Potential enhancements to the Xpress system for CIG, WIC, and CP

1. Potential enhancements tothe Xpress system for CIG, WIC, and CP 2008 Customer Initiative Kick-Off Meetings Houston, Jan. 14 – Denver, Jan. 15

2. Cautionary Statement RegardingForward-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 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 presentation, including, without limitation; our ability to implement and achieve our objectives in the 2007 plan; the risks associated with recontracting of transportation commitments by our pipelines; regulatory uncertainties associated with pipeline rate cases; changes in commodity prices and basis differentials for oil, natural gas, and power and relevant basis spreads; general economic and weather conditions in geographic regions or markets served by the company and its affiliates, or where operations of the company and its affiliates are located; 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.

3. Defining Our Purpose El Paso Corporation provides natural gas and related energy products in a safe, efficient, and dependable manner

4. Creating a New Culture the place to workthe neighbor to havethe company to own

5. Agenda • CIG 2008 Customer Initiative, Greg Ruben • Customer Advisory Group • Customer-Driven Enhancements, Curtis Claar • Why we are here: the prioritization process • Follow-up from issues reported at previous meeting • Current customer requests • Process for determining implementation plans • Wrap-up, Greg Ruben

6. CIG 2008CustomerInitiativeGreg RubenDirector, CIG Marketing a meaningful company doing meaningful work delivering meaningful results 6

7. Customer Advisory Group • Input from customers is key to success • Active participants • “In-the-loop” participants

8. Customer-DrivenEnhancementsCurtis ClaarAdministrator, Noms & Scheduling a meaningful company doing meaningful work delivering meaningful results 8

9. The prioritization process:A cyclical process Gathering customer requests and reporting timelines and status June 2007 thru January 2008 In-depth analysis, specifications, development, testing, training, etc. Getting customer priorities and evaluating available and needed resources

10. Follow-up from issues reportedat previous customer meeting • Case sensitivity in the package field • Resolved. All our systems use uppercase. • Request for contract number 01000 = 1000 • Resolved. All characters are an element of a contract number, no change made. Some customers cannot open shipper cut reports on a Blackberry • Resolved. Worked with impacted customers. Will work with others as needed.

11. Follow-up from issues reportedat previous customer meeting • Customer gets kicked out of CIG Xpress too often • High priority for corporate IT to monitor and resolve. • Changing nominations or confirmations in Pool Confirmation screen doubles certain data • Still unable to reproduce; need customer volunteers to help.

12. Current Customer Requests

13. 1. APAL Payback Noms Effort Required: Medium Streamline the online APAL Payback Process. Provide easier date entry, etc. • Current Process: • When entering a payback APAL (Receipt or Delivery Location of PBR, PBD or APL), the shipper is required to enter the APAL contract number, with the month of imbalance appended, in the upstream or downstream contract field.

14. 1. APAL Payback Noms (cont.) Streamline the online APAL Payback Process. Provide easier date entry, etc. • Requested Process: • When entering a APAL Payback nom (Receipt or Delivery Location of PBR, PBD or APL) the customer would be given options for an easier method of entering correct data in the Upstream Contr or Downstream Contr fields.

15. 2. Copy Option Effort Required: Low Provide a copy option at the One Receipt One Delivery level to enable customers to copy and change fields for a new nomination. • Requested Change: • Add a “Copy” button to the Transportation Nominations Pick List screen which would copy the selected nomination to the Transportation Nomination Route screen, allowing fields to be modified and saved.

16. 3. DUNS Numbers Effort Required: High Add process to autopopulate DUNS numbers associated with up and down contracts on a nomination. New process would populate the Up and Down DUNS when tabbing through the DUNS field in the nomination entry screens. The DUNS numbers would be learned from nominations at the beginning of the month and maintained by CIG schedulers.

