el paso 05_22%20Yardley_MLP%20Investor%20Confr_FINAL(Web)
1. El Paso Pipeline Partners
James C. Yardley
President & Chief Executive Officer
El Paso Pipeline GP Company, L.L.C.
2008 MLP Investor Conference
May 22, 2008
2. Cautionary Statement
Regarding Forward-Looking Statements
This presentation includes forward-looking statements and projections, made in reliance on the
safe harbor provisions of the Private Securities Litigation Reform Act of 1995. El Paso Pipeline
Partners 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 presentation, including, without
limitation, the ability to obtain necessary governmental approvals for proposed pipeline projects
and to successfully construct and operate such projects; operating hazards, natural disasters,
weather-related delays, casualty losses and other matters beyond our control; the risks
associated with recontracting of transportation commitments; regulatory uncertainties
associated with pipeline rate cases and other tariff filings; actions taken by third-party
operators, processors and transporters; conditions in geographic regions or markets served by
El Paso Pipeline Partners and its affiliates and equity investees or where its operations and
affiliates are located; the effects of existing and future laws and governmental regulations;
competitive conditions in our industry; changes in the availability and cost of capital; and other
factors described in El Paso Pipeline Partners’ (and its affiliates’) Securities and Exchange
Commission filings. While these statements and projections are made in good faith, El Paso
Pipeline Partners and its management cannot guarantee that anticipated future results will be
achieved. Reference must be made to those filings for additional important factors that may
affect actual results. El Paso Pipeline Partners assumes no obligation to publicly update or
revise any forward-looking statements made herein or any other forward-looking statements
made, whether as a result of new information, future events, or otherwise.
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3. Investment Highlights
El Paso is the premier U.S. natural gas pipeline company
Strong
Sponsorship Alignment of interests (67% ownership + IDRs)
90%+ revenue from capacity reservation charges
Stable Cash
Flow Average contract life of more than 8 years
Strategic growth vehicle for El Paso
Well located, high-quality assets
Growth Vehicle Significant contracted organic growth projects
Growth through potential acquisitions - third party,
drop down or both
Financial
Strong and flexible financial position
Flexibility
3
4. MLP Opportunities
High
Price stability
Cash Flow Stability
Interstate Long-term firm
Pipelines demand contracts
Stable asset base
Majority of
alternative MLP’s
Low
Low Asset Life High
4
5. El Paso Pipeline Partners
Primary focus is natural gas transmission
and storage assets
Three FERC regulated interstate pipelines:
100% of WIC: 800 miles, 2.7 Bcf/d
10% of CIG: 4,000 miles, 3.0 Bcf/d
10% of SNG: 7,600 miles, 3.7 Bcf/d
Demand-based revenues from high- quality
customers with strong credit profiles
Several organic expansions underway
WIC
CIG SNG
Diverse, growing supply regions High connectivity to growing demand regions
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6. Sponsor Committed to Growth
Public Unitholders
28,437,786 EPB Common Units
28,756,250 EPB
27,727,411 EPB Subordinated Units
Common Units
GP interest and incentive distribution rights
64.8% LP
33.2% LP
2.0% GP
Commitment to Growth
Organic projects
Third-party acquisitions
Drop downs from El Paso
Most pipeline assets suitable for MLP
$2.4 billion NOL at December 31, 2007
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7. Stable Cash Flow
