El Paso Sells Australian Pipeline Assets

El Paso Corporation has agreed to sell its one-third interest in a portion of its Australian pipeline holdings to Hastings Funds Management. The assets sold include 1,180 miles of pipelines in South Australia, Queensland and Western Australia. El Paso expects to receive approximately $48 million for its share in the equity of these assets. The transaction is expected to close in the second quarter of 2004.

This sale supports El Paso's recently announced long-range plan to reduce the company's debt, net of cash, to approximately $15 billion by year-end 2005. To date, the company has announced or closed approximately $3.0 billion of the $3.3 to $3.9 billion of asset sales targeted under the plan.