Elizabethtown Gas to Lower Gas Rate as Winter Approaches

October 3, 2006

UNION, N.J.--Oct. 3, 2006--Elizabethtown Gas, a subsidiary of Atlanta-based AGL Resources (NYSE: ATG), today announced a plan to lower the gas rate 8 cents per therm or almost 5 percent for the natural gas portion of residential customers' bills.

The natural gas portion is about 75 percent of customers' bills. There will be no change in the delivery cost of the gas, which is the other 25 percent of the bill.

Under the company's proposal, filed recently with the New Jersey Board of Public Utilities, a typical residential heating customer using 100 therms of natural gas monthly would save $7.73 each month.

"We are pleased to be able to offer this reduction to our customers," said Don Carter, vice president of Elizabethtown Gas. "Fortunately, a warmer than normal winter and high volumes of natural gas in inventory throughout the nation kept prices lower than expected."

Elizabethtown Gas makes no profit on the natural gas it purchases on behalf of customers. The commodity cost is passed along to customers without markup. For tips on conserving energy, customers should visit www.elizabethtowngas.com.

About Elizabethtown Gas Elizabethtown Gas, a wholly owned subsidiary of AGL Resources (NYSE: ATG), provides delivery service to more than 265,000 residential, business and industrial natural gas customers in New Jersey. In operation since 1855, the company serves parts of Union, Middlesex, Sussex, Warren, Hunterdon, Morris and Mercer counties. For more information, visit www.elizabethtowngas.com.

About AGL Resources AGL Resources (NYSE: ATG), an Atlanta-based energy services holding company, serves 2.2 million customers in six states through its utility subsidiaries - Atlanta Gas Light, Elizabethtown Gas in New Jersey, Virginia Natural Gas, Florida City Gas, Chattanooga Gas, and Elkton Gas in Maryland. Ranked by Forbes as one of the 10 Best Managed Utilities and No. 250 in the Forbes Platinum 400 in 2006 as well as a Fortune 1000 company in 2005, AGL Resources reported revenue of $2.7 billion and net income of $193 million in 2004. The company also owns Houston-based Sequent Energy Management, an asset manager serving natural gas wholesale customers throughout the East and Midwest. As a 70 percent owner in the SouthStar partnership, AGL Resources markets natural gas to consumers in Georgia under the Georgia Natural Gas brand. AGL Networks, the company's telecommunications subsidiary, owns and operates fiber optic networks in Atlanta and Phoenix. 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: AGL Resources Media Robin Keegan, 404-584-3946 Cell: 404-783-1758 rkeegan@aglresources.com