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South System Expansion III Project

Southern Natural Gas Company

Southern Natural Gas Company (SNG), a subsidiary of El Paso Corporation, is headquartered in Birmingham, Alabama, and has been in the natural gas pipeline business since 1929. SNG is the premier provider of natural gas transportation services in the Southeast, transporting close to 4 billion cubic feet of natural gas per day during peak periods, to customers from Louisiana to South Carolina, including Alabama, Georgia, Tennessee, and Florida. SNG is the largest transporter of natural gas into the State of Georgia. SNG will construct and operate the South System Expansion III Project.

El Paso Corporation

El Paso Corporation provides natural gas and related energy products in a safe, efficient, dependable manner. The company owns North America’s largest gas pipeline system and one of North America’s largest independent natural gas producers. El Paso's pipeline business consists of a 42,000 mile interstate transmission system with operations throughout the country. The company’s Southern Pipelines consist of SNG, a 50-percent ownership interest in Florida Gas Transmission (Citrus Corp.), and a liquefied natural gas terminal located on Elba Island, Georgia. El Paso’s Western Pipelines include El Paso Natural Gas, Colorado Interstate Gas, Wyoming Interstate, and Mojave Pipeline. The company’s Eastern Pipelines include Tennessee Gas Pipeline and joint ventures in Mexico. El Paso's Exploration and Production business is a top 10 independent natural gas company which focuses on the exploration for and the acquisition, development and production of natural gas, oil and natural gas liquids in the United States, Brazil and Egypt.

South System Expansion III

SNG has reached an agreement with Southern Company Services, a Southern Company affiliate, to expand SNG's system capacity by up to 367 million cubic feet per day (MMcf/d), approximately 10 percent of the system's current capacity. The purpose of this project is to serve an electric power plant operated by Georgia Power Company in the Atlanta Area. This is an existing plant that is being converted from coal fueled to natural gas fueled. The conversion of the coal fired power plant to natural gas is good for the Atlanta area, because natural gas is a more environmentally friendly fuel than the coal or fuel oils many utilities and industries must presently rely on to operate their facilities. Changing the power plant’s fuel source to natural gas will help to ensure reliability of electric and gas service to the region while reducing the environmental impact of these facilities on the local community.