17. 4. Flow Day Diversions (FDD) Effort Required: High Enable customers to request and schedule diversions online when they need to change a supply or market point after it has been scheduled without having to contact a scheduler at CIG. • CurrentProcess: • When shippers want to change a supply or market point after a transaction has been scheduled, it is perceived as a new transaction in the next scheduling cycle. • RequestedProcess: • Create a Flow Day Diversion process allowing shippers to change the receipt location or the delivery location for cycles 2, 3 and 4 for any contracts with quantities scheduled in a previous cycle (1, 2 or 3). The resulting FDD quantities would be handled during the scheduling process as if they had been scheduled in the previous cycle.

18. 5. HEEN Upload Effort Required: Medium Add HEEN transactions to proprietary file upload. • CurrentProcess: • There is no process to allow HEEN transactions to be uploaded into Xpress. • RequestedProcess: • Modify the current Xpress Transport Nominations Upload process to accept HEEN transactions.

19. 6. Mismatch Correction Effort Required: Medium Allow CIG schedulers to correct mismatched nominations after the nomination deadline. • The issue: • When there are mismatches of certain data fields in nominations for a given cycle, the quantity scheduled for that cycle is zero. In these cases, shippers are unable to correct the issue until the next cycle and the corrected nom is perceived as a new transaction in the next scheduling cycle. • RequestedProcess: • Provide CIG Schedulers the ability to edit mismatched nominations after close of nominations. This process would not be for errors in quantity, only for contract number, package ID or DUNS number.

20. 7. NNT Overrun Requests Effort Required: Low Enable the customers entering requests for NNT overrun to select new contracts when their requests involve the subsequent month. • CurrentProcess: • Only current month contracts are displayed in the drop down list even when Flow Dates span into the next month. If a new NNT contract is added effective the first of the following month, it is currently not displayed on the drop down list until the Flow Dates displayed are all in the following month. In this example, NNT contract 31053000, effective 1/1/2008, does not show as an option.

21. 7. NNT Overrun Requests (cont.) Enable the customers entering requests for NNT overrun to select new contracts when their requests involve the subsequent month. • RequestedProcess: • When a Flow Date in the next month is displayed, include contracts that become effective that month in the drop down list. • Once all Flow Dates have moved into the next month, remove all contracts that are no longer in effect from the drop down list.

22. 8. Pool EPSQ Effort Required: High Enforce EPSQ requirements through pooling nominations. • CurrentProcess: • The location pool confirmation screens do not enforce EPSQ in cycles 3 and 4.

23. 8. Pool EPSQ (cont.) Enforce EPSQ requirements through pooling nominations. • RequestedProcess: • Enforce EPSQ by applying these concepts: • The pooling confirmation for an individual supply or market transaction would not be allowed to be decreased below EPSQ. • During pool balancing, the lowest ranked entry would be reduced first to only what EPSQ criteria will allow. • If additional balancing is necessary the next lowest ranked entry would be considered (also limited by EPSQ) … and so on until pool balancing is accomplished.

24. 9. Pool-to-Pool Nominations Effort Required: Medium Enable customers to nominate Pool-to-Pool transactions at the headstation pool locations. More information from customers is needed to fully understand this request.

25. 10. Reduction Reason Codes on Pooling Nominations Effort Required: Medium Display reduction reason codes consistently across the transaction stream through the pooling nominations. Current Process: Reduction Reason Codes are not consistently populated throughout the pooling nomination process. Requested Process: Display Reduction Reason Codes consistently throughout the pooling nomination process.

26. 11. Reinstatement Process Effort Required: High Add Reinstatement to the Capacity Allocation process to optimize throughput. Current Process: In cases where there are multiple constraints during one scheduling day, the scheduling process used by CIG leaves unused capacity on the pipe if transactions are impacted by both constraints. Requested change: A change would be made to reinstate certain transactions during the scheduling process. Because there are several possible methods of doing this, as a part of the analysis process, we will need to gather customer input on how this should work.

27. 12. Simplify Screens Effort Required: Medium Improve navigation of Xpress, including consolidation of buttons and screens, limiting drill downs and enhance logical flow. Please submit the screens that would be most beneficial for you to have changed.

