EXHIBIT 99.A

News
For Immediate Release

El Paso Corporation's Master Settlement Agreement Takes
Effect

HOUSTON,  TEXAS, June 14, 2004-El Paso Corporation (NYSE:EP)
and   certain   subsidiaries  announced  that   the   Master
Settlement  Agreement related to the western  energy  crisis
became  effective  June  11,  2004.  The  Master  Settlement
Agreement  resolves  the  principal  litigation  and  claims
against  El  Paso and certain subsidiaries relating  to  the
sale  or  delivery  of natural gas and  electricity  in  the
Western United States. The agreement was detailed in a  June
26, 2003 press release, which can be viewed on El Paso's Web
site at http://www.elpaso.com/press/newsquery.asp?sId=4172.

On  June  11,  2004,  El  Paso released  approximately  $570
million  of  cash from an escrow account to  the  settlement
parties.   The  $570 million was funded from  the  following
sources:

*    $323 million of cash payments from the company;
*    $195 million from the proceeds of 26.4 million shares
     of El Paso common stock that were issued on behalf of
     the settlement parties;
*    $50 million related to price adjustments for the period
     of June 24, 2003 through June 11, 2004 under two power
     contracts with the California Department of Water
     Resources; and
*    $2 million in accrued interest on deposited funds.

In  July 2004, El Paso will make the first of 40 semi-annual
payments   to  the  settlement  parties  that   will   total
approximately   $876  million  over  the   length   of   the
obligation.   A subsidiary of El Paso CGP Company,  El  Paso
Production  Oil  & Gas USA, L.P., has pledged  approximately
213  billion cubic feet equivalent of proved natural gas and
oil  reserves located in south Texas as collateral for these
payments.   El  Paso  Production  Holding  Company  has  not
pledged any reserves under the agreement.

El  Paso  expects the second settlement agreement referenced
in  the  June 26, 2003 press release to become effective  by
the  end  of this month.  Under this settlement, the company
will make a cash payment of approximately $34 million, which
represents a previously agreed to upfront payment as well as
the  prepayment  of  an obligation to pay approximately  $24
million over a 20-year period.

The  release  of  the  approximately $570  million  of  cash
associated  with  the Master Settlement Agreement  will  not
impact  El Paso's cash position because the funds  had  been
held  in  escrow  pending implementation of  the  settlement
agreement.  However, El Paso's operating cash flow  for  the
second  quarter  of 2004 will show a use of working  capital
associated with the transfer of these funds.  The payment of
funds associated with the second settlement will impact  the
company's cash position by $34 million once this payment  is
made.

El  Paso Corporation provides natural gas and related energy
products  in  a  safe,  efficient, dependable  manner.   The
company  owns  North America's largest natural gas  pipeline
system  and  one  of  North  America's  largest  independent
natural   gas   producers.   For  more  information,   visit
www.elpaso.com.

Cautionary Statement Regarding Forward-Looking Statements

This   release   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 release, including,
without limitation, the ability to implement and achieve our
objectives  in  the  long-range  plan;  the  timing  of  the
completion  of the internal review of the reserve revisions,
and  the  extent and time periods involved in any  potential
restatement  of  prior years' financial  results;  potential
impact of any restatement of financial results on our access
to capital (including borrowings under credit arrangements);
changes in reserves estimates based upon internal and  third
party reserve analyses; the successful implementation of the
Western  Energy Settlement;    the uncertainties  associated
with the outcome of governmental investigations; the outcome
of  litigation  including shareholder derivative  and  class
actions  related  to  the  reserve  revision  and  potential
restatement;  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.

Contacts
Investor and Public Relations
Bruce L. Connery, Vice President
Office:  (713) 420-5855
Fax:     (713) 420-4417

Media Relations
Kim Wallace, Manager
Office:  (713) 420-6330
Fax:     (713) 420-6341