Virginia Natural Gas reduces gas rates by 12 percent; average residential customer will save approximately $9 per month

April 1, 2009

NORFOLK, Va.  – April 1, 2009 – Reflecting the decrease in the wholesale price of natural gas, Virginia Natural Gas (VNG) customers will see the lower cost of gas reflected in their natural gas bills starting today. The Virginia State Corporation Commission (VSCC) approved the company’s quarterly filing earlier this week.
 
The gas cost charge will drop from $0.9096 per ccf  to $0.7398 per ccf. As a result, the typical monthly bill (including the base charge) will decrease about 12 percent or $9 per month for an average residential customer in April.
 
“Virginia Natural Gas prices have dropped almost 30 percent since this time last
year,” said Robert Duvall, vice president, Virginia Natural Gas. “We purchase natural gas from the most reliable sources at the most economic price for our customers. Currently that price is being driven down, so we are pleased to be able to pass those savings on to our customers.”
 
According to the Energy Information Administration, the U.S. economic downturn is the principal cause for the decline in domestic natural gas deman, particularly in the industrial sector—where it is projected to fall by 6 percent in 2009—which in turn has led to lower natural gas prices.

About Virginia Natural Gas
Virginia Natural Gas, a wholly owned subsidiary of AGL Resources (NYSE: AGL), provides retail natural gas sales and distribution services to 271,000 customers in southeast Virginia.  For more information, visit www.virginianaturalgas.com.

About AGL Resources
AGL Resources (NYSE: AGL), an Atlanta-based energy services company, serves approximately 2.3 million customers in six states. The company also owns Houston-based Sequent Energy Management, an asset manager serving natural gas wholesale customers throughout North America. As a 70 percent owner in the SouthStar partnership, AGL Resources markets natural gas to consumers in Georgia under the Georgia Natural Gas brand. The company also owns and operates Jefferson Island Storage & Hub, a high-deliverability natural gas storage facility near the Henry Hub in Louisiana. For more information, visit www.aglresources.com.   
 
Contact:           Media 
                        AGL Resources           
                        Tami Gerke
                        Office: 404-584-3873
                        Cell:  404-558-2307 
                        tgerke@aglresources.com