HOUSTON, May 1 /PRNewswire-FirstCall/ -- Southwestern Energy Company (NYSE: SWN) today announced that it has entered into an agreement to sell its 25% minority interest in the NOARK Pipeline System, Limited Partnership ('NOARK') to Atlas Pipeline Partners, L.P. (NYSE: APL). The company will realize gross proceeds of $69.0 million from the sale of the company's interest in NOARK. In connection with the sale, Southwestern will directly assume $39.0 million of partnership debt related to its ownership interest in NOARK and for which it is also the sole guarantor. The transaction is expected to close in the second quarter.

NOARK owns Ozark Gas Transmission, L.L.C. ('OGT'), which operates a FERC- regulated interstate pipeline extending from eastern Oklahoma through central and northeastern Arkansas and into Missouri as well as Ozark Gas Gathering, L.L.C., which is an unregulated gas gathering pipeline in Oklahoma and Arkansas. In April 2006, Southwestern's Midstream operations entered into a three-year firm transportation arrangement with OGT to transport volumes increasing to 175,000 MMBtu per day in the later stages of the contract.

'We are very pleased with the sale of our minority interest in NOARK and plan to utilize the sale proceeds to help fund our 2006 capital investment program,' stated Harold M. Korell, President and Chief Executive Officer of Southwestern Energy.

Southwestern Energy Company is an integrated natural gas company whose wholly-owned subsidiaries are engaged in oil and gas exploration and production, natural gas gathering, marketing, and natural gas distribution. Additional information on the company can be found on the Internet at http://www.swn.com .

All statements, other than historical financial information, may be deemed to be 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 that address activities, outcomes and other matters that should or may occur in the future, including, without limitation, statements regarding the financial position, business strategy, production and reserve growth and other plans and objectives for the company's future operations, are forward-looking statements. Although the company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. The company has no obligation and makes no undertaking to publicly update or revise any forward-looking statements.