HOUSTON, Oct. 20, 2003 — El Paso Corp. announced that it executed an agreement to sell its 29.64-percent interest in Portland Natural Gas Transmission System (PNGTS) to TransCanada Corp. for approximately $56 million.
The transaction is subject to customary closing conditions, including the right of existing partners to purchase their pro rata share under the same terms and conditions. The transaction is expected to close during the fourth quarter of 2003.
PNGTS operates a 471 kilometer, 220 million cubic feet per day interstate natural gas pipeline that connects with the Trans-Quebec & Maritimes Pipeline near Pittsburg, New Hampshire and has delivery points in Maine, New Hampshire and Massachusetts, including the Boston area.
This sale supports El Paso’s previously announced 2003 five-point business plan, which includes exiting non-core businesses quickly but prudently, and strengthening and simplifying the balance sheet while maximizing liquidity.
El Paso Corporation is a provider of natural gas services and the largest pipeline company in North America. The company has core businesses in pipelines, production, and midstream services. El Paso is committed to developing and delivering new energy supplies and to meeting the growing demand for new energy infrastructure. For more information, visit www.elpaso.com .