HOUSTON, TX, Nov 03, 2009 (MARKETWIRE via COMTEX News Network) --

El Paso Corporation (NYSE:EP) is today reporting third quarter 2009 financial and operational results for the company.

Highlights:

--  $0.23 adjusted diluted earnings per share (EPS) versus $0.35 in 2008.
    A sharp increase in Pipeline Group earnings was more than offset by lower
    natural gas and oil prices.
--  2009 adjusted earnings per share guidance raised to $1.15 to $1.20.
--  Third quarter 2009 reported EPS of $0.08 per diluted share versus
    $0.58 in 2008. A sharp decline in natural gas prices in the company's
    Exploration and Production (E&P) business was the major reason for lower
    reported earnings.
--  Third quarter 2009 Pipeline Group earnings before interest expense and
    taxes (EBIT) rose 17 percent from the third quarter of 2008.
--  Third quarter production averaged 732 million cubic feet equivalent
    per day (MMcfe/d), including 71 MMcfe/d of Four Star volumes. Strong
    domestic results, particularly from Haynesville Shale activities, offset
    delays in Brazil's Camarupim project.
--  The company announced that its first Eagle Ford shale well was
    successful and that it had increased its acreage position to 112,000 net
    acres.

"I am very pleased with our third quarter financial results and the solid execution by our Pipeline and E&P businesses," said Doug Foshee, chairman, president, and chief executive officer of El Paso Corporation. "We placed the Piceance Lateral Expansion project in service during the quarter -- on time and on budget, while at the same time advancing other projects in our committed backlog as well as new growth opportunities. In E&P, we continued to generate excellent results from our Haynesville Shale program and have ramped up our activity level to five rigs. Importantly, we are transferring our Haynesville expertise to the Eagle Ford Shale, where we are off to a great start. In summary, we are generating consistent results that will provide sustained value creation for our shareholders."

A summary of financial results for the quarters and nine-month periods ended September 30, 2009 and 2008 is as follows:

Financial Results
                                   Quarters Ended       Nine Months Ended
($ in millions, except per          September 30,         September 30,
 share amounts)                   2009       2008       2009       2008
                                ---------- ---------- ---------  ----------
Net income (loss) attributable
 to  El Paso Corporation (EPC)  $       67 $      445 $    (813) $      855
Preferred stock dividends                9          9        28          28
                                ---------- ---------- ---------  ----------
Net income (loss) attributable
 to EPC common stockholders     $       58 $      436 $    (841) $      827
                                ========== ========== =========  ==========
Basic per common share amounts
  Net income (loss) attributable
   to EPC common stockholders   $     0.08 $     0.63 $   (1.21) $     1.19
                                ========== ========== =========  ==========
Diluted per common share
 amounts
  Net income (loss) attributable
   to EPC common stockholders   $     0.08 $     0.58 $   (1.21) $     1.12
                                ========== ========== =========  ==========

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