Capacity reservation charges result in cash flow stability
2007 Revenue Composition*
WIC CIG SNG
Capacity Reservation Charges 98.1% 89.3% 88.3%
1.3% 7.0% 7.4%
Variable Charges
0.6% 3.7% 4.3%
Interruptible Contracts
Weighted Average 10 years 5 years 6 years
Contract Life
7
*Excludes liquids and fuel retention revenues
9. Rockies Production Growth
Wellhead Volumes in Bcf/d
14
Forecast
Denver
+3 Bcf/d
12 Piceance
Uinta
Powder River
10
Overthrust
Green River
8 Wind River
Big Horn
6
Forecast by 2016 (Bcf/d):
4
High Case 13.3
Mid Case 11.9
2
Low Case 10.4
0
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
1990–2006: Wellhead total data from HIS database
2007–2016: El Paso forecast 9
10. Committed Expansion Projects
$ Millions
2008–2009 2010 & Beyond
WIC Kanda Lateral
Medicine Bow
Piceance Basin
CIG High Plains
Totem Storage
SNG Cypress (II&III) Cypress III
SESH SESH
SS III SS III
100% Share $430 $324
Net to EPB 156 32
Solid inventory of organic growth
Note: $ in each column represents costs for each project, shown in the year of expenditure;
As of March 31, 2008 10
11. Wyoming Interstate Company—WIC
Organic Growth
Powder River
WIC Medicine Basin
Douglass
Bow Expansion Compressor
$37 MM Station
September 2008
330 MMcf/d
Greater Green
Opal Hub
Contracted
River Basin
Capacity
Wamsutter
WY
Compression
Contracted Station
Capacity
Midpoint
Compression Cheyenne Hub
Station
CO
WIC Piceance Lateral
Uinta
$62 MM
Basin
Greasewood 4Q 2009
Compressor 220 MMcf/d
Station
Piceance
UT Basin
Nearly $100 MM of committed growth projects
Note: As of March 31, 2008 11
12. Colorado Interstate Gas—CIG
Organic Growth
SD
WY Major Hubs
CIG Storage Fields
Powder River
High Plains
Basin
Wind River
Basin CIG
Greater Green NE CIG High Plains
River Basin
Pipeline
Opal Hub
$198 MM (100%)
Overthrust Cheyenne Hub November 2008
Basin
900 MMcf/d
DJ Basin
Uinta
Basin CIG Totem Storage
$133 MM (100%)
Piceance July 2009
UT Basin 200 MMcf/d
CO KS
Beaver
Compressor
Station
Raton
Basin Anadarko
NM Basin
$166 MM of CIG committed growth projects,
$17 MM net to EPB
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Note: As of March 31, 2008
13. Southern Natural Gas—SNG
Organic Growth
SNG South System III/
SNG SESH—Phase I
SESH Phase II
$150 MM
$285 MM / $35 MM
July 2008
2010–2012
140 MMcf/d
370 MMcf/d / 350 MMcf/d
SNG Cypress
Phase II & III
$20 MM / $85 MM
May 2008 / January 2011
115 MMcf/d / 160 MMcf/d
$575 MM of committed growth projects,
$58 MM net to EPB
Note: As of March 31, 2008 13
14. Strong Financial Position
$ Millions
March 31, 2008
Cash and cash equivalents $ 9
Revolving borrowings 495
Capital lease obligations 8
Total debt 503
Partners’ capital 408
Total capitalization $911
Credit Statistics
Debt/capitalization 55%
Well positioned for future growth
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15. The MLP to Own
Strong sponsorship
Stable cash flow
Growth vehicle
Financial flexibility
WIC
CIG SNG
Diverse, growing supply regions High connectivity to growing demand regions
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16. El Paso Pipeline Partners
James C. Yardley
President & Chief Executive Officer
El Paso Pipeline GP Company, L.L.C.
2008 MLP Investor Conference
May 22, 2008
18. El Paso Pipeline Group
North America’s Leading Natural Gas Pipeline Franchise
Tennessee
Wyoming Gas Pipeline
Colorado
Interstate
Interstate Gas
Cheyenne
Mojave
Plains Pipeline
Pipeline
Southern
Natural Gas
Elba Island
El Paso
LNG
Natural Gas
Mexico
Florida Gas
Ventures Gulf LNG
Transmission (50%)
(50%)
19% of total U.S. interstate pipeline mileage
24 Bcf/d capacity (16% of total U.S.)
17 Bcf/d throughput (28% of gas delivered to U.S. consumers)
Source: El Paso Corporation based on 2007 data
Note: Includes El Paso Corporation and El Paso Pipeline Partners, L.P. 18