El Paso Closes Sale of Indonesian Production Company

El Paso Production Company, a subsidiary of El Paso Corporation, has closed the sale of its shares in Coastal Indonesia Sampang Ltd. to Singapore Petroleum Company Ltd. for $23.2 million plus working capital. Coastal Indonesia Sampang Ltd. owns a 40-percent working interest in the Sampang Production Sharing Contract, which provides exploration and drilling rights in Indonesia.

The sale supports El Paso's 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 $3.5 billion of the $3.3 to $3.9 billion of asset sales targeted under the plan.