News Release

Jan. 30, 2009

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NEWS MEDIA CONTACT Susan Sponar Telephone: (505) 241-2768

New Mexico Gas Company is Now the Natural Gas Service Provider for Former PNM Gas Customers

Albuquerque: Today, New Mexico Gas Company became the new provider of natural gas service for approximately 500,000 customers who had been served by PNM. PNM will continue to serve its electric customers throughout the state.

Both gas and electric customers will automatically continue to receive their service at the same delivery rates, but there will be a few changes customers should note:

• Natural gas customers will have a new number to call for gas emergencies and customer service 1-888-NMGASCO (1-888-664-2726), and a new Web site to visit for information, nmgco.com.
• Electric customers should continue to call PNM at 1-888-DIAL PNM (1-888-342-5766) or visit PNM.com for information.
• Customers have already received or soon will receive their final PNM bill for gas or combined gas and electric services. Starting Feb. 4, gas bills will come from New Mexico Gas Company, and PNM bills will only be for electric service.
• Customers who received both gas and electric service from PNM will now receive two monthly bills, one from each company.
• Some PNM payment center locations will become New Mexico Gas Company locations.

PNM and New Mexico Gas Company call centers and offices will be open at their usual times. Up-to-date account information will not be available, however, until Feb. 3 as the companies transition their computer systems.

Customers will find detailed information included with their last PNM bill and first New Mexico Gas Company bill.

PNM’s electric service territory includes Alamogordo, Ruidoso, Deming, Silver City, Clayton, Las Vegas, Lordsburg, Bayard, Santa Fe, Belen, Los Lunas, Bernalillo, Rio Rancho and the greater Albuquerque metro area.

New Mexico Gas Company’s service territory includes Alamogordo, Luna County, Silver City, Clayton, Santa Fe, the greater Albuquerque metro area, Belen, Rio Rancho, Bernalillo, Roswell, Espanola, Artesia, Clovis, Tucumcari, Portales, Taos, Chama, Grants, Gallup, Truth or Consequences, Carlsbad, Lovington, Eunice, Tatum, Anthony and Farmington.

Call New Mexico Gas Company at 1-888-NMGASCO (1-888-664-2726) or visit nmgco.com for information about New Mexico Gas Company in your community. Call PNM at 1-888 DIAL PNM (1-888-342-5766) or visit PNM.com for information about PNM electric service in your community.

PNM is a subsidiary of PNM Resources, an energy holding company based in Albuquerque, N.M. PNM provides electric utility service to 487,000 customers in New Mexico. The company also sells power on the wholesale market in the West. PNM Resources stock is traded primarily on the NYSE under the symbol PNM. For more information, see the company's Web site at PNM.com.

New Mexico Gas Company is a subsidiary of Continental Energy Systems LLC. Through various subsidiaries, Continental Energy Systems currently provides natural gas service to approximately 900,000 customers in Alaska, Michigan and New Mexico and distributes electricity to 36,000 residential and commercial accounts in 28 counties in Texas.