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Crosstex Energy, Inc.
Trades on the NASDAQ Exchange under the symbol XTXI.
Press Release

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Crosstex Energy Acquires Remaining 50% of Will O Mills Treating Plant

DALLAS, Jan. 13 /PRNewswire-FirstCall/ -- Crosstex Energy, L.P. (Nasdaq: XTEX) announced today that it has completed the acquisition of the remaining 50% interest in the Will O Mills treating plant previously owned by a subsidiary of Hanover Compressor Company (NYSE: HC), for $2.2 million. Crosstex has owned 50% of the plant, located in Val Verde County, Texas, since 2000. The plant has a treating capacity of approximately 60,000 mcf per day, and is currently treating approximately 12,500 mcf per day. Earlier in 2002, Crosstex had acquired the Pandale Gathering System, which supplies approximately 7,000 mmcfd of gas to the plant for treatment. Two other pipelines also supply gas to the plant.

The acquisition of the Pandale System and the remaining 50% of the Will O Mills treating plant are part of Crosstex's strategy to establish a core group of assets in this area of West Texas. "The acquisitions of Pandale and Will O Mills give us a base from which we can begin to grow a significant presence in West Texas," said Barry Davis, President and Chief Executive Officer of Crosstex. "This is a prolific area, with long-lived reserves, and we intend to participate in the future development of the region."

In addition to increasing throughput by aggregating other volumes in the area, Crosstex will improve operating costs by consolidating the workforces of the two assets, and use them for other Crosstex assets in the area. Crosstex has installed three amine treating plants in the area in the last eight months.

Crosstex Energy, L.P., a mid-stream natural gas company, operates over 1,700 miles of pipeline, two processing plants, and over 30 natural gas amine treating plants. Crosstex currently provides services for over 700,000 MMBtu/day of natural gas. According to the Mastio & Co. 2002 Producer Purchaser Satisfaction Survey, nearly 400 gas producers surveyed ranked Crosstex Energy number one. Crosstex Energy, L.P.'s principal executive offices are located at 2501 Cedar Springs, Suite 600, Dallas, Texas, 75201, and its telephone number is 214-953-9500. Additional information about Crosstex 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 or incorporated herein may 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.

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