2003 Year-End Results Conference Call

1. 2003 Year-End Results Conference Call November 19, 2003 @ 4:00 PM (ET)

2. Table of Contents I. Results at a Glance II. Normalized Volumes III. Financial Results IV. Segmented Data V. Income Distributions VI. Competitive Situation VII. Regulatory Affairs VIII. Incentive Mechanism IX. Evolution of Gas Prices X. Conclusion

3. Results at a Glance 2003: Good year despite higher gas price • Gross margin up 2.3% or $12.9 M • Normalized volumes down 3.4% or 7.2 Bcf • Partners income down 0.8% or $1.3 M at $153.3 M • Includes a negative impact of approximately $4.6 M resulting from the lower federal tax rate (2% cut in 2003) • Cash flow from operations up 22% or $62.9 M • Variation in the rate stabilization account (colder temperature generated cash receipts of $11.7 M in 2003 compared with a liquidity shortfall of $50.5 M in 2002) • Distributions up 4.7% to $1.34

4. Normalized Volumes Fiscal Year Ended September 30, 2003 Note: Differences are due to rounding Conversion factor: 1 billion cubic feet = 28.328 million cubic metres

5. Financial Results(in millions of $, except per unit data, in $) 1 Excluding change in non-cash working capital 2 Excluding deferred charges related to gas cost of + $94.1 M and - $9.1 M for 2003 and 2002 respectively, but including commercial programs and information system development. Note: Differences are due to rounding

6. Segmented Data Fiscal Year ended September 30, 2003 (Partners’ Income in thousands of $)

7. Income Distributions • Distributions for fiscal year 2003 were $1.34, an increase of 4.7% compared with fiscal year 2002 ($1.28) • A distribution of $0.34 per unit was approved and will be paid January 1st, 2004, same level as last quarter

8. Competitive Situation How competitive is natural gas in Québec ? Market Main Competitor How competitive* Commercial & Electricity 7% cheaperInstitutional Residential Electricity 16% to 23% more expensive Industrial Fuel oil #6 More expensive but more flexible and less polluting * Based on last 12 months historical prices.

9. Regulatory Affairs • 2003 • Base rate of return = 9.89% • Anticipated productivity gains = 0.45% • 2004 • Base rate of return = 9.45% • Anticipated productivity gain = 1.51% 10.34% Over earnings of 0.57% for the year 2003 10.96% On September 26, 2003, the Régie de l’énergie approved the rates applicable to the fiscal year starting October 1st, 2003. The base rate of return is 44 basis points lower than last year with a productivity gain 106 basis points higher

10. Incentive Mechanism • The current incentive mechanism was put in place onOctober 1st, 2000 and expected to run until September 30, 2005, with the right to reevaluate the terms in 2003 • The negotiations began in May 2003 and further to an agreement with the intervenors, a proposition was recently filed with the Régie de l’énergie • The highlights of this agreement are as follows: • Five year term beginning on October 1st, 2004 • Increase of the X factor from 0.3% to 0.5% • Decrease of the proportion kept by GMCLP from 52.5% to 50% for the productivity gain projected at the beginning of the year and from 33% to 25% from the additional gains accrued at the end of the year • Right to reevaluate the incentive mechanism in 2007

11. Evolution of Gas Prices As of November 10, 2003 Source: Bloomberg and Gaz Métro

12. Conclusion 2003 was overall a very good year for Gaz Métro and unitholders continued to benefit from the good performance Total return totaled 20.2%* for Gaz Métro units in 2003 Don't forget our Annual Analysts Meeting on December 4, 2003 in Toronto at 12:00 (ET) for a more complete review of Gaz Métro 2003 results and outlook for the forthcoming year Source: Bloomberg