DALLAS, March 24 /PRNewswire-FirstCall/ -- Crosstex Energy, L.P.
(Nasdaq: XTEX) announced today that the Federal Energy Regulatory Commission
(FERC) has voted to reject the request by Crosstex and Transcontinental Gas
Pipe Line Corporation (Transco) to authorize the abandonment from interstate
service of certain pipeline facilities that are owned by Transco in South
Texas (the South Texas Facilities). In July 2004, Crosstex announced that it
entered into an agreement with Transco to purchase the South Texas Facilities
for $27.4 million, conditioned upon receipt of the abandonment ruling from
FERC. In light of the decision, the two companies are reviewing their
alternatives and the status of their agreement.
"We are disappointed by the decision and have certainly looked forward to
the possibility of operating the South Texas Facilities. We remain committed
to expanding our asset base in this key region and will continue to pursue
opportunities as they arise," said Barry E. Davis, President and Chief
Executive Officer. "In addition, we will continue to pursue the many
opportunities for growth that we have in other key gas markets, including the
recently announced North Texas pipeline project."
About the Crosstex Energy Companies
Crosstex Energy, L.P., a mid-stream natural gas company headquartered in
Dallas, operates over 4,500 miles of pipeline, five processing plants, and
over 80 natural gas amine treating plants. Crosstex currently provides
services for over 1.9 BCF/day of natural gas.
Crosstex Energy, Inc. (Nasdaq: XTXI) owns the general partner, a
54 percent limited partner interest and the incentive distribution rights of
Crosstex Energy, L.P.
Additional information about the Crosstex companies can be found at
This press release contains "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended. All statements other
than statements of historical facts included herein, including statements
regarding the company's opportunities for growth, constitute forward-looking
statements. Although the company believes that the expectations reflected in
the forward-looking statements are reasonable, it can give no assurance that
such expectations will prove to be correct.
Contact: Barry E. Davis, President and Chief Executive Officer
William W. Davis, Executive V.P. and Chief Financial Officer
Phone: (214) 953-9500
SOURCE Crosstex Energy, L.P.
/CONTACT: Barry E. Davis, President and Chief Executive Officer, or
William W. Davis, Executive V.P. and Chief Financial Officer, both of Crosstex
Energy, L.P., +1-214-953-9500/
/Web site: http://www.crosstexenergy.com /
CO: Crosstex Energy, L.P.; Transcontinental Gas Pipe Line Corporation;
Crosstex Energy, Inc.; Federal Energy Regulatory Commission
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9888 03/24/2005 17:39 EST http://www.prnewswire.com