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Press Release
Crosstex Energy, Inc. Announces Distribution By Yorktown

DALLAS, March 11, 2005 /PRNewswire-FirstCall via COMTEX/ -- Crosstex Energy, Inc. (Nasdaq: XTXI) (the Corporation) today announced that it has been advised by Yorktown Energy Partners IV, L.P. and Yorktown Energy Partners V, L.P. (collectively referred to as the "Yorktown Partnerships"), early investors in Crosstex Energy, Inc., that these entities have distributed an aggregate of 718,726 shares of the Corporation's common stock to their limited and general partners, effective March 10, 2005, in accordance with the terms of their respective partnership agreements. After the distributions, the Yorktown Partnerships will collectively hold 5,128,843 shares of the Corporation's common stock.

The Yorktown Partnerships have informed the Corporation that they have not made any determination as to the disposition of the remaining stock that they hold and that the shares that have been distributed can be immediately resold.

The Corporation has also been advised by the principals of the general partners of the Yorktown Partnerships that they intend to retain the shares received in the distribution for the foreseeable future.

"Over time these distributions should continue to increase the liquidity available to investors in Crosstex Energy, Inc.," said Barry E. Davis, President and Chief Executive Officer of Crosstex. "We also appreciate the general partners' continuing commitment to the company through retention of the shares they receive in the distributions. This speaks to their opinion of our company."

Shares of the Corporation currently receive a dividend of $0.39 per quarter, which is up by 30 percent from the rate it indicated in its initial public offering (IPO) in January of last year. Units of Crosstex Energy, L.P. (Nasdaq: XTEX) currently receive a distribution of $0.45 per quarter, which has been increased by 80 percent since its IPO in December 2002.

About the Crosstex Energy Companies

Crosstex Energy, Inc. owns the general partner, a 54 percent limited partner interest and the incentive distribution rights of Crosstex Energy, L.P.

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.

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 future liquidity available to investors in Crosstex Energy, Inc., constitute forward-looking statements. Although Crosstex Energy, Inc. 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, Inc.

Barry E. Davis, President and Chief Executive Officer, or William W. Davis, Executiv
V.P. and Chief Financial Officer, both of Crosstex Energy, Inc., +1-214-953-9500