For further information:

John P. Barnett Director of External Affairs Panhandle Energy 713-989-7556

TRUNKLINE GAS COMPANY
PLANS PIPELINE EXPANSION

HOUSTON - April 13, 2005 -Trunkline Gas Company is planning to expand its Texas natural gas system by building a pipeline loop into Louisiana.

The North Texas Expansion, which will involve the construction of about 40 miles of 30-inch diameter pipeline along an existing right of way from the Kountze, Texas, compressor station to the Longville, La., compressor station, will give Trunkline customers increased access to Texas supply.

By expanding the system west from the Longville compressor station, Trunkline will be able to receive onshore production originating in North and East Texas through existing or proposed intrastate pipeline and storage connections. These connections may include Energy Transfer Partners, L.P. (Houston Pipe Line Company - Texoma), Kinder Morgan Intrastate Pipeline, Duke Energy Field Services Spindletop Storage and Enstor’s proposed Houston Hub. In addition, an increase in capacity out of Texas will allow Trunkline to access gas from proposed LNG terminals that are planned for the Texas Gulf Coast.

"This project will increase Trunkline’s supply diversity over the long term for our Midwest customers by offering immediate access to onshore Texas production," said Rob Bond, president and chief operating officer of Panhandle Energy.

The North Texas Expansion is estimated to be in service in 2007. Trunkline will be holding an expansion open season and solicitation of turn-back capacity in May for this expansion.

Prospective customers seeking additional information or wanting to discuss this project in more detail may contact Jim VanMatre at 713.989.7625 or Allen Tate at 713.989.7633

Trunkline Gas Company, a unit of Southern Union Company, operates a 3,500-mile natural gas pipeline system with access to Gulf Coast supply sources, which can deliver 1.5 billion cubic feet per day of natural gas to Midwest and East Coast markets.

About Southern Union Company

Southern Union Company (NYSE:SUG), headquartered in Wilkes-Barre, Pa., is engaged primarily in the transportation, storage and distribution of natural gas.

Through Panhandle Energy, the company owns and operates 100% of Panhandle Eastern Pipe Line Company, Trunkline Gas Company, Sea Robin Pipeline Company, Southwest Gas Storage Company and Trunkline LNG Company - one of North America’s largest liquefied natural gas import terminals. Through CCE Holdings, LLC, Southern Union also owns a 50 percent interest in and operates the CrossCountry Energy pipelines, which include Transwestern Pipeline Company and 50 percent of Citrus Corp. Citrus Corp. owns 100 percent of the Florida Gas Transmission pipeline system. Southern Union’s pipeline interests operate almost 18,000 miles of interstate pipelines that transport natural gas from the San Juan, Anadarko and Permian Basins, the Rockies, the Gulf of Mexico, Mobile Bay, South Texas and the Panhandle regions of Texas and Oklahoma to major markets in the Southeast, West, Midwest and Great Lakes region.

Through its local distribution companies, Missouri Gas Energy, PG Energy and New England Gas Company, Southern Union also serves approximately one million natural gas end-user customers in Missouri, Pennsylvania, Rhode Island and Massachusetts.

For further information, visit www.southernunionco.com

This release and other company reports and statements issued or made from time to time contain certain "forward-looking statements" concerning projected future financial performance, expected plans or future operations. Southern Union Company cautions that actual results and developments may differ materially from such projections or expectations.

Important factors could cause actual results to differ materially from the forward-looking projections or expectations. These factors include, but are not limited to: customer growth; gas throughput volumes and available sources of natural gas; abnormal weather conditions in our service territories; new legislation and government regulations affecting or involving us; our ability to comply with or to challenge successfully existing or new environmental regulations; the outcome of pending and future litigation; the impact of relations with labor unions of bargaining- unit union employees; the impact of future rate cases or regulatory rulings; our ability to control costs successfully and achieve operating efficiencies, including the purchase and implementation of new technologies for achieving such efficiencies; the nature and impact of any extraordinary transactions, such as any acquisition or divestiture of a business unit or any assets; the economic climate and growth in our industry and service territories and competitive conditions of energy markets in general inflationary trends; changes in gas or other energy market commodity prices and interest rates; the current market conditions causing more customer contracts to be of shorter duration, which may increase revenue volatility; exposure to customer concentration with a significant portion of revenues realized from a relatively small number of customers and any credit risks associated with the financial position of those customers; our or any of our affiliates’ debt securities ratings; factors affection operations such as maintenance or repairs, environmental incidents or gas pipeline system constraints; the possibility of war or terrorist attacks; and other risks and unforeseen events.

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