It could go to your ABS unit or maybe your oil pressure sensor, but my connector looks different for my oil press. and my car has no ABS... So it's hard for me to compare.
Could it go to a TEMS strut? see if there is another one on the drivers side. If there is and your car has no TEMS, it could have been hanging from the factory.
The only other thing it could be is a temp sensor connector. (there are 5 of them on the thermostat housing) Check close to your power steering resivoir.
I would go through the toyota supra repair manual online or the the electrical parts catalog and write down all the possible 2 pin sensors that it could be and their locations. Process of elimination.
I know that there are these components on the passengers side of the engine that have wires running to them:
Air Flow Meter (not the connector you show and your car would run like ass if at all if it was disconnected)
Oil Pressure Sensor (single wire)
Oxygen Sensor (should be obvious)
ABS unit (if you don't have it, it doesn't matter)
TEMS strut (should be obvious, unless you don't have it)
One of the 5 Temp sensors on the thermostat housing (check them all and check for capped off sensor outlets)
Cam Position sensor (your car will not run without this)
I would check the sensors on the thermostat housing, the TEMS unit, Oil pressure sensor and the ABS unit if you have it.
Also, if it is your O2 sensor, this would be why your car is getting 14mpg. I would check your spark plugs and read them. Also see if your ECU is throwing any codes.