28. 13. Nominations on Confirmation Screens Effort Required: Medium Show requests after the nomination period is closed and before the confirmation period is open. Currently nominations are not visible until the cycle is open for confirmations Requested Process: Show requests after the nomination period is closed and before the confirmation period is open

29. 14. EBB Enhancement Effort Required: Medium Show and store both Prelim and Final numbers on EBB Operationally Available Capacity. Requested change:

30. 15. Flow Day Information Report (cont.) Enable customer to print a Flow Day Report with Reduction Reason Codesdirectly from the Flow Day Information screen. Flow Day Information Report

31. 16. Interconnect Operator Confirmations Report Effort Required: Medium Provide more readable Interconnect Operator Confirmations Report for email distribution. Current Process: The current Interconnect Operator Confirmations Report is not compatible with some customer email programs. Requested Process: The Interconnect Operator Confirmations Report would be redesigned to become accessible via more email and document software programs.

32. 17. Report Enhancements Effort Required: Medium Add reduction reason codes to the Location Pool Balancing Report and to the Contract Routes Report. Location Pool Balancing Report

33. 17. Report Enhancements (cont.) Add reduction reason codes to the Location Pool Balancing Report and to the Contract Routes Report. Contract Routes Report

34. 18. Maintenance Notices Effort Required: Medium Add min/max percentages of cut information to maintenance notices to help firm shipper calculate the impact. Current Notice: 17. Mocane Compressor Station (MOC): One unit will be out of service [Month day] through [Month Day]. Capacity through MOC will be reduced from 50.0 to 24.0 MMcf/d. Requested Notice: 17. Mocane Compressor Station (MOC): One unit will be out of service [Month day] through [Month Day]. Capacity through (MOC) will be reduced from 50.0 to 24.0 MMcf/d. Firm shippers should expect cycle 1 reductions of up to approximately 40% of their entitlements at MOC. Assumption in the example above: MOC has a total of 40.0 MMcf/d of firm transport subscribed. This means that a reduction from 40.0 to 24.0 is a reduction of 16.0 MMcf/d … or a 40% reduction).

35. 19. Notice Subscription Options Effort Required: Medium Add option to enable customers to subscribe to Critical Notices, Non-Critical Notices or both. Requested change would allow shippers to subscribe to specific types of notices (Critical, Non-Critical)

36. 20. Hide Zero Quantities in Pooling Screens Effort Required: Low Allow customers the option to hide transactions with zero quantities on the Location Pooling Confirmations screen. • CurrentProcess: • There is no way to hide zero quantities on the Location Pool Confirmations Screen.

37. 20. Hide Zero Nominations (cont.) Enable customers to hide zero quantities on the Location Pooling Confirmations Screen. • RequestedProcess: • Add Supply and Market side check boxes to hide zeros if both the Shipper Quantity and the Pooler Quantity are zero.

38. 21. HEEN Daily Detail Report Effort Required: Medium Create a report that provides a detailed listing of HEEN activity for a given day. RequestedReport:

39. 22. Interconnect Operator Reduction Report Effort Required: Low Create a report to display all transactions for locations having reductions. RequestedReport:

40. Process for determining implementation plans • Receive and document any additional customer requests • Submit no later than January 25 • Publish survey to all Advisory Group participants seeking input for prioritization • One vote per company • Distributed by Feb. 1, return by Feb. 8 • Publish survey results • Published by Feb. 15 • Publish timeline and begin execution • Published by Mar. 1 • Quarterly progress reports and semi-annual review of priorities

41. Wrap-UpGreg Ruben

42. Photocopy as necessary 2008 CIG Customer InitiativeRequest for Additional Information Fax to: Curtis Claar at (719) 520-4538 Deadline is Jan. 25, 2008 Name ___________________________ Company ________________________ Email ___________________________ Phone __________________________ • I am interested in being an active participant in the Customer Advisory Group to work with Nominations & Scheduling system changes • Please contact me to help reproduce the Pooling Data Doubling issue • Please add this enhancement or change to the list for review by all parties (the more details, the better): ________________________________________________ ________________________________________________ ________________________________________________ ________________________________________________