DALLAS, Feb 13, 2003 /PRNewswire-FirstCall via COMTEX/ -- Crosstex Energy, L.P.
(Nasdaq: XTEX), a Texas-based midstream natural gas company, announced today
that it had entered into a joint venture agreement with RLAC Gathering Group LP
(RLAC), to form Crosstex D.C. Gathering Company. The purpose of the venture is
to construct and operate a new gathering system to gather Barnett Shale natural
gas production in Denton County, Texas. Under the terms of the joint venture,
Crosstex and RLAC will each own 50% of the new system.
"We are excited to make an entrance into the Barnett Shale with this project,"
said Barry E. Davis, President and Chief Executive Officer of Crosstex. "We look
forward to working with R. L. Adkins Corp. and the other producers in the area
to get their wells on stream as soon as possible. A large number of prospects
are waiting to be drilled, so we expect to see this project grow quickly."
"It has been a pleasure working with Crosstex and we look forward to a long and
profitable relationship," stated Bob Adkins, Chief Executive Officer of R. L.
Initially, the system will be built to connect 17 R. L. Adkins Corp. wells at an
anticipated cost of approximately $3 million, and will consist of approximately
12 miles of 4" to 12" pipe. It is expected that the initial flow will commence
in April 2003. The Barnett Shale producing horizon has a commercially productive
area of some 60 square miles in Wise, Denton and Tarrant Counties. In the
immediate area of the new system, the reservoir is found at a depth of
approximately 8,500 feet with an average gross reservoir thickness of 900 feet.
Crosstex Energy, L.P., a mid-stream natural gas company headquartered in Dallas,
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. Crosstex Energy was ranked first in the Mastio
& Co. 2002 Producer Purchaser Satisfaction Survey of nearly 400 gas producers.
Additional information about Crosstex can be found at www.crosstexenergy.com .
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.
Contact: Barry E. Davis, President and Chief Executive Officer
William W. Davis, Sr. 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, Sr. V.P. and Chief Financial Officer, both of Crosstex
Energy, L.P., +1-214-953-9500