 1, 2004
Increase of 4.0% in normalized deliveries during third quarter of 2004
Increase in net earnings of 3.9% during the period
After nine months, net earnings per unit are up $0.01 to $1.64
2005 rate case for Québec Distribution (subject to Régie de l’énergie’s approval)
Base rate of return: 9.56%
Incentive Return (anticipated productivity gains): 2.05%
Request to renew ROE formula for next three years (2005 to 